I guess people are spending less at the movies when they can stay home and enjoy Netflix at their convenience over a Roku, XBox 360 or their Playstation 3 (with the help of computer software such as PlayOn)

SAN FRANCISCO (AP) — Netflix Inc.’s fourth-quarter profit climbed 45 percent to surpass analysts’ estimates Monday, propelled by the widening appeal of its relatively inexpensive DVD rental service during a budget-crimping recession.

The results, along with an optimistic forecast for the current quarter, drove Netflix shares up by more than 6 percent in extended trading.

 

The Los Gatos, Calif.-based company added 718,000 customers in the final three months of 2008, more than doubling the growth envisioned by management. The surge left Netflix with just under 9.4 million customers through December, a 26 percent gain from 2007.

[SOURCE: The Associated Press: Netflix 4Q profit up 45 pct, helped by recession]