Latest News

Earnings Results: Comcast tops earnings expectations as theme parks, studios bounce back

0

Shares of Comcast Corp. were heading higher in premarket trading Thursday after the media giant exceeded earnings expectations for the fourth quarter amid a surge in revenue for its NBCUniversal unit, which includes theme parks and studios.

The company generated fourth-quarter net income of $3.1 billion, or 66 cents a share, down from $3.4 billion, or 73 cents a share, in the year-prior quarter. On an adjusted basis, Comcast CMCSA, -2.44% earned 77 cents a share, up from 56 cents a share a year earlier and ahead of the FactSet consensus, which called for 73 cents a share.

Comcast’s revenue increased to $30.3 billion from $27.7 billion, whereas analysts tracked by FactSet were modeling $29.6 billion.

Shares were up 1.2% in premarket trading.

The company saw cable-segment revenue of $16.4 billion, up from $15.7 billion a year earlier, as broadband and wireless revenues ticked higher while advertising and video revenues declined. Analysts had been expecting $16.3 billion in cable revenue.

Subscribe: Want intel on all the news moving markets? Sign up for our daily Need to Know newsletter.

Comcast’s total customer relationships in the cable business rose by 169,000, while total broadband customer net additions stood at 212,000. Comcast noted in its release that the broadband business enjoyed its highest level of customer retention on record relative to other fourth quarters.

NBCUniversal revenue surged to $9.3 billion from $7.4 billion and easily topped the FactSet consensus, which was for $8.8 billion.

Within NBCUniversal, Comcast’s studio revenue was up 36% driven by higher theatrical, content-licensing, and home-entertainment revenue. Revenue from theme parks nearly tripled to $1.9 billion.

Read: Verizon stock downgraded on fears of ‘even less competitive discipline’ in wireless industry

Comcast’s Sky revenue dipped to $5.1 billion from $5.2 billion, as the pay-TV unit saw lower content revenue and direct-to-consumer revenue. The company pointed to changes in its sports-licensing agreements in Italy and Germany.

Shares of Comcast have lost 7.6% over the past three months as the S&P 500 SPX, -0.15% has declined 4.9%.

Fed’s harsher tone spells uncertainty for markets and signals more volatility ahead

Previous article

Market Extra: These 11 arguments will define ‘titanic battle’ between stock market bulls and bears as Fed lifts rates

Next article

You may also like

Comments

Leave a reply

Your email address will not be published. Required fields are marked *

More in Latest News