Comcast Corporation (NASDAQ: CMCSA) today reported results for
the quarter ended March 31, 2024.
“Our team is continuing to execute exceptionally well in a
dynamic and competitive marketplace," said Brian L. Roberts,
Chairman and Chief Executive Officer of Comcast Corporation. “We
delivered double-digit growth in Adjusted EPS and free cash flow
while returning $3.6 billion to shareholders, investing
aggressively in our businesses, and maintaining our strong balance
sheet. We grew broadband ARPU over 4%, delivered 7% revenue growth
in our connectivity businesses, and expanded our Adjusted EBITDA
margin across Connectivity & Platforms. In Studios, following a
record year with eight Oscars including Best Picture, our film
group continues to leverage our incredible IP with hits like Kung
Fu Panda 4; and Peacock remains one of the fastest growing domestic
streamers with impressive acquisition, retention and engagement
trends. Overall, I am proud of our ability to consistently perform
at the highest levels and continue to position the company for
long-term growth."
($ in millions, except per share data)
1st
Quarter
Consolidated Results
2024
2023
Change
Revenue
$30,058
$29,691
1.2%
Net Income Attributable to Comcast
$3,857
$3,834
0.6%
Adjusted Net Income1
$4,171
$3,877
7.6%
Adjusted EBITDA2
$9,355
$9,415
(0.6%
)
Earnings per Share3
$0.97
$0.91
6.5%
Adjusted Earnings per Share1
$1.04
$0.92
13.9%
Net Cash Provided by Operating
Activities
$7,848
$7,228
8.6%
Free Cash Flow4
$4,538
$3,800
19.4%
For additional detail on segment revenue and expenses,
customer metrics, capital expenditures, and free cash flow, please
refer to the trending schedule on Comcast’s Investor Relations
website at www.cmcsa.com.
1st Quarter 2024 Highlights:
- Adjusted EPS increased 13.9% to $1.04; Generated Free Cash Flow
of $4.5 Billion
- Total Return of Capital to Shareholders Increased 13.5% to $3.6
Billion Through a Combination of $1.2 Billion in Dividend Payments
and $2.4 Billion in Share Repurchases
- Connectivity & Platforms Adjusted EBITDA Increased 1.5% to
$8.2 Billion and Adjusted EBITDA Margin Increased 30 Basis Points
to 40.5%. Excluding the Impact of Foreign Currency, Connectivity
& Platforms Adjusted EBITDA Increased 1.3% and Adjusted EBITDA
Margin Increased 50 Basis Points
- Domestic Broadband Average Rate Per Customer Increased 4.2%,
Driving Domestic Broadband Revenue Growth of 3.9% to $6.6
Billion
- Domestic Wireless Customer Lines Increased 21% Compared to the
Prior Year Period to 6.9 Million, Including Net Additions of
289,000 in the First Quarter
- Kung Fu Panda 4 Debuted in March and Grossed Over $480 Million
in Worldwide Box Office Year-to-Date, Contributing to the Panda
Franchise's Cumulative Total of $2.3 Billion. Oppenheimer Won 7
Oscars at the Academy Awards, Began Streaming Exclusively on
Peacock Beginning in February and Was the Most Watched Pay 1 Movie
in Peacock's History
- Peacock Paid Subscribers Increased 55% Compared to the Prior
Year Period to 34 Million, Including Net Additions of 3 Million in
the First Quarter. Peacock Revenue Increased 54% to $1.1 Billion;
Adjusted EBITDA Improved Compared to the Prior Year Period and Also
on a Sequential Basis
1st Quarter Consolidated Financial Results
Revenue increased 1.2% compared to the prior year period.
Net Income Attributable to Comcast was consistent with the
prior year period. Adjusted Net Income increased 7.6%.
Adjusted EBITDA was consistent with the prior year
period.
Earnings per Share (EPS) increased 6.5% to $0.97.
Adjusted EPS increased 13.9% to $1.04.
Capital Expenditures decreased 1.3% to $2.6 billion.
