Comcast Reports Strong Q3 2024 Earnings Boosted by Paris Olympics and Peacock
Coverage of the Paris Olympics played a significant role in boosting media revenue for NBCUniversal’s parent company, Comcast, during the third quarter, with a remarkable 36.5% year-over-year increase. The company reported total revenue of $32.1 billion and earnings per share of $1.12, surpassing the expectations of Wall Street analysts. Following this positive news, Comcast’s shares experienced a 4% surge in pre-market trading.
Flagship streaming service Peacock also saw growth, adding 3 million subscribers to reach a total of 36 million. Revenue for Peacock surged by 82% to $1.5 billion, while adjusted EBITDA losses narrowed to $436 million from $565 million in the previous year.
Even excluding the revenue generated from the Olympics, the Media division witnessed a substantial 4.9% increase in revenue. However, on the pay-TV front, Comcast lost 365,000 video customers, ending the quarter with 12.8 million subscribers. Despite this decline, both Comcast and Charter are prioritizing broadband services over traditional pay-TV due to the ongoing trend of cord-cutting.
The Connectivity & Platforms division, encompassing broadband and pay-TV services, experienced a slight decrease in total revenue, reaching $20.3 billion, while adjusted EBITDA rose marginally to $8.3 billion. The end of the Federal Communications Commission’s Affordable Connectivity Program had a negative impact on this division.
Comcast’s Studios unit had a successful quarter, largely attributed to the release of Despicable Me 4, which led to a 12% increase in revenue, reaching $2.8 billion. Adjusted EBITDA for the Studios unit also rose by 9% to $468 million.
However, the theme parks segment faced challenges, with revenue declining by 5% to $2.3 billion and adjusted EBITDA dropping by 14% to $847 million. Lower guest attendance at domestic theme parks was cited as the primary reason for this downturn.
Despite the challenges faced by the theme parks division, Comcast announced the upcoming opening of Universal Epic Universe in May 2025, which is deemed as the most ambitious and technologically sophisticated theme park ever created by the company. Comcast CEO Brian Roberts expressed satisfaction with the overall performance of the company during the quarter, highlighting the team’s execution and strategic positioning for long-term growth.