(Reuters) – Comcast Corp’s (CMCSA.(O) beat Wall Street’s profit and revenue estimates on Thursday, as the company has added a high-speed internet customers, and it lost more video subscribers than expected.
FILE PICTURE: NBC and the Comcast logo is displayed on the top of 30 Rockefeller Plaza, formerly known as the GE building in New York city, New York, united states of america on July 1, 2015. REUTERS/Brendan McDermid/File Photo
However, the third quarter showed that the focus on higher-margin broadband business is required for streaming the content it is helping to offset a decline in cable subscribers.
“Four things stood as if wrapped up in the neighbourhood of our strength in the broadband, and the continued popularity of our premium content, our global foot-and just a year after the heaven and Heaven to gain, and how the combination of these things puts us in a unique position to not only compete, including in the streaming market,” said Chief Executive Officer Brian Roberts.
Comcast shares were up 2.32% to $46.78 in premarket trading.
The sales of the company’s high-speed wireless internet access business grew by 9.3% to reach $4.72 billion, while the gain of 379,000 subscribers in the fourth quarter, beating the analysts ‘ average estimate of 344,000 net adds, according to research firm FactSet.
However, the results are also a reflection of the widespread “cord-cutting” in the line of business. The company lost 238,000 video customers in the three months that ended Sept. 30, higher than that of the 224,000 for the loss in the previous quarter, which is above the 203,000 loss is estimated by research firm FactSet.
In September the College announced that it will offer the Xfinity in Flex, the streaming-media set-top box, and a voice remote for free in the U.S. internet-only customers. It was more of a surcharge from customers at $5 per month for the service, and at a distance. The product is designed to make it easier for subscribers to access multiple streaming services to find shows.
The company’s nbc universal business, which NBC Entertainment and Universal Pictures, has reported a revenue of $8.30 billion, a decrease of 3.5% from a year earlier. In April, NBCUniversal is launching a streaming service called “Peacock”, which will be available as a subscription or by advertising, filled with 15,000 hours of content from the company’s library.
The british pay-TV group Sky, which Comcast acquired in you the Twenty-First Century Fox’s previous year’s revenue of $4.55 billion, missing estimates of $4.75 billion. However, granted, that’s missing the difficult macro-economic conditions in the UK, Germany, and Italy.
The Philadelphia company said that its revenue increased 21.2% to $26.83 billion, beating analysts ‘ average estimate of $26.77 billion, according to IBES data, Refinitiv.
Net income attributable to Comcast rose to $3.22 billion, or 70 cents a share, from $2.89 billion, or 62 cents a share, a year earlier.
With the exception of the items, the company earned 79 cents a share, ahead of estimates of 75 cents.
Report by Helen Coster in the New York and Neha Malara in Bengaluru; Editing by Sriraj Kalluvila and Chizu Nomiyama