Comcast Corporation

On a pro forma basis, second-quarter revenue increased 5%, adjusted EBITDA declined 5%, and adjusted EPS was $1.04. Free cash flow was $4.6 billion, and Comcast returned $2.1 billion to shareholders, including $900 million of share repurchases. In Connectivity & Platforms, broadband subscriber losses improved by 34,000 year over year to a loss of 167,000, broadband ARPU declined 3.8%, convergence revenue declined 3.2%, convergence ARPA declined 1.5%, and wireless service revenue grew 14%. Wireless net additions were 448,000, total lines ended at 10.2 million, and Connectivity & Platforms EBITDA declined 5.8%. In Media, revenue increased 25%, EBITDA increased 4%, and Peacock generated $189 million of EBITDA; Peacock revenue increased 54% and paid subscribers reached 48 million, up $7 million year over year and $2 million sequentially. In Studios, revenue increased 25% and EBITDA increased $141 million year over year. In Theme Parks, revenue increased 3% and EBITDA declined 5%. Management said second-quarter results were broadly in line with prior commentary and reiterated that the free-line monetization and customer-experience investments should lead to modest improvement starting in the third quarter.

Brian Roberts framed the separation as a strategic reset that gives two businesses more focus and agility, and said reactions from employees and partners have been overwhelmingly positive. He was notably upbeat about Comcast’s position in AI-era connectivity, saying the next wave of technology will require more bandwidth, lower latency and smarter networks, which he believes fits Comcast’s strengths. He also highlighted wireless crossing 10 million lines, Peacock’s scale and profitability, and the film slate and partnerships as evidence that both future companies have momentum.

Jason Armstrong emphasized that the company is in the middle of a deliberate broadband pivot: simpler pricing, better customer experience, and a more aggressive wireless push. He said those actions are pressuring near-term results, citing broadband ARPU down 3.8% and Connectivity & Platforms EBITDA down 5.8%, but expects modest improvement in the third quarter as Comcast laps early investments and free lines convert to paid. He also noted $4.6 billion of free cash flow, $2.1 billion returned to shareholders, a pause in buybacks as of July 1 through the separation, and a goal for both stand-alone companies to have strong investment-grade balance sheets.

Analysts pressed Comcast on broadband competition, especially fiber, fixed wireless and satellite/Starlink, and management said it expects the market to stay intensely competitive. Comcast said Starlink is not yet a meaningful factor in its footprint but should become more of a competitor over time, especially in rural and underserved areas, and added that the company is open to partnerships where they create value. Questions also focused on whether Peacock profitability is durable and on capital structure for the separation; management said Peacock profitability should improve on an annual basis but remain quarter-to-quarter lumpy, and it gave no new leverage, dividend or exchange-ratio details beyond the prior announcement. Parks softness was also debated, with management attributing Orlando’s weakness mainly to lower attendance tied to weaker consumer sentiment and higher travel costs, while saying Epic Universe is performing to expectations.