Comcast Corp (NASDAQ: CMCSA)
Comcast reported fourth-quarter financial revenue and profit that surpassed forecasts of Wall Street analysts, pushing its shares up 3.8% to $36.29 in pre-market trade. A one-time tax benefit in 2017 from changes to the tax code weighed on fiscal 2018 fourth-quarter earnings.
The cable company said its high-speed internet service added 351,000 new customers, close to forecasts of 358,000. Comcast lost 29,000 television subscribers during the quarter, while analysts were expecting losses of 66,000. Sky Plc signed up 164,000 customers, a number that includes broadband service, satellite TV, and mobile service.
CMCSA Earnings & Outlook
Comcast posted net income of $2.51 billion, or $0.55 per share, down 83% from $15 billion, or $3.17 per share in the same period last year, when a one-time tax benefit boosted the results. Excluding the 2017 tax benefit, earnings at the Philadelphia-based company rose 36% to $0.64 per share. Analysts were expecting adjusted earnings of $0.62 per share based on FactSet data.
Revenue during the quarter was $27.85 billion, up 26% thanks to a huge boost from the newly purchased Sky Plc. Analysts polled by FactSet had forecast revenue of $27.55 billion. Excluding the Olympics, Cable networks generated $2.89 billion in total revenue. Meanwhile, broadcast television accounted for $3.10 billion in total revenue excluding the Super Bowl and Olympics.
Comcast CEO Comments
Brian L. Roberts, Chairman and Chief Executive Officer of Comcast Corporation, said, “2018 was a successful and pivotal year for Comcast. I’m pleased with the strong operational and financial results that we delivered across the company. Highlighting a few of our accomplishments during the past year, Comcast Cable’s customer relationship growth accelerated, driven by our 13thconsecutive year of over 1 million broadband net additions. 2018 Cable EBITDA growth was the highest in seven years, underscoring the financially attractive transition of our business to connectivity.”
Comcast Corp. is a media, entertainment, and communications company, which engages in the provision of video, Internet, and phone services. It operates through the following segments: Cable Communications, Cable Networks, Broadcast Television, Filmed Entertainment, Theme Parks, and Corporate and Other. The Cable Communications segment provides video, Internet, voice, and security and automation services under the Xfinity brand.
The Cable Networks segment consists of national cable networks, regional sports, news networks, international cable networks, and cable television studio production operations. The Broadcast Television segment includes NBC and Telemundo broadcast networks. The Filmed Entertainment segment involves in the production, acquisition, marketing, and distribution of filmed entertainment.
The Theme Parks segment consists of Universal theme parks in Orlando, Florida; Hollywood, California; and Osaka, Japan. The Corporate and Other segment includes operations of other business interests, primarily of Comcast Spectacor. The company was founded by Ralph J. Roberts in 1963 and is headquartered in Philadelphia, PA. – CNN Money