Connectivity & Platforms’ capital expenditures decreased 3.8%
to $1.9 billion, reflecting lower spending on customer premise
equipment, scalable infrastructure and support capital, partially
offset by higher investment in line extensions. Content &
Experiences' capital expenditures increased 3.8% to $676 million,
primarily driven by investment in Theme Parks, which continues to
reflect significant spending due to the construction of Epic
Universe theme park in Orlando, which is scheduled to open in
2025.
Net Cash Provided by Operating Activities was $7.8
billion. Free Cash Flow was $4.5 billion.
Dividends and Share Repurchases. Comcast paid dividends
totaling $1.2 billion and repurchased 56.0 million of its shares
for $2.4 billion, resulting in a total return of capital to
shareholders of $3.6 billion.
Connectivity & Platforms
($ in millions)
Constant Currency Change5
1st
Quarter
2024
2023
Change
Connectivity & Platforms
Revenue
Residential Connectivity &
Platforms
$17,868
$17,869
—
%
(0.8
%)
Business Services Connectivity
2,407
2,283
5.4
%
5.4
%
Total Connectivity & Platforms
Revenue
$20,275
$20,153
0.6
%
(0.1
%)
Connectivity & Platforms Adjusted
EBITDA
Residential Connectivity &
Platforms
$6,852
$6,762
1.3
%
1.1
%
Business Services Connectivity
1,366
1,332
2.6
%
2.6
%
Total Connectivity & Platforms
Adjusted EBITDA
$8,218
$8,093
1.5
%
1.3
%
Connectivity & Platforms Adjusted
EBITDA Margin
Residential Connectivity &
Platforms
38.3
%
37.8
%
50 bps
60 bps
Business Services Connectivity
56.7
%
58.3
%
(160) bps
(160) bps
Total Connectivity & Platforms
Adjusted EBITDA Margin
40.5
%
40.2
%
30 bps
50 bps
Change percentages represent year/year growth rates. Change
in Adjusted EBITDA margin is presented as year/year basis point
changes.
Revenue for Connectivity & Platforms was consistent
with the prior year period. Adjusted EBITDA increased due to
growth in Residential Connectivity & Platforms Adjusted EBITDA
and Business Services Connectivity Adjusted EBITDA. Adjusted
EBITDA margin increased to 40.5%.
(in thousands)
Net
Additions /
(Losses)
1st
Quarter
1Q24
1Q23
2024
2023
Customer Relationships
Domestic Residential Connectivity &
Platforms Customer Relationships
31,555
31,826
(94
)
(34
)
International Residential Connectivity
& Platforms Customer Relationships
17,782
18,051
(65
)
111
Business Services Connectivity Customer
Relationships
2,634
2,630
(7
)
5
Total Connectivity & Platforms
Customer Relationships
51,971
52,507
(166
)
82
Domestic Broadband
Residential Customers
29,693
29,815
(55
)
3
Business Customers
2,495
2,508
(10
)
2
Total Domestic Broadband
Customers
32,188
32,324
(65
)
5
Total Domestic Wireless Lines
6,877
5,668
289
355
Total Domestic Video Customers
13,618
15,528
(487
)
(614
)
Total Customer Relationships for Connectivity &
Platforms decreased by 166,000 to 52.0 million, primarily
reflecting decreases in Residential Connectivity & Platforms
customer relationships. Total domestic broadband customer net
losses were 65,000, total domestic wireless line net additions were
289,000 and total domestic video customer net losses were
487,000.
Residential Connectivity & Platforms
($ in millions)
Constant Currency Change5
1st
Quarter
2024
2023
Change
Revenue
Domestic Broadband
$6,591
$6,343
3.9
%
3.9
%
Domestic Wireless
972
858
13.3
%
13.3
%
International Connectivity
1,116
897
24.4
%
19.4
%
Total Residential Connectivity
8,679
8,099
7.2
%
6.7
%
Video
6,876
7,382
(6.9
%)
(7.7
%)
Advertising
951
907
4.9
%
3.5
%
Other
1,362
1,482
(8.1
%)
(9.0
%)
Total Revenue
$17,868
$17,869
—
%
(0.8
%)
Operating Expenses
Programming
$4,405
$4,600
(4.2
%)
(5.1
%)
Non-Programming
6,611
6,508
1.6
%
0.4
%
Total Operating Expenses
$11,016
$11,108
(0.8
%)
(1.9
%)
Adjusted EBITDA
$6,852
$6,762
1.3
%
1.1
%
Adjusted EBITDA Margin
38.3
%
37.8
%
50 bps
60 bps
Change percentages represent year/year growth rates. Change
in Adjusted EBITDA margin is presented as year/year basis point
changes.
