Comcast reported strong second quarter earnings in its first full quarter since purchasing a majority stake in NBC Universal, which helped drive growth through its cable networks and movie studio.
Revenue for the cable giant exceeded Wall Street estimates, jumping 51 per cent to $14.3 billion. NBCU’s revenue was 17 per cent higher than it would have been last year—considering the current ownership situation.
Comcast, which provides cable television to about a fifth of all homes, bought 51 per cent of NBCU from General Electric in January.
“Our overarching goal for NBC and Universal is to build long-term value and yes there’ll be some hits and misses and a bit more volatility, but we continue to believe our timing was just right,” CEO Brian Roberts said in the earnings conference call.
In terms of earnings, Comcast saw its numbers go up almost 16 per cent, though that came in below expectations. Earnings per share finished at 37 cents, as compared to the 41-cent projections.
The revenue and earnings increases were driven in part by NBCU’s cable holdings, which increased revenue by 12.6 per cent to 2.2 billion. Bravo posted its best second quarter ever, while USA continues to be one of cable’s most successful networks.
Film revenue also rose as hits like “Bridesmaids” and “Fast Five” pushed this quarter’s total up 21 per cent to $1.25 billion.
One area in which Comcast saw its numbers fall was in broadcast subscribers, which has been a constant trend. The company lost 238,000 pay-TV subscribers, a slightly smaller decline from last year’s second quarter, in which 265,000 customers dropped the service.
More to come…
NOW WATCH: Briefing videos
Business Insider Emails & Alerts
Site highlights each day to your inbox.