Comcast (NASDAQ:CMCSA) on Thursday reported third-quarter earnings that beat analyst estimates, despite seeing revenue slightly decline and continued softness in broadband customer growth.
Earnings per share checked in at 96 cents, adjusted vs. 90 cents expected, on revenue of $29.85 billion vs. the expected $29.65 billion
The company said it added 14,000 broadband customers during the quarter – an improvement from the second quarter, when Comcast didn’t add any new customers for the first time ever. Still, it’s a sign that cable broadband providers are facing increased competition from telecom and wireless internet companies.
The slowdown in new customers is hitting the cornerstone of Comcast’s business, similar to peers like Charter Communications (NASDAQ:CHTR) and Altice USA (NYSE:ATUS). AT&T (NYSE:T) said last week building out its fiber-optic network remains a priority for the company, and it added 338,000 new customers during the quarter.
Comcast’s revenue declined 1.5% to $29.85 billion compared with the same quarter last year, when the company’s NBCUniversal unit reaped more advertising dollars from airing the Tokyo Olympics on its TV networks. The company also recorded noncash impairment charges related to its Sky business in the U.K.
Its adjusted earnings before interest, taxes, depreciation and amortization rose 5.9% to $9.5 billion compared with the same period last year.
CMCSA shares hiked $2.45, or 7.8%, to $33.95.
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