Netflix reported a quarterly profit of $2.9 billion, with revenue up 13% thanks to a recent increase in subscription prices, AFP reports.

The streaming TV service said it is "starting 2025 well" with revenue of $10.5 billion in the recently ended quarter.

Shares of the Silicon Valley-based company rose more than four per cent in post-earnings trading.

According to Netflix, revenue grew thanks to slightly higher subscription and ad revenue, as well as the timing of some expenses.

Earlier this year, Netflix raised premium and standard U.S. memberships by two dollars more per month, to $25 and $18, respectively, while the standard ad-supported tier increased by one dollar.

In an effort to spur declining growth, the company launched an ad-subsidized offering in late 2023 at the same time a ban on password sharing was introduced.

In January, the streaming service announced that a top priority would be growing its advertising business.

Netflix has been steadily improving its advertising platform as viewers continue to shift away from traditional TV to streaming on-demand shows.

"We are executing on our priorities for 2025: improving our series and movie offerings and growing our advertising business; further developing newer initiatives such as live programming and gaming; and maintaining healthy revenue and profit growth," Netflix wrote in a letter to shareholders.

Netflix forecast revenue growth of 15% in the current quarter, driven by its series and movie offerings as well as improvements to its advertising platform.

"We remain optimistic about our 2025 schedule, which includes returning favorites, series finales, new openings and unexpected surprises designed to excite our members," Netflix told shareholders.

Netflix highlighted hits including the series "Adolescence," which has registered about 124 million views, and the Spanish-language film "Counterattack" from Mexico.

In February, Netflix announced it would spend $1 billion over four years to produce films and series in Mexico, in support of that government's efforts to attract investment in the face of threats from U.S. tariffs.

Investors view Netflix as a rare haven in a stock market roiled by U.S. President Donald Trump's plans to halt tariffs targeting dozens of trading partners.

This quarter marks Netflix's change to stop reporting subscriber numbers alongside its revenue figures.

The company, considered by analysts to be the leading streaming video service, ended last year with more than 300 million subscribers. | BGNES