NBCU Profit Up with Box Office Hits Furious 7, Jurassic World

PHILADELPHIA: Revenue for NBCUniversal increased 20.2 percent to $7.2 billion in the second quarter of 2015, with strong gains in filmed entertainment and theme parks.

Operating cash flow increased 19.4 percent to $1.7 billion.

Revenue from the cable networks segment decreased 1 percent to $2.5 billion, with a 26.3 percent dip in content licensing and other revenue (due to the timing of content provided under its licensing agreements) and a 3 percent decline in advertising revenue, partially offset by a 5.6 percent increase in distribution revenue. Operating cash flow decreased 4.6 percent to $872 million, with lower revenue and slight increases in other operating and administrative expenses.

In the broadcast television segment, revenue remained flat at $1.8 billion. There was a slight increase in advertising revenue and higher retransmission consent fees, which were offset by lower content licensing revenue. Operating cash flow decreased 3.7 percent to $231 million, with increases in other operating and administrative expenses, which were largely offset by a decrease in programming and production costs associated with the timing of the airing of certain shows in the prime-time schedule.

The filmed entertainment segment was a bright spot, with revenues increasing 92.7 percent in the quarter to $2.3 billion. These gains were driven by higher theatrical revenue from the record performances of Furious 7 and Jurassic World. Operating cash flow increased $227 million to $422 million, reflecting higher revenue, partially offset by an increase in the amortization of film costs and higher advertising, marketing and promotion expense due to a larger film slate.

Theme parks also delivered strong in Q2, with revenue gains of 25.7 percent to $773 million. Second quarter operating cash flow increased 44.9 percent to $354 million.

Overall at Comcast Corporation, consolidated revenue increased 11.3 percent, operating cash flow was up 8 percent, and operating income increased 7.9 percent.

Brian L. Roberts, the chairman and CEO of Comcast Corporation, said, “Our second quarter results, including 11.3 percent revenue growth and 8 percent operating cash flow growth, demonstrate the strength and momentum we are seeing across our businesses. In cable, high-speed internet and business services continued to perform extremely well, and, significantly, this was the best second quarter video customer results we’ve had in nine years. Our focus on accelerating the deployment of our transformative X1 platform, as well as efforts to improve customer service, are clearly making a difference, with lower churn across all product categories. NBCUniversal had an exceptional quarter, led by the record-breaking box office performances of Jurassic World and Furious 7 and continued strong momentum in our theme parks. In addition, NBC won the 2014-15 broadcast season for adults 18-49. Our teams are executing incredibly well across our strong and diversified portfolio, and I am excited for what we can deliver in the rest of 2015 and beyond.”