Saturday, November 22nd3.1°C
24124
23372

Comcast 2nd-quarter earnings top Wall Street as Internet hookup pace accelerates

PHILADELPHIA - Comcast's second-quarter net income rose 15 per cent to nearly $2 billion as it added high-speed Internet customers at a faster pace and video subscriber losses moderated.

The nation's largest cable provider topped Wall Street estimates and shares edged up in afternoon trading.

The nation's largest cable provider said Tuesday that net income rose to $1.99 billion, or 76 cents per share, up from $1.73 billion, or 65 cents per share, a year ago.

Excluding a gain on its sale of a stake in set-top box maker Arris Group Inc. and other items, Comcast posted adjusted earnings of 75 cents per share, beating the 72 cents expected by analysts polled by FactSet.

Revenue grew nearly 4 per cent to $16.84 billion, short of the $16.95 billion that analysts were looking for. Revenue a year ago was $16.27 billion.

Jefferies & Co. analyst Mike McCormack said the quarter was healthy as cable continued to perform well and NBC Universal grew more profitable.

Cable hookup revenue, up 5 per cent at $11.03 billion, was slightly better than expected, but NBCUniversal revenue, flat at $6.02 billion, was less than analysts predicted.

Comcast Corp. is in the midst of a regulatory review of its proposed $45.2 billion acquisition of No. 2 cable company Time Warner Cable Inc. Comcast CEO Brian Roberts said in a call with analysts that the FCC began a 180-day review period on July 10, and the company expects to have a shareholder vote on the acquisition in the fall.

The company added a net 203,000 Internet customers since the last quarter, bringing the number to 21.3 million. That's 8 per cent more than it added in the same period a year ago.

It lost 144,000 video customers, ending up with 22.5 million. The video losses broke two quarters of gains, but the company said it was largely due to the seasonal pattern of college students leaving school and vacationers from Canada disconnecting before heading back up north. The losses were not as bad as the 162,000 it lost in the same period a year ago.

The average customer bill rose 4.5 per cent to $137.24 per month after 2 per cent price hike at the beginning of the year. Customers were also adding more services and business client revenues rose.

At NBCUniversal, advertising revenue fell 2 per cent to $2.19 billion. The talent show "The Voice" aired earlier than usual in the season to benefit from following the Winter Olympics, which reduced the number of hours it was aired during the second quarter.

Film revenue fell 15 per cent to $1.18 billion, but operating profit rose compared with a year ago when it spent heavily to launch the films "Fast & Furious 6" and "Despicable Me 2."

Free cash flow at Comcast fell 41 per cent to $1.16 billion as it spent money shipping more of its latest-generation set-top boxes and prepared for a big box office year in 2015 with films like "Jurassic World," ''Ted 2," and "Fifty Shades of Grey."

Comcast shares rose $1, or 1.9 per cent, to $54.82 in afternoon trading.

The Canadian Press


Read more Business News




Recent Trending




Today's Market
S&P TSX15111.13+35.95
S&P CDNX789.135.56
DJIA17810.0691.06
Nasdaq4712.97+11.102
S&P 5002063.50+10.75
CDN Dollar0.8901-0.0002
Gold1201.50+10.60
Oil76.72+0.87
Lumber331.50+4.50
Natural Gas4.236-0.253

 
Okanagan Companies
Pacific Safety0.155-0.005
Knighthawk0.01-0.005
QHR Technologies Inc1.30+0.03
Cantex0.04+0.005
Anavex Life Sciences0.178+0.008
Metalex Ventures0.03+0.005
Russel Metals31.62+0.82
Copper Mountain Mining2.24+0.06
Colorado Resources0.125-0.015
ReliaBrand Inc0.013-0.002
Sunrise Resources Ltd0.050.00
Mission Ready Services0.35+0.015

 
24130


23872

FEATURED Property
20169074458A Lakeland Road
3 bedrooms 4 baths
$5,250,000
more details
image2image2image2
Click here to feature your property
Please wait... loading


What I learned in China: Part 2

As per my previous article on my visit to China, we have much to learn about and from their people. It is potentially the largest market on earth with 1.3 billion people in one country but much will d...


Retirement: Health Issues

Our health is really our greatest asset and maintaining our health is of tremendous importance. You want to do what you can to ensure that health issues will not jeopardize the enjoyment of your retir...


Be quiet already!

No, you’re not crazy. There really are voices in your head. Voices that keep you from doing what you need to do during your customer care calls. It can be the voice of your teachers, your parent...

_



24207

24119


Member of BC Press Council


24203