Comcast Corporation (NASDAQ:CMCSA) posted better-than-expected third-quarter results, with strong gains in its wireless and entertainment divisions helping cushion ongoing broadband subscriber declines. Shares rose 1.5% in premarket trading following the release.
The company reported adjusted earnings of $1.12 per share, two cents above analyst estimates, while revenue reached $31.2 billion, topping the $30.7 billion consensus forecast. Total revenue slipped 2.7% year-over-year, a drop largely attributed to a tough comparison against last year’s Olympic-fueled quarter.
Adjusted EBITDA was $9.7 billion, down slightly from the prior year’s figure.
Comcast’s wireless business continued to shine, adding a record 414,000 new lines in the quarter. Domestic wireless revenue surged 14% to $1.25 billion, helping offset continued pressure in broadband, where the company lost 104,000 subscribers amid heightened competition and a saturated market.
“We’re making steady progress as we reposition the company for long-term, sustained growth,” said Brian L. Roberts, Chairman and CEO of Comcast. “In Connectivity, we’re taking deliberate steps to strengthen our broadband foundation and accelerate wireless as a meaningful growth engine.”
The Theme Parks division was another bright spot, with revenue climbing 18.7% to $2.7 billion, fueled by the launch of Epic Universe in Orlando. The Studios segment delivered a 6.1% revenue increase to $3 billion, supported by blockbuster success from Jurassic World Rebirth, which has grossed nearly $900 million globally.
Meanwhile, Business Services maintained steady growth, as connectivity revenue rose 6.2% to $2.6 billion and EBITDA grew 4.5% to $1.5 billion.
Free cash flow jumped 45% year-over-year to $4.9 billion, and Comcast returned $2.8 billion to shareholders through a combination of dividends and stock buybacks.
The company’s streaming platform Peacock also showed progress, narrowing its EBITDA loss to $217 million from $436 million in the prior year, signaling improving profitability in its digital media operations.