Revenue for Residential Connectivity & Platforms was
consistent with the prior year period, driven by increases in
domestic broadband, international connectivity, domestic wireless
and advertising revenue, offset by decreases in video and other
revenue. Domestic broadband revenue increased due to higher average
rates. International connectivity revenue increased due to an
increase in broadband revenue from higher average rates and in
wireless revenue, reflecting higher sales of wireless services and
devices. These increases include the positive impact of foreign
currency. Domestic wireless revenue increased due to an increase in
the number of customer lines. Advertising revenue increased
primarily due to higher domestic political advertising, higher
revenue from our advanced advertising business and the positive
impact of foreign currency, partially offset by lower domestic
advertising. Video revenue decreased due to a decline in the number
of video customers, partially offset by an overall increase in
average rates and the positive impact of foreign currency. Other
revenue decreased primarily due to lower residential wireline voice
revenue, driven by a decline in the number of customers.
Adjusted EBITDA for Residential Connectivity &
Platforms increased due to lower operating expenses. Programming
expenses decreased primarily due to a decline in the number of
domestic video customers, partially offset by rate increases under
our domestic programming contracts and the impact of foreign
currency. Non-programming expenses increased primarily due to
higher technical and support costs, the impact of foreign currency
and increased direct product costs, partially offset by lower
spending on marketing and promotion expenses. Adjusted EBITDA
margin increased to 38.3%.
Business Services Connectivity
($ in millions)
Constant Currency Change5
1st
Quarter
2024
2023
Change
Revenue
$2,407
$2,283
5.4%
5.4%
Operating Expenses
1,041
952
9.4%
9.4%
Adjusted EBITDA
$1,366
$1,332
2.6%
2.6%
Adjusted EBITDA Margin
56.7
%
58.3
%
(160) bps
(160) bps
Change percentages represent year/year growth rates. Change
in Adjusted EBITDA margin is presented as year/year basis point
changes.
Revenue for Business Services Connectivity increased due
to an increase in revenue from small business customers, driven by
higher average rates, and an increase in revenue from medium-sized
and enterprise customers.
Adjusted EBITDA for Business Services Connectivity
increased due to higher revenue, partially offset by higher
operating expenses. The increase in operating expenses was
primarily due to increases in direct product costs, marketing and
promotion expenses, and technical and support costs. Adjusted
EBITDA margin decreased to 56.7%.
Content & Experiences
($ in millions)
1st
Quarter
2024
2023
Change
Content & Experiences
Revenue
Media
$6,371
$6,152
3.6
%
Studios
2,743
2,956
(7.2
%)
Theme Parks
1,979
1,949
1.5
%
Headquarters & Other
12
19
(36.8
%)
Eliminations
(731
)
(817
)
10.5
%
Total Content & Experiences
Revenue
$10,374
$10,259
1.1
%
Content & Experiences Adjusted
EBITDA
Media
$827
$880
(6.1
%)
Studios
244
277
(12.2
%)
Theme Parks
632
658
(3.9
%)
Headquarters & Other
(243
)
(232
)
(4.8
%)
Eliminations
33
24
36.9
%
Total Content & Experiences
Adjusted EBITDA
$1,493
$1,607
(7.1
%)
Revenue for Content & Experiences increased compared
to the prior year period driven by Media and Theme Parks.
Adjusted EBITDA for Content & Experiences decreased
primarily due to decreases in Media, Studios and Theme Parks.
