Comcast announced Thursday in its quarterly earnings report that it lost 521,000 cable subscribers. The company also lost 30,000 broadband subscribers, failing to add them for the first time, per CNBC. The company is beginning to face competition from T-Mobile, which has been ramping up its 5G home internet product.
The company called the broadband dip temporary, citing inflation.
“While we’ve added nearly 800,000 broadband subscribers in the past 12 months, more recently that pace has slowed and we posted flat broadband subscriber additions in the second quarter,” CEO Brian Roberts said on Comcast’s earnings call, per a transcript published by Seeking Alpha.
Paid subscribers to the Peacock streaming service remained flat, at about thirteen million. The company also said that it added 317,000 wireless customers during the quarter.
Overall, though, Comcast posted $30.02 billion in revenue, an increase from the same period the year before. According to CNBC, the company beat earnings estimates for revenue and EPS, although the company’s performance in the quarter came up well short when it came to broadband customers.
The company reported that “customer relationships” were up 591,000 from the same time the year before, although they were down 28,000 sequentially from the previous quarter.
“Our financial results in the second quarter were very strong across the board, with Cable, NBCUniversal, and Sky each delivering solid growth in adjusted EBITDA, resulting in a double-digit increase in adjusted earnings per share and healthy free cash flow generation. Significantly we accomplished this while also continuing to invest in our businesses’