Breaking News Bar
updated: 7/31/2013 8:14 AM

Fully-owned NBCUniversal boosts Comcast 2Q results

hello
Success - Article sent! close
 
Associated Press

NEW YORK -- The decision by Comcast Corp., the country's largest cable company, to buy General Electric out of the NBCUniversal business looks like a smart one, as the media conglomerate posted strong results for the second quarter.

It was the first quarter in which Philadelphia-based Comcast owned all of NBCUniversal, the parent of the NBC broadcast network and Universal Studios. Comcast bought control of NBCUniversal in 2011, with an agreement to buy the remaining GE stake over time. It sped up the schedule this year, buying out GE on March 28 for $16.7 billion.

Order Reprint Print Article
 
Interested in reusing this article?
Custom reprints are a powerful and strategic way to share your article with customers, employees and prospects.
The YGS Group provides digital and printed reprint services for Daily Herald. Complete the form to the right and a reprint consultant will contact you to discuss how you can reuse this article.
Need more information about reprints? Visit our Reprints Section for more details.

Contact information ( * required )

Success - request sent close

NBCUniversal's results are more volatile than Comcast's slow-and-steady cable business. In the second quarter, it posted a 9 percent increase in revenue to $6 billion, well above analyst estimates at $5.75 billion, as polled by FactSet. Results were driven by the release of "Fast & Furious 6" and "Despicable Me 2" in theaters, and by ad sales for top-rated broadcast TV show "The Voice."

Coupled with continued strong performance in the Comcast cable business, NBCUniversal helped push overall results beyond Wall Street expectations.

Comcast earned $1.73 billion, or 73 cents per share, in the April to June period. That's up from $1.35 billion, or 50 cents per share, in the same period a year earlier.

Overall revenue rose 7 percent to $16.3 billion from $15.2 billion.

Analysts had expected earnings of 63 cents per share on revenue of $16 billion.

Comcast shares rose $1.51, or 3.5 percent, to $44.22 in premarket trading.

Subscriber trends in the cable business were the best in five years for the seasonally weak second quarter. Cable companies routinely lose subscribers every quarter to satellite and phone-company TV services, but Comcast has been slowing down its losses, and saw a net of only 159,000 subscribers depart in the quarter.

On the broadband side, it added a net 187,000 subscribers in the quarter, the highest figure since 2008. Other Internet service providers are seeing drastically slowing recruitment, since most homes already have broadband.

Comcast is already the country's biggest Internet service provider, with nearly 20 million accounts

.

Share this page
Comments ()
Guidelines: Keep it civil and on topic; no profanity, vulgarity, slurs or personal attacks. People who harass others or joke about tragedies will be blocked. If a comment violates these standards or our terms of service, click the X in the upper right corner of the comment box. To find our more, read our FAQ.