Media
($ in millions)
1st
Quarter
2024
2023
Change
Revenue
Domestic Advertising
$2,025
$2,025
—
%
Domestic Distribution
2,906
2,709
7.2
%
International Networks
1,021
1,008
1.3
%
Other
420
410
2.5
%
Total Revenue
$6,371
$6,152
3.6
%
Operating Expenses
5,545
5,272
5.2
%
Adjusted EBITDA
$827
$880
(6.1
%)
Revenue for Media increased primarily due to higher
domestic distribution revenue. Domestic distribution revenue
increased primarily due to higher revenue at Peacock, driven by an
increase in paid subscribers. International networks revenue
increased primarily reflecting the positive impact of foreign
currency. Domestic advertising revenue was consistent primarily due
to lower revenue at our networks, offset by an increase in revenue
at Peacock.
Adjusted EBITDA for Media decreased due to higher
operating expenses, which more than offset higher revenue. The
increase in operating expenses was primarily due to higher
programming costs at Peacock. Media results include $1.1 billion of
revenue and an Adjusted EBITDA6 loss of $639 million related to
Peacock, compared to $685 million of revenue and an Adjusted
EBITDA6 loss of $704 million in the prior year period.
Studios
($ in millions)
1st
Quarter
2024
2023
Change
Revenue
Content Licensing
$2,101
$2,344
(10.4
%)
Theatrical
330
319
3.4
%
Other
312
292
6.6
%
Total Revenue
$2,743
$2,956
(7.2
%)
Operating Expenses
2,499
2,678
(6.7
%)
Adjusted EBITDA
$244
$277
(12.2
%)
Revenue for Studios decreased due to lower content
licensing revenue, primarily reflecting the timing of when content
was made available by our film studios. Theatrical revenue
increased due to the successful performance of recent releases,
including Kung Fu Panda 4 and Migration, compared to theatrical
releases in the prior year period, including Puss in Boots: The
Last Wish and M3GAN.
Adjusted EBITDA for Studios decreased due to lower
revenue, which more than offset lower operating expenses. The
decrease in operating expenses primarily reflected lower
programming and production expenses, mainly due to lower costs
associated with the timing of when content was made available by
our film studios.
Theme Parks
($ in millions)
1st
Quarter
2024
2023
Change
Revenue
$1,979
$1,949
1.5%
Operating Expenses
1,347
1,291
4.3%
Adjusted EBITDA
$632
$658
(3.9%)
Revenue for Theme Parks increased due to higher revenue
at our domestic theme parks. International theme parks revenue was
consistent due to higher underlying revenue, offset by the negative
impact of foreign currency.
Adjusted EBITDA for Theme Parks decreased, reflecting
higher operating expenses and the negative impact of foreign
currency, which more than offset higher revenue. The increase in
operating expenses was primarily due to higher marketing and
promotions costs.
Headquarters & Other
Content & Experiences Headquarters & Other includes
overhead, personnel costs and costs associated with corporate
initiatives. Headquarters & Other Adjusted EBITDA loss in the
first quarter was $243 million, compared to a loss of $232 million
in the prior year period.
Eliminations
Amounts represent eliminations of transactions between our
Content & Experiences segments, the most significant being
content licensing between the Studios and Media segments, which are
affected by the timing of recognition of content licenses. Revenue
eliminations were $731 million, compared to $817 million in the
prior year period, and Adjusted EBITDA eliminations were a benefit
of $33 million, compared to a benefit of $24 million in the prior
year period.
Corporate, Other and Eliminations
($ in millions)
1st
Quarter
2024
2023
Change
Corporate & Other
Revenue
$767
$707
8.6
%
Operating Expenses
1,096
995
10.2
%
Adjusted EBITDA
($329
)
($288
)
(14.2
%)
Eliminations
Revenue
($1,358
)
($1,427
)
(4.8
%)
Operating Expenses
(1,332
)
(1,430
)
(6.8
%)
Adjusted EBITDA
($26
)
$3
N
M
NM=comparison not meaningful.
Corporate & Other
Corporate & Other primarily includes overhead and personnel
costs; our Sky-branded video services and television networks in
Germany; Comcast Spectacor, which owns the Philadelphia Flyers and
the Wells Fargo Center arena in Philadelphia, Pennsylvania; and
Xumo, our consolidated streaming platform joint venture beginning
in June 2022. Corporate & Other Adjusted EBITDA decreased
primarily reflecting an increase in operating expenses primarily
due to higher costs related to our corporate functions, Sky and
Xumo.
