10-QPeriod: Q2 FY2012

COMCAST CORP Quarterly Report for Q2 Ended Jun 30, 2012

Filed August 1, 2012For Securities:CMCSACCZ

Summary

Comcast Corporation (CMCSA) reported its second-quarter and year-to-date financial results for the period ending June 30, 2012. The company demonstrated solid revenue growth, driven by its Cable Communications segment and the NBCUniversal integration. Revenue for the quarter rose 6.1% to $15.2 billion, and for the six months, it increased by 13.7% to $30.1 billion. Net income attributable to Comcast Corporation showed significant year-over-year improvement, with a 31.9% increase for the quarter to $1.35 billion and a 30.8% increase for the six months to $2.57 billion. This performance reflects the successful integration of NBCUniversal and operational efficiencies across its business segments. The company also actively managed its capital structure through debt reduction and share repurchases, signaling a focus on shareholder returns and financial flexibility.

Financial Highlights

51 data points
Beta

Revenue

$15.21B

Net Income

$1.35B

8.9% Net Margin

EPS (Diluted)

$0.25

Total Assets

$157.69B

Cash & Equivalents

$2.10B

Free Cash Flow

$2.13B

Financial Statements
Beta
Revenue$15.21B
Operating Expenses$12.13B
Operating Income$3.08B
Interest Expense$625.00M
Net Income$1.35B
EPS (Basic)$0.25
EPS (Diluted)$0.25
Shares Outstanding (Basic)5.37B
Shares Outstanding (Diluted)5.43B

Key Highlights

  • 1Consolidated revenue grew by 6.1% to $15.2 billion for the three months ended June 30, 2012, and by 13.7% to $30.1 billion for the six months ended June 30, 2012.
  • 2Net income attributable to Comcast Corporation increased by 31.9% to $1.35 billion for the quarter and by 30.8% to $2.57 billion for the six months.
  • 3Cable Communications segment revenue increased by 6.0% to $9.9 billion for the quarter, driven by growth in High-speed Internet and Business services.
  • 4NBCUniversal segment revenue saw a slight decrease of 0.8% to $5.5 billion for the quarter but a substantial increase of 7.8% to $11.0 billion for the six months.
  • 5The company repurchased approximately $1.5 billion of its Class A Special common stock during the six months ended June 30, 2012.
  • 6Comcast paid $0.1625 per common share as a quarterly dividend in July 2012, reflecting a 44% increase on an annualized basis.
  • 7The company maintains significant liquidity with $5.8 billion available under its new revolving credit facility as of June 30, 2012.

Frequently Asked Questions

Comcast reported solid financial performance for the second quarter of 2012. Consolidated revenue increased by 6.1% year-over-year to $15.2 billion. Net income attributable to Comcast Corporation saw a significant rise of 31.9% to $1.35 billion, indicating improved profitability.

The Cable Communications segment was a strong performer, with revenue increasing by 6.0% to $9.9 billion for the quarter. This growth was primarily driven by increases in high-speed Internet and business services, along with rate adjustments. The segment continues to be the largest contributor to overall revenue and operating income.

The integration of NBCUniversal continues to contribute to the company's performance. While NBCUniversal segment revenue saw a slight dip of 0.8% to $5.5 billion for the quarter, it grew significantly by 7.8% to $11.0 billion for the six months. This suggests that while individual quarters may fluctuate, the overall integration is progressing and contributing to long-term revenue growth, especially when viewed over a longer period.

Comcast is actively returning capital to shareholders and managing its debt. During the first six months of 2012, the company repurchased approximately $1.5 billion of its common stock. It also paid a quarterly dividend of $0.1625 per share, representing a 44% annualized increase. The company also has a new $6.25 billion revolving credit facility, ensuring financial flexibility.