Q2 2016 – Comcast Earnings Call Summary

Comcast

Below are my key takeaways from the Comcast Q2 2016 Earnings Call on July 27:

Summary: 

From Brian Roberts, CEO, “we have many positive trends in each part of the company”.

Total revenue for the quarter was $19,269MM, a 2.8% growth YoY.  Operating Cash Flow was strong at $6,455MM, a 3.0% increase YoY.

In Cable, saw the best 2nd quarter Internet customer growth in 8 years and best 2nd quarter video customer results in over 10 years.

Broadcast saw growth in content licensing, retransmission and advertising revenues. Had best upfront ever with a 12.5% CPM increase for NBC primetime, a result of going to market as one company.  NBC Nightly News, The Today Show and Meet the Press were #1 in key demo, and NBC in general is poised to finish #1 in broadcast.

Mr. Robot received 6 Emmy nominations, including outstanding drama series.

Theme Parks Operating Cash Flow increased 40.5%, largely due to inclusion of Universal Studios Japan and successfully opening The Wizardly World of Harry Potter theme park in Hollywood.

Will acquire DreamWorks Animation for $3,800MM, which will probably see Shrek and Kung Fu Panda incorporated into a Universal Theme Park attraction.

Financial Metrics:

  • Total Revenue: $19,269MM, +2.8% YoY
    • Q2 2015: $18,743MM
  • Operating Income: $4,066MM, -1.0% YoY
    • Q2 2015: $4,105MM
  • Operating Cash Flow: $6,455MM, +3.0% YoY
    • Q2 2015: $6,266MM
  • Free Cash Flow: $1,420MM, -5.4% YoY
    • Q2 2015: $1,501MM
  • EPS: $0.83, -1.2% YoY
    • Q2 2015: $0.84
  • Total Cable Revenue: $12,444MM, +6.0% YoY
    • Q2 2015: $11,740MM
  • Cable Operating Cash Flow: $5,048MM, +5.7% YoY
    • Q2 2015: $4,777
  • Cable CAPEX: $1,881MM, 40.6% of Rev, +12.0% YoY
    • Q2 2015: $1,648MM, 40.7% of Rev
  • Cable Video Revenue: $5,581MM, +2.8% YoY
    • Q2 2015: $5,431MM
  • High Speed Revenue: $3,369MM, +8.6%
    • Q2 2015: $3,101MM
  • Business Services Revenue: $1,360MM, +17.0%
    • Q2 2015: $1,163MM
  • Advertising Revenue: $597MM, +3.5%
    • Q2 2015: $577MM
  • Other Revenue: 644MM, +13.7%
    • Q2 2015: $565MM
  • Cable Networks Revenue: $2,566MM, +4.7% YoY
    • Q2 2015: $2,450MM
  • Broadcast TV Revenue: $2,128MM, +17.4% YoY
    • Q2 2015: $1,813MM
  • Filmed Entertainment Revenue: $1,351MM, -40.4% YoY
    • Q2 2015: $2,266MM
  • Theme Parks Revenue: $1,136MM, +47.0% YoY
    • Q2 2015: $773MM

Subscriber Metrics:

  • Total Customer Relationships: 28,085MM, +3.0% YoY
    • Q2 2015: 27,265MM
  • Video: 22,396MM, +0.4% YoY
    • Q2 2015: 22,306MM
  • High Speed: 23,987MM, +6.4% YoY
    • Q2 2015: 22,548MM
  • Voice: 11,641MM, +2.8% YoY
    • Q2 2015: 11,319MM

List of Key Properties:

Forward Thinking:

  • Will deliver the most comprehensive and technologically advanced Olympics in history, with live streamed events and 6,800 hours of content
  • Launching Jason Bourne and Bridget Jones’s Baby, already seeing great success from their Q3 launch of The Secret Life of Pets
  • DreamWorks acquisition will hopefully be completed by end of year

Links to Company Website:

Please comment below if there are data points from Comcast you’d like me to include in their next Earnings Call Summary.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s