Comcast reported third-quarter earnings that exceeded Wall Street forecasts, driven primarily by strength in its media division and continued profitability of its Peacock streaming platform.
Peacock achieved adjusted earnings before interest, taxes, depreciation and amortization of $261 million on $1.8 billion in revenue, marking the second quarterly profit since the service’s launch in 2020. The platform maintained 48 million paid subscribers, unchanged from the prior quarter but representing 17% growth year-over-year. Despite price increases implemented in August, the service demonstrated strong customer retention. The streamer benefited from record viewership related to FIFA World Cup coverage, which aired on NBCUniversal’s Telemundo and Peacock as games concluded during the quarter’s opening weeks.
Comcast’s overall media division, which includes Peacock, generated revenue of $5.4 billion, up 13% compared with the year-ago period. The broader content and experiences unit, encompassing the film studio and theme parks, posted 6.5% revenue growth. However, the connectivity and platforms sector continued to face headwinds, with revenue declining 2.7% year-over-year. The company reported a net loss of 144,000 domestic broadband residential customers and 274,000 cable customers during the period, though its mobile business added 368,000 customers.
Theme park performance presented a significant drag on results, with revenue declining 4.4% to $2.6 billion amid what the company attributed to cyclical headwinds and lower admission revenue caused by promotional activity. Adjusted earnings before interest, taxes, depreciation and amortization for the division fell 17%. Comcast’s studios division reported revenue of $2.97 billion, down 1.1% year-over-year, though adjusted earnings before interest, taxes, depreciation and amortization increased 18.6% to $402 million due to reduced operating expenses.
Comcast shares closed up over 3% on Thursday. The company reported net income of $3.45 billion, or 97 cents per share, compared with $3.33 billion, or 90 cents per share, in the year-ago quarter. Adjusted earnings per share reached $1.07. The company remains on track to complete the previously announced separation of NBCUniversal and Sky from its core cable, wireless and business services operations by mid-2027.
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