Comcast Reports 1st Quarter 2024 Results
PHILADELPHIA--(BUSINESS WIRE)--April 25, 2024--
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 Income(1) $4,171 $3,877 7.6%
Adjusted EBITDA(2) $9,355 $9,415 (0.6%)
Earnings per Share(3) $0.97 $0.91 6.5%
Adjusted Earnings per Share(1) $1.04 $0.92 13.9%
Net Cash Provided by Operating
Activities $7,848 $7,228 8.6%
Free Cash Flow(4) $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
.
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)
-------
1st Quarter
-------------------------------------
Constant
Currency
2024 2023 Change Change(5)
------- ------- ----------- ------------
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.