Comcast Earnings Rise 30% Thanks to the Lorax and the Super Bowl
It was revealed on Wednesday that Comcast (NASDAQ: CMCSA) saw earnings go up nearly 30% in the first quarter on the strength of its high-speed internet service. Not only that, but the company saw strength over at NBC and Universal Picture. The latter released two successful movies in box office terms, including The Lorax.
The quarter ending March 31 saw Comcast's net income shoot up to $1.2 billion, or 45 cents per share, from $943 million, of 34 cents per share, this time last year. Revenue came in at $14.88 billion, which represents a 23% increase.
All of that despite ongoing grumbles from customers about the quality of the Comcast helpdesk. Because of the "regional" nature of the cable industry, the fact that areas are only serviced by a limited number of companies, consumers often feel tied in to their cable company. Options are limited. Still, these results represent a noteworthy achievement for Comcast at a very difficult time.
"I'm really pleased with our start in 2012," Comcast Chief Executive Brian Roberts said on Wednesday. "Cable had another outstanding quarter.... We are starting to make some progress in broadcast."
In addition, NBCUniversal revenue went up 18% to $5.5 billion, though much of that can be put down to the $259 million brought on by the incredibly lucrative Super Bowl advertising revenue. Take that away, and revenue was still up an impressive 12.4%.
The Lorax cost a whopping $70 million to make, and it broke even (almost exactly) during the opening weekend. Since then it has gone on to make $208,479,900 domestically, and $87,700,000 with foreign markets. That's nearly $220 million of profit already.
There are more films to come, and the company will hope that Battleship, Snow White & the Huntsman, and a new Bourne movie will, if not emulate the success of the very appealing The Lorax, at least make a healthy profit.
Cash flow at NBCUniversal was up 34.3% to $813 million compared to this time last year. It brought in $2.1 billion vs $2 billion in 2011. The NBC broadcast unit pulled in $1.85 billion revenue compared to $1.35 billion last year (though that number does include the Super Bowl).
Film revenue came in at a huge $1.19 billion compared to $945 million in 2011.
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