Stocks/Earnings

NBCUniversal Profits Increase 22.6% in Second Quarter

Gains in distribution revenue boost cable networks; ad sales down 7/27/2017 9:19 AM Eastern

NBCUniversal posted a big increase in profits in the second quarter, as distribution revenue increased at its cable and broadcast TV networks.

Parent company Comcast said NBCU’s adjusted earnings before interest, taxes, depreciation and amortization rose 22.6% to $2.071 billion. Revenue increased by 17.3% to $8.331 billion.

At the NBCU cable networks, earnings rose 11.7% to $1.055 billion as revenue rose $5.1% to $2.7 billion. An 8% gain in distribution revenue offset lower ad revenue, which was down 0.9% because of lower ratings.

NBC’s broadcast operations increased profit by 5.5% to $416 million. Revenue was up 5.3% to $2.241 billion. Distribution and other revenue was up 36.1% because of higher retransmission-consent fees. Advertising revenue was down 1.2%.

Overall, Comcast’s second-quarter net income rose 24% to $2.513 billion, or 52 cents a share, from $2.028 billion, or 41 cents per share, a year ago. Revenue rose 9.8% to $21.165 billion.

At Comcast’s cable business, earnings rose 5.4% to $1.956 billion in the quarter as revenue rose 5.5% to $13.12 billion.

The MSO’s total number of video subscribers fell by 34,000. The company added 175,000 high-speed internet customers. Phone customers were down by 22,000.

Total customer relationships rose by 114,000, the company said.

Read more at broadcastingcable.com.

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