July 23 - Comcast’s Peacock streaming service recorded its first quarterly profit, reporting a $189 million pre-tax gain as audience interest in the FIFA World Cup and reality hit "Love Island USA" helped lift subscriptions and revenue.
Peacock, which launched in 2020 and entered the crowded streaming market after rivals had already established scale, posted what the company described as a milestone result following years of heavy content investment. The service added 2 million paid subscribers during the April-June quarter, nearly four times the increase analysts expected in a Visible Alpha poll, bringing Peacock’s paid subscriber base to 48 million.
Revenue at Peacock rose 54% year-over-year to $1.90 billion, also exceeding analyst estimates. NBCUniversal’s decision to lean on live sports helped attract viewers - the service carried Telemundo’s Spanish-language coverage of World Cup matches, which drew U.S. prime-time audiences. A robust summer film slate, including the unexpected box-office performer "Obsession" and the animated title "The Super Mario Galaxy Movie," contributed to studio revenue climbing 25% to $3 billion.
The streaming profit and studio gains arrive as Comcast prepares a planned spinoff of NBCUniversal and Sky - a move that would leave Comcast with a core connectivity business facing intensified competition. The company noted pressure on its broadband operations during the quarter, with broadband customer totals falling by 167,000 - slightly worse than the 165,300 loss estimated by FactSet.
Comcast’s theme parks unit also showed strain. Adjusted earnings before interest, taxes, depreciation and amortization for the parks declined 5.1%, and the unit’s revenue was $2.41 billion, marginally below estimates. The company cited pressure on attendance at its Asia parks - including at a Beijing site - tied to geopolitical tensions and weakness in the Chinese economy that has curtailed travel to Japan.
On the broader company level, Comcast reported total revenue of $29.94 billion and adjusted earnings per share of $1.04, both topping consensus estimates compiled by LSEG. In premarket trading following the results, Comcast shares rose roughly 3%.
Section takeaways - Peacock’s milestone quarter underlines the potential payoff from investing in live sports and select programming, while Comcast’s legacy operations continue to face headwinds. The streaming unit’s subscriber and revenue gains contrast with losses in broadband customers and softness at international theme parks.