We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Comcast (CMCSA) Q1 Earnings and Revenues Surpass Estimates
Read MoreHide Full Article
Comcast Corp. (CMCSA - Free Report) reported strong financial results in the first quarter of 2017 wherein both the top line and the bottom line outpaced the Zacks Consensus Estimate. Importantly, the company witnessed impressive subscriber gains in the video segment along with continued strong performance in the high-speed Internet segment.
GAAP net income in the first quarter of 2017 came in at $2,566 million or 53 cents per share compared with $2,134 million or 43 cents in the prior-year quarter. Quarterly earnings per share of 53 cents outpaced the Zacks Consensus Estimate of 44 cents.
Quarterly total revenue was $20,463 million, up 8.9% year over year and ahead of the Zacks Consensus Estimate of $20,113 million.
Operating costs and expenses totaled $13,431 million, climbing 8.1% year over year. Operating income came in at $4,530 million, up 10.8% year over year. Operating margin rose to 22.1% compared with 21.8% in the year-ago quarter. During the first quarter, Comcast repurchased 20.4 million common shares for $750 million and paid dividends of $657 million.
In the first quarter of 2017, Comcast generated $5,656 million of cash from operations compared with $5,399 million in the year-ago quarter. Free cash flow, in the reported quarter, was $3,079 million compared with $2,805 million in the prior-year quarter.
Cash and cash equivalents, at the end of the first quarter of 2017, were $4,022 million up from $3,301 million at the end of 2016. Total debt at first quarter end was $61,785 million compared with $61,046 million at the end of 2016. The debt-to-capitalization ratio at the end of the reported quarter was 0.50 flat with the 2016-end figure.
Cable Communications Segment
Quarterly total revenue of $12,912 million reflected a 5.8% rise year over year. Adjusted EBITDA was $5,198 million, advancing 6.3% year over year. Within this segment, Video revenues were $5,774 million, up 4.3% from the prior-year quarter. High-Speed Internet revenues totaled $3,606 million, up 10.1% year over year. Voice revenues were $863 million, declining 3.6% year over year. Advertising revenues totaled $512 million, down 6.3% from the year-ago quarter. Business Services revenues were $1,490 million, rising 13.6% year over year. Other revenues were $667 million, up 4.4% from the prior-year quarter.
As of Mar 31, 2017, Comcast had 25.131 million (up 5.7% year over year) high-speed Internet customers; 11.681 million (up 0.9% year over year) voice customers; and 22.549 million (up 0.7% year over year) video customers. The company added a net of 429,000 high-speed Internet customers, 42,000 video customers but lost 5,000 voice customers in the reported quarter. The company gained 18,000 triple-play subscribers, 141,000 double-play subscribers and 104,000 single-play subscribers, in the reported quarter.
NBC Universal Segment
Quarterly total revenue of $7,868 million displayed a 14.7% year-over-year increase. Adjusted EBITDA was $2,017 million, exhibiting a rise of a 24.4% year over year. Within this segment, Cable Networks revenues were $2,641 million, up 7.6% year over year. Broadcast TV revenues came in at $2,208 million, rising 5.9% year over year. Filmed Entertainment revenues were $1,981 million, up 43.2% from the year-ago quarter. Theme Parks revenues were $1,118 million, up 9% year over year.
Comcast Corporation Price, Consensus and EPS Surprise
Recently, Comcast announced plans for its much-hyped wireless venture. The company’s wireless service will be launched in mid-2017 under the “Xfinity Mobile” brand. However, stiff pricing competition in the industry is a genuine concern. As we recently saw the four major wireless telecommunications companies –Verizon Communications Inc. (VZ - Free Report) , AT&T Inc. (T - Free Report) , Sprint Corp. (S - Free Report) and T-Mobile US Inc. (TMUS - Free Report) – joining in the unlimited postpaid data plan war in order to stand out in the crowd.
Today you are invited to download the full, up-to-the-minute list of 220 Zacks Rank #1 "Strong Buys" free of charge. From 1988 through 2015 this list has averaged a stellar gain of +25% per year. Plus, you may download 220 Zacks Rank #5 "Strong Sells." Even though this list holds many stocks that seem to be solid, it has historically performed 6X worse than the market. See these critical buys and sells free >>
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
Comcast (CMCSA) Q1 Earnings and Revenues Surpass Estimates
Comcast Corp. (CMCSA - Free Report) reported strong financial results in the first quarter of 2017 wherein both the top line and the bottom line outpaced the Zacks Consensus Estimate. Importantly, the company witnessed impressive subscriber gains in the video segment along with continued strong performance in the high-speed Internet segment.