Eliminations
Amounts represent eliminations of transactions between
Connectivity & Platforms, Content & Experiences and other
businesses, the most significant being distribution of television
network programming between the Media and Residential Connectivity
& Platforms segments. Revenue eliminations were $1.4 billion,
consistent with the prior year period, and Adjusted EBITDA
eliminations were a loss of $26 million compared to a benefit of $3
million in the prior year period.
Notes: 1
We define Adjusted Net Income and
Adjusted EPS as net income attributable to Comcast Corporation and
diluted earnings per common share attributable to Comcast
Corporation shareholders, respectively, adjusted to exclude the
effects of the amortization of acquisition-related intangible
assets, investments that investors may want to evaluate separately
(such as based on fair value) and the impact of certain events,
gains, losses or other charges that affect period-over-period
comparisons. See Table 5 for reconciliations of non-GAAP financial
measures.
2
We define Adjusted EBITDA as net
income attributable to Comcast Corporation before net income (loss)
attributable to noncontrolling interests, income tax expense,
investment and other income (loss), net, interest expense,
depreciation and amortization expense, and other operating gains
and losses (such as impairment charges related to fixed and
intangible assets and gains or losses on the sale of long-lived
assets), if any. From time to time, we may exclude from Adjusted
EBITDA the impact of certain events, gains, losses or other charges
(such as significant legal settlements) that affect the
period-to-period comparability of our operating performance. See
Table 4 for reconciliation of non-GAAP financial measure.
3
All earnings per share amounts
are presented on a diluted basis.
4
We define Free Cash Flow as net
cash provided by operating activities (as stated in our
Consolidated Statement of Cash Flows) reduced by capital
expenditures and cash paid for intangible assets. From time to
time, we may exclude from Free Cash Flow the impact of certain cash
receipts or payments (such as significant legal settlements) that
affect period-to-period comparability. Cash payments related to
certain capital or intangible assets, such as the construction of
Universal Beijing Resort, are presented separately in our
Consolidated Statement of Cash Flows and are therefore excluded
from capital expenditures and cash paid for intangible assets for
Free Cash Flow. See Table 4 for reconciliation of non-GAAP
financial measure.
5
Constant currency growth rates
are calculated by comparing the results for each comparable prior
year period adjusted to reflect the average exchange rates from
each current year period presented rather than the actual exchange
rates that were in effect during the respective periods. See Table
6 for reconciliations of non-GAAP financial measures.
6
Adjusted EBITDA is the measure of
profit or loss for our segments. From time to time, we may present
Adjusted EBITDA for components of our reportable segments, such as
Peacock. We believe these measures are useful to evaluate our
financial results and provide a basis of comparison to others,
although our definition of Adjusted EBITDA may not be directly
comparable to similar measures used by other companies. Adjusted
EBITDA for components are generally presented on a consistent basis
with the respective segments and include direct revenue and
operating costs and expenses attributed to the component
operations.
Numerical information is presented on a rounded basis using
actual amounts. Minor differences in totals and percentage
calculations may exist due to rounding.
Conference Call and Other Information
Comcast Corporation will host a conference call with the
financial community today, April 25, 2024, at 8:30 a.m. Eastern
Time (ET). The conference call and related materials will be
broadcast live and posted on our Investor Relations website at
www.cmcsa.com. A replay of the call will be available starting at
11:30 a.m. ET on Thursday, April 25, 2024, on the Investor
Relations website.
From time to time, we post information that may be of interest
to investors on our website at www.cmcsa.com and on our corporate
website, www.comcastcorporation.com. To automatically receive
Comcast financial news by email, please visit www.cmcsa.com and
subscribe to email alerts.
