Netflix Inc. reported Thursday an increase of 48 per cent in profit for the third quarter, citing the continuous popularity of DVD-by-mail service.

Los Gatos-based Netflix pocketed $30.1 million during the third quarter, up from a profit of $20.4 million in the same period of last year.

Netflix informed that it had plans to expand its online streaming service worldwide in the second half of next year.

Company’s revenue jumped 24 per cent to settle at $423.1 million in the latest quarter.

Speaking on the issue, Netflix's CEO Reed Hastings said, “Our momentum is strong and growing.”

By the end of the latest quarter, Netflix had 11.1 million subscribers, representing a gain of 43 per cent from last year.

Now Netflix expects its full-year revenue to stand between $1.666 billion and $1.672 billion as compared its earlier forecast of $1.65 billion to $1.67 billion.

Nevertheless, shares in Netflix dropped $2.41 to $47.22 in the recent trading. Before the announcement of results, Netflix shares soared $1.78 to close at $49.63 on Thursday.