GAAP net income in the first quarter of 2017 came in at $2,566 million or 53 cents per share compared with $2,134 million or 43 cents in the prior-year quarter. Quarterly earnings per share of 53 cents outpaced the Zacks Consensus Estimate of 44 cents.
Quarterly total revenue was $20,463 million, up 8.9% year over year and ahead of the Zacks Consensus Estimate of $20,113 million.
Operating costs and expenses totaled $13,431 million, climbing 8.1% year over year. Operating income came in at $4,530 million, up 10.8% year over year. Operating margin rose to 22.1% compared with 21.8% in the year-ago quarter. During the first quarter, Comcast repurchased 20.4 million common shares for $750 million and paid dividends of $657 million.
In the first quarter of 2017, Comcast generated $5,656 million of cash from operations compared with $5,399 million in the year-ago quarter. Free cash flow, in the reported quarter, was $3,079 million compared with $2,805 million in the prior-year quarter.
Cash and cash equivalents, at the end of the first quarter of 2017, were $4,022 million up from $3,301 million at the end of 2016. Total debt at first quarter end was $61,785 million compared with $61,046 million at the end of 2016. The debt-to-capitalization ratio at the end of the reported quarter was 0.50 flat with the 2016-end figure.
Cable Communications Segment
Quarterly total revenue of $12,912 million reflected a 5.8% rise year over year. Adjusted EBITDA was $5,198 million, advancing 6.3% year over year. Within this segment, Video revenues were $5,774 million, up 4.3% from the prior-year quarter. High-Speed Internet revenues totaled $3,606 million, up 10.1% year over year. Voice revenues were $863 million, declining 3.6% year over year. Advertising revenues totaled $512 million, down 6.3% from the year-ago quarter. Business Services revenues were $1,490 million, rising 13.6% year over year. Other revenues were $667 million, up 4.4% from the prior-year quarter.
As of Mar 31, 2017, Comcast had 25.131 million (up 5.7% year over year) high-speed Internet customers; 11.681 million (up 0.9% year over year) voice customers; and 22.549 million (up 0.7% year over year) video customers. The company added a net of 429,000 high-speed Internet customers, 42,000 video customers but lost 5,000 voice customers in the reported quarter. The company gained 18,000 triple-play subscribers, 141,000 double-play subscribers and 104,000 single-play subscribers, in the reported quarter.
NBC Universal Segment
Quarterly total revenue of $7,868 million displayed a 14.7% year-over-year increase. Adjusted EBITDA was $2,017 million, exhibiting a rise of a 24.4% year over year. Within this segment, Cable Networks revenues were $2,641 million, up 7.6% year over year. Broadcast TV revenues came in at $2,208 million, rising 5.9% year over year. Filmed Entertainment revenues were $1,981 million, up 43.2% from the year-ago quarter. Theme Parks revenues were $1,118 million, up 9% year over year.
Comcast Corporation Price, Consensus and EPS Surprise
Comcast Corporation Price, Consensus and EPS Surprise | Comcast Corporation Quote
Latest Developments
Recently, Comcast announced plans for its much-hyped wireless venture. The company’s wireless service will be launched in mid-2017 under the “Xfinity Mobile” brand. However, stiff pricing competition in the industry is a genuine concern. As we recently saw the four major wireless telecommunications companies –Verizon Communications Inc. (VZ - Free Report) , AT&T Inc. (T - Free Report) , Sprint Corp. (S - Free Report) and T-Mobile US Inc. (TMUS - Free Report) – joining in the unlimited postpaid data plan war in order to stand out in the crowd.
In this scenario, the entry of non-wireless giants like Comcast will further intensify wireless competition. The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Best & Worst of Zacks
Today you are invited to download the full, up-to-the-minute list of 220 Zacks Rank #1 "Strong Buys" free of charge. From 1988 through 2015 this list has averaged a stellar gain of +25% per year. Plus, you may download 220 Zacks Rank #5 "Strong Sells." Even though this list holds many stocks that seem to be solid, it has historically performed 6X worse than the market. See these critical buys and sells free >>