Comcast: Q3 up but subs still leaving
October 26, 2023
Comcast reported its customer numbers unexpectedly declined in Q3 amid tough competition, overshadowing a strong performance from its streaming and parks businesses and sending shares of the company down nearly 6 per cent.
The group shed 18,000 broadband customers in the third quarter, against estimates for a gain of 3,600. Comcast said it expects “somewhat higher” broadband subscriber losses in the fourth quarter. Comcast has over 32.3 million broadband customers.
Revenue rose 0.9 per cent to $30.12 billion in the third quarter, beating analysts’ estimates of $29.68 billion. In its third set of results under a new reporting structure that includes NBCUniversal in the content and experiences segment, Comcast reported a 0.8 per cent increase in revenue in the unit to $10.56 billion. Advertising revenue in content and experiences fell 8.4 per cent from the same quarter the previous year.
Revenue at the company’s Peacock streaming service rose 64 per cent from a year earlier. Paid subscribers increased by four million in the third quarter, to 28 million. Adjusted losses from Peacock narrowed in the quarter, to $565 million. The company expects Peacock adjusted losses to peak at $2.8 billion in 2023, less than the $3 billion it had previously forecast, reports Reuters.
Theme parks revenue climbed 17.2 per cent, thanks to pent-up demand following the pandemic.
Despite the success of Oppenheimer, studios revenue fell by 23.6 per cent in the quarter from the same quarter a year ago, which included the Box Office hits Jurassic World: Dominion and Minions: The Rise of Gru.