Caution Concerning Forward-Looking Statements
This press release includes statements that may constitute
forward-looking statements. In evaluating these statements, readers
should consider various factors, including the risks and
uncertainties we describe in the “Risk Factors” sections of our
most recent Annual Report on Form 10-K, our most recent Quarterly
Report on Form 10-Q and other reports filed with the Securities and
Exchange Commission (SEC). Factors that could cause our actual
results to differ materially from these forward-looking statements
include changes in and/or risks associated with: the competitive
environment; consumer behavior; the advertising market; consumer
acceptance of our content; programming costs; key distribution
and/or licensing agreements; use and protection of our intellectual
property; our reliance on third-party hardware, software and
operational support; keeping pace with technological developments;
cyber attacks, security breaches or technology disruptions; weak
economic conditions; acquisitions and strategic initiatives;
operating businesses internationally; natural disasters, severe
weather-related and other uncontrollable events; loss of key
personnel; labor disputes; laws and regulations; adverse decisions
in litigation or governmental investigations; and other risks
described from time to time in reports and other documents we file
with the SEC. Readers are cautioned not to place undue reliance on
forward-looking statements, which speak only as of the date they
are made, and involve risks and uncertainties that could cause
actual events or our actual results to differ materially from those
expressed in any such forward-looking statements. We undertake no
obligation to update or revise publicly any forward-looking
statements, whether because of new information, future events or
otherwise. The amount and timing of any dividends and share
repurchases are subject to business, economic and other relevant
factors.
Non-GAAP Financial Measures
In this discussion, we sometimes refer to financial measures
that are not presented according to generally accepted accounting
principles in the U.S. (GAAP). Certain of these measures are
considered “non-GAAP financial measures” under the SEC regulations;
those rules require the supplemental explanations and
reconciliations that are in Comcast’s Form 8-K (Quarterly Earnings
Release) furnished to the SEC.
About Comcast Corporation
Comcast Corporation (Nasdaq: CMCSA) is a global media and
technology company. From the connectivity and platforms we provide,
to the content and experiences we create, our businesses reach
hundreds of millions of customers, viewers, and guests worldwide.
We deliver world-class broadband, wireless, and video through
Xfinity, Comcast Business, and Sky; produce, distribute, and stream
leading entertainment, sports, and news through brands including
NBC, Telemundo, Universal, Peacock, and Sky; and bring incredible
theme parks and attractions to life through Universal Destinations
& Experiences. Visit www.comcastcorporation.com for more
information.
TABLE 1
Condensed Consolidated Statements of
Income (Unaudited)
Three Months Ended
(in millions, except per share data)
March 31,
2024
2023
Revenue
$30,058
$29,691
Costs and expenses
Programming and production
8,823
9,004
Marketing and promotion
2,018
1,963
Other operating and administrative
9,857
9,301
Depreciation
2,175
2,264
Amortization
1,376
1,513
24,248
24,045
Operating income
5,810
5,646
Interest expense
(1,002)
(1,010)
Investment and other income (loss),
net
Equity in net income (losses) of
investees, net
158
485
Realized and unrealized gains (losses) on
equity securities, net
(51)
(6)
Other income (loss), net
191
128
298
607
Income before income taxes
5,105
5,243
Income tax expense
(1,328)
(1,476)
Net income
3,777
3,767
Less: Net income (loss) attributable to
noncontrolling interests
(79)
(67)
Net income attributable to Comcast
Corporation
$3,857
$3,834
Diluted earnings per common share
attributable to Comcast Corporation shareholders
$0.97
$0.91
Diluted weighted-average number of common
shares
3,992
4,227
TABLE 2
Consolidated Statements of Cash Flows
(Unaudited)
Three Months Ended
(in millions)
March 31,
2024
2023
OPERATING ACTIVITIES
Net income
$3,777
$3,767
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation and amortization
3,551
3,777
Share-based compensation
373
359
Noncash interest expense (income), net
103
78
Net (gain) loss on investment activity and
other
(164)
(517)
Deferred income taxes
(17)
82
Changes in operating assets and
liabilities, net of effects of acquisitions and divestitures:
Current and noncurrent receivables,
net
643
363
Film and television costs, net
124
13
Accounts payable and accrued expenses
related to trade creditors
(446)
(651)
Other operating assets and liabilities
(97)
(43)
Net cash provided by operating
activities
7,848
7,228
INVESTING ACTIVITIES
Capital expenditures
(2,630)
(2,664)
Cash paid for intangible assets
(679)
(765)
Construction of Universal Beijing
Resort
(108)
(87)
Proceeds from sales of businesses and
investments
274
343
Purchases of investments
(404)
(149)
Other
35
(48)
Net cash (used in) investing
activities
(3,511)
(3,370)
FINANCING ACTIVITIES
Proceeds from (repayments of) short-term
borrowings, net
—
(660)
Proceeds from borrowings
26
1,059
Repurchases and repayments of debt
(289)
(49)
Repurchases of common stock under
repurchase program and employee plans
(2,664)
(2,176)
Dividends paid
(1,193)
(1,174)
Other
97
(82)
Net cash (used in) financing
activities
(4,023)
(3,082)
Impact of foreign currency on cash, cash
equivalents and restricted cash
(10)
20
Increase (decrease) in cash, cash
equivalents and restricted cash
304
796
Cash, cash equivalents and restricted
cash, beginning of period
6,282
4,782
Cash, cash equivalents and restricted
cash, end of period
$6,586
$5,577
TABLE 3
Condensed Consolidated Balance Sheets
(Unaudited)
(in millions)
March 31,
December 31,
2024
2023
ASSETS
Current Assets
Cash and cash equivalents
$6,515
$6,215
Receivables, net
13,144
13,813
Other current assets
4,319
3,959
Total current assets
23,978
23,987
Film and television costs
12,757
12,920
Investments
9,548
9,385
Property and equipment, net
59,918
59,686
Goodwill
58,668
59,268
Franchise rights
59,365
59,365
Other intangible assets, net
27,063
27,867
Other noncurrent assets, net
12,304
12,333
$263,601
$264,811
LIABILITIES AND EQUITY
Current Liabilities
Accounts payable and accrued expenses
related to trade creditors
$11,792
$12,437
Accrued participations and residuals
1,583
1,671
Deferred revenue
3,446
3,242
Accrued expenses and other current
liabilities
11,834
11,613
Current portion of debt
2,502
2,069
Advance on sale of investment
9,167
9,167
Total current liabilities
40,324
40,198
Noncurrent portion of debt
94,071
95,021
Deferred income taxes
25,978
26,003
Other noncurrent liabilities
19,935
20,122
Redeemable noncontrolling interests
243
241
Equity
Comcast Corporation shareholders'
equity
82,549
82,703
Noncontrolling interests
500
523
Total equity
83,049
83,226
$263,601
$264,811
TABLE 4
Reconciliation from Net Income
Attributable to Comcast Corporation to Adjusted EBITDA
(Unaudited)
Three Months Ended March
31,
(in millions)
2024
2023
Net income attributable to Comcast
Corporation
$3,857
$3,834
Net income (loss) attributable to
noncontrolling interests
(79)
(67)
Income tax expense
1,328
1,476
Interest expense
1,002
1,010
Investment and other (income) loss,
net
(298)
(607)
Depreciation
2,175
2,264
Amortization
1,376
1,513
Adjustments (1)
(6)
(8)
Adjusted EBITDA
$9,355
$9,415
Reconciliation from Net Cash Provided
by Operating Activities to Free Cash Flow (Unaudited)
Three Months Ended March
31,
(in millions)
2024
2023
Net cash provided by operating
activities
$7,848
$7,228
Capital expenditures
(2,630)
(2,664)
Cash paid for capitalized software and
other intangible assets
(679)
(765)
Free Cash Flow
$4,538
$3,800
Alternate Presentation of Free Cash
Flow (Unaudited)
Three Months Ended March
31,
(in millions)
2024
2023
Adjusted EBITDA
$9,355
$9,415
Capital expenditures
(2,630)
(2,664)
Cash paid for capitalized software and
other intangible assets
(679)
(765)
Cash interest expense
(731)
(766)
Cash taxes
(349)
(148)
Changes in operating assets and
liabilities
(940)
(1,731)
Noncash share-based compensation
373
359
Other (2)
140
99
Free Cash Flow
$4,538
$3,800
(1)
1st quarter 2024 and 2023 Adjusted EBITDA excludes $(6) and $(8)
million of other operating and administrative expenses,
respectively, related to our investment portfolio.
(2)
1st quarter 2024 and 2023 include
adjustments of $(6) and $(8) million, respectively, of costs
related to our investment portfolio as these amounts are excluded
from Adjusted EBITDA.
TABLE 5
Reconciliations of Adjusted Net Income
and Adjusted EPS (Unaudited)
Three Months Ended March
31,
2024
2023
(in millions, except per share data)
$
EPS
$
EPS
Net income attributable to Comcast
Corporation and diluted earnings per share attributable to Comcast
Corporation shareholders
$3,857
$0.97
$3,834
$0.91
Change
0.6%
6.5%
Amortization of acquisition-related
intangible assets (1)
437
0.11
431
0.10
Investments (2)
(123)
(0.03)
(389)
(0.09)
Adjusted Net income and Adjusted
EPS
$4,171
$1.04
$3,877
$0.92
Change
7.6%
13.9%
(1)
Acquisition-related intangible assets are
recognized as a result of the application of Accounting Standards
Codification Topic 805, Business Combinations (such as customer
relationships), and their amortization is significantly affected by
the size and timing of our acquisitions. Amortization of intangible
assets not resulting from business combinations (such as software
and acquired intellectual property rights used in our theme parks)
is included in Adjusted Net Income and Adjusted EPS.
Three Months Ended March 31,
2024
2023
Amortization of
acquisition-related intangible assets before income taxes
$569
$556
Amortization of
acquisition-related intangible assets, net of tax
$437
$431
(2)
Adjustments for investments include
realized and unrealized (gains) losses on equity securities, net
(as stated in Table 1), as well as the equity in net (income)
losses of investees, net, for certain equity method investments,
including Atairos and Hulu and costs related to our investment
portfolio.
Three Months Ended March 31,
2024
2023
Realized and unrealized (gains) losses on
equity securities, net
$51
$6
Equity in net (income) losses of
investees, net and other
(215)
(521)
Investments before income taxes
(164)
(515)
Investments, net of tax
($123)
($389)
TABLE 6
Reconciliation of Constant Currency
(Unaudited)
Three Months Ended
March 31, 2023
(in millions)
As Reported
Effects of Foreign Currency
Constant Currency Amounts
Reconciliation of Connectivity &
Platforms Constant Currency
Connectivity & Platforms
Revenue
Residential Connectivity &
Platforms
$17,869
$135
$18,004
Business Services Connectivity
2,283
1
2,284
Total Connectivity & Platforms
Revenue
$20,153
$134
$20,287
Connectivity and Platforms Adjusted
EBITDA
Residential Connectivity &
Platforms
$6,762
$18
$6,780
Business Services Connectivity
1,332
—
1,332
Total Connectivity & Platforms
Adjusted EBITDA
$8,093
$18
$8,111
Connectivity & Platforms Adjusted
EBITDA Margin
Residential Connectivity &
Platforms
37.8%
(10) bps
37.7%
Business Services Connectivity
58.3%
— bps
58.3%
Total Connectivity & Platforms
Adjusted EBITDA Margin
40.2%
(20) bps
40.0%
Three Months Ended
March 31, 2023
(in millions)
As Reported
Effects of Foreign Currency
Constant Currency Amounts
Reconciliation of Residential
Connectivity & Platforms Constant Currency
Revenue
Domestic broadband
$6,343
$—
$6,343
Domestic wireless
858
—
858
International connectivity
897
38
935
Total residential connectivity
$8,099
$37
$8,136
Video
7,382
69
7,451
Advertising
907
12
919
Other
1,482
15
1,497
Total Revenue
$17,869
$135
$18,004
Operating Expenses
Programming
$4,600
$42
$4,642
Non-Programming
6,508
75
6,583
Total Operating Expenses
$11,108
$116
$11,224
Adjusted EBITDA
$6,762
$18
$6,780
Adjusted EBITDA Margin
37.8%
(10) bps
37.7%
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240425957821/en/
Investor Contacts: Marci Ryvicker (215) 286-4781 Jane
Kearns (215) 286-4794 Marc Kaplan (215) 286-6527
Press Contacts: Jennifer Khoury (215) 286-7408 John
Demming (215) 286-8011
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