Content Licensing a Bright Spot in NBCUniversal’s Q3 Results

NBCUniversal’s revenue decreased 12.7 percent in the third quarter, facing a tough comparison against 2016’s Rio Olympics, while adjusted EBITDA increased 6 percent.

Revenue for NBCUniversal was at $8 billion for the quarter ended September 30. Excluding $1.6 billion of revenue generated by the broadcast of the Rio Olympics in the third quarter of 2016, revenue increased 6 percent. Adjusted EBITDA increased 6 percent to $2.3 billion, with increases at theme parks, filmed entertainment and cable networks, partially offset by a decline from broadcast TV. Excluding $250 million of adjusted EBITDA generated by the 2016 Olympics, adjusted EBITDA increased 19.9 percent.

NBCU’s cable networks revenue decreased 11.5 percent to $2.6 billion, as lower distribution and advertising revenue was partially offset by higher content licensing and other revenue. Content licensing and other revenue increased 24 percent. Broadcast TV revenue decreased 30.9 percent to $2.1 billion, seeing lower ad revenue, partially offset by increased content licensing and distribution and other revenue. Content licensing revenue increased 20.5 percent. Filmed entertainment revenue was down 0.5 percent to $1.8 billion, while theme parks revenue increased 7.7 percent to $1.6 billion.

Overall, Comcast Corporation saw its consolidated revenue for the third quarter of 2017 decrease 1.6 percent to $21 billion. Excluding $1.5 billion of revenue generated by the broadcast of the Rio Olympics in the prior year’s Q3, consolidated revenue increased 5.8 percent. Adjusted EBITDA increased 5 percent. Cable Communications revenue was up 5.1 percent and adjusted EBITDA increased 5.2 percent.

Brian L. Roberts, the chairman and CEO of Comcast Corporation, said, “I’m very pleased with the company’s operational and financial results during the quarter. Adjusted EBITDA increased 5 percent despite the impact of the severe storms that affected our operations this year and the uneven comparison due to the Rio Olympics last year. At NBCUniversal, our momentum continued throughout each business unit, including terrific results at theme parks and film, and strength in affiliate fees, retransmission revenues and content licensing at our TV businesses. At Cable Communications, we continued to drive growth in total customer relationships, deliver excellent high-speed internet and business services results and make further progress in our efforts to transform the customer experience. Across Comcast NBCUniversal, we are uniquely positioned with a broad range of growth opportunities that set us up well for the future.”