Universal Theme Park Revenues Increase 7.7% In Third Quarter on Strength of IP Brands

Oct 26, 2017 Joe Kleiman Asia, Business, News, North America, Theme Parks, World markets Comments Off on Universal Theme Park Revenues Increase 7.7% In Third Quarter on Strength of IP Brands

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Comcast Corporation, parent company of the Universal Studios Theme Parks, reported results for the quarter ended September 30, 2017.

Brian L. Roberts, Chairman and Chief Executive Officer of Comcast Corporation, said, “I’m very pleased with the Company’s operational and financial results during the quarter. Adjusted EBITDA increased 5% 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.”

Consolidated Revenue for the third quarter of 2017 decreased 1.6% to $21.0 billion. Excluding $1.5 billion of revenue generated by the broadcast of the Rio Olympics in the third quarter of 2016, consolidated revenue increased 5.8%.Consolidated Net Income Attributable to Comcast increased 18.5% to $2.7 billion. Consolidated Adjusted EBITDA increased 5.0% to $7.2 billion.

For the nine months ended September 30, 2017, consolidated revenue increased 5.4% to $62.6 billion compared to 2016. Excluding $1.5 billion of revenue generated by the broadcast of the Rio Olympics in the third quarter of 2016, consolidated revenue increased 8.2% (see Table 6). Consolidated net income attributable to Comcast increased 20.8% to $7.7 billion. Consolidated Adjusted EBITDA increased 8.4% to $21.3 billion.

Earnings per Share (EPS) for the third quarter of 2017 was $0.55, a 19.6% increase compared to the third quarter of 2016. On an adjusted basis, EPS was $0.52, a 13.0% increase compared to the prior year.

For the nine months ended September 30, 2017, EPS was $1.61, a 22.9% increase compared to the prior year. On an adjusted basis, EPS increased 21.7% (see Table 4).

Capital Expenditures increased 1.2% to $2.4 billion in the third quarter of 2017. Cable Communications’ capital expenditures increased 0.8% to $2.1 billion in the third quarter of 2017, reflecting a higher level of investment in scalable infrastructure to increase network capacity, increased investment in line extensions, and increased spending on support capital, partially offset by a decrease in spending on customer premise equipment. Cable capital expenditures represented 15.6% of Cable revenue in the third quarter of 2017 compared to 16.3% in last year’s third quarter. NBCUniversal’s capital expenditures of $354 million increased 5.4%, reflecting the timing of real estate and infrastructure spending as well as continued investment at Theme Parks.

For the nine months ended September 30, 2017, capital expenditures increased 4.2% to $6.8 billion compared to 2016. Cable Communications’ capital expenditures increased 5.4% to $5.8 billion and represented 14.8% of Cable revenue in both years. NBCUniversal’s capital expenditures of $977 million decreased 1.4% for the first nine months of 2017.

Net Cash Provided by Operating Activities was $5.1 billion in the third quarter of 2017. Free Cash Flow was $2.3 billion.

For the nine months ended September 30, 2017, net cash provided by operating activities was $16.0 billion. Free cash flow was $7.6 billion.

Revenue for NBCUniversal decreased 12.7% to $8.0 billion in the third quarter of 2017. Excluding $1.6 billion of revenue generated by the broadcast of the Rio Olympics in the third quarter of 2016, revenue increased 6.0%. Adjusted EBITDA increased 6.0% to $2.3 billion, reflecting increases at Theme Parks, Filmed Entertainment, and Cable Networks, partially offset by a decline at Broadcast Television. Excluding $250 million of Adjusted EBITDA generated by the Rio Olympics in the third quarter of 2016, Adjusted EBITDA increased 19.9%.

For the nine months ended September 30, 2017, NBCUniversal revenue increased 4.6% to $24.2 billion compared to 2016. Excluding $1.6 billion of revenue generated by the broadcast of the Rio Olympics in the third quarter of 2016, revenue increased 12.5%. Adjusted EBITDA increased 16.6% to $6.4 billion, reflecting increases at Filmed Entertainment, Cable Networks, Theme Parks, and Broadcast Television. Excluding $250 million of Adjusted EBITDA generated by the Rio Olympics in the third quarter of 2016, Adjusted EBITDA increased 22.2%.

Theme Parks revenue increased 7.7% to $1.6 billion in the third quarter of 2017 primarily due to higher per capita spending, reflecting the continued success of The Wizarding World of Harry Potter™ attraction in Hollywood, which opened in April 2016, and the openings of Minion Park™ in Japan in April 2017 and Volcano Bay™ in Orlando in May 2017. Adjusted EBITDA increased 9.8% to $775 million in the third quarter of 2017, reflecting higher revenue, partially offset by an increase in operating expenses, as well as the impact of the hurricane.

For the nine months ended September 30, 2017, revenue from the Theme Parks segment increased 10.6% to $4.0 billion compared to 2016, reflecting higher attendance and per capita spending. Adjusted EBITDA increased 11.2% to $1.7 billion compared to 2016, reflecting higher revenue, partially offset by an increase in operating expenses, including costs to support new attractions.

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• comcast, financials, IP, NBCUniversal, theme parks, universal orlando resort, universal studios florida, universal studios hollywood, universal studios japan, Universal Studios Theme Parks, universal's islands of adventure, volcano bay

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