01—Abstract
Summary
Summary of the 10-Q filed April 23, 2026. Cited figures are marked; the original filing is the authoritative source.
Comcast Corporation reported a significant decrease in net income attributable to Comcast Corporation for the first quarter of 2026 compared to the prior year, primarily driven by a substantial increase in programming and production costs and a notable decline in operating income.
While consolidated revenue saw a modest increase of 5.3%a, driven by growth in the Content & Experiences business, higher operating expenses outpaced revenue growth, leading to a 26.9% drop in operating income. The company also recorded a significant decrease in investment and other income. The separation of Versant Media Group in early 2026 had a notable impact, with its prior-year results included in the 2025 figures, affecting year-over-year comparisons.
Despite these challenges, the company continues to manage its capital through debt repayment and share repurchases. The Connectivity & Platforms segment experienced a slight revenue decrease, with domestic broadband revenue declining due to lower average rates and customer numbers, though this was partially offset by growth in domestic wireless service and equipment revenue. The Media segment saw a substantial revenue increase, largely due to the broadcasting of major sporting events like the Milan Cortina Olympics and the Super Bowl, alongside growth in domestic advertising and distribution.
However, significant increases in programming and production costs for this segment, also driven by these events and NBA rights, led to a negative Adjusted EBITDA. The Theme Parks segment showed strong revenue growth, benefiting from the opening of Epic Universe. The company's overall financial performance reflects a complex interplay of segment-specific dynamics, strategic divestitures, and large-scale event impacts.
02—Key points
Key Highlights
- Consolidated revenue increased by 5.3% to $31.5 billion, driven by the Content & Experiences business, though offset by the Versant separation and a decrease in Connectivity & Platforms.
- Net income attributable to Comcast Corporation decreased by 35.6% to $2.17 billion, with diluted EPS falling to $0.60 from $0.89 year-over-year.
- Operating income significantly declined by 26.9% to $4.14 billion, impacted by a substantial 29.3% increase in programming and production costs.
- The Media segment saw a 60.8% revenue surge, driven by major sporting events (Olympics, Super Bowl) and increased domestic advertising and distribution, but reported a negative Adjusted EBITDA of $(426) million.
- Connectivity & Platforms revenue saw a slight 1.0% decrease to $19.96 billion, with domestic broadband revenue declining 5.1% while domestic wireless service revenue grew 15.0%.
- Theme Parks revenue increased by 24.2% to $2.33 billion, benefiting from the recent opening of Epic Universe.
- Comcast repurchased $1.3 billion of its common stock in the first quarter of 2026 and paid $1.2 billion in dividends.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ1 FY2026filed April 23, 2026Financial Statements
Q1 FY2026 against Q1 FY2025
| Line item | Q1 FY2026Q1 FY2025 | Change |
|---|---|---|
| Revenue | $31.46B$29.89B | +5.3% |
| Operating Expenses | $27.32B$24.23B | +12.8% |
| Operating Income | $4.13B$5.66B | −26.9% |
| Net Income | $2.17B$3.38B | −35.6% |
| EPS (Basic) | $0.60$0.90 | −33.3% |
| EPS (Diluted) | $0.60$0.89 | −32.6% |
| Shares Outstanding (Basic) | 3.60B3.77B | −4.5% |
| Shares Outstanding (Diluted) | 3.62B3.78B | −4.4% |
05—Questions
Frequently Asked Questions
What is the primary driver behind the significant decrease in net income for the first quarter of 2026?
The primary driver for the decrease in net income attributable to Comcast Corporation was a substantial increase in programming and production costs (up 29.3%) and a significant decline in operating income (down 26.9%). Higher operating expenses outpaced revenue growth, impacting overall profitability.
How did the separation of Versant Media Group affect the reported financial results?
The separation of Versant Media Group on January 2, 2026, means that Versant's results were included in the first quarter of 2025 but are excluded from the first quarter of 2026 results and segment reporting. This impacts year-over-year comparisons, particularly affecting revenue and cost structures for the respective periods.
What is the outlook for the Connectivity & Platforms segment, particularly domestic broadband?
The Connectivity & Platforms segment experienced a slight revenue decrease. Domestic broadband revenue declined by 5.1% due to lower average rates and fewer customers. However, the company is focusing on growth in domestic wireless services, which saw a 15.0% increase in service revenue, and is working to mitigate broadband declines through strategies aimed at customer retention and competition.
What is the significance of the media segment's performance and its negative Adjusted EBITDA?
The Media segment's revenue surged by 60.8%, largely due to broadcasting major sporting events like the Milan Cortina Olympics and Super Bowl. However, the high costs associated with these events, alongside increased programming and production expenses for Peacock and NBA rights, led to a negative Adjusted EBITDA of $(426) million. This highlights the high cost of content acquisition and broadcast rights for premium live events.
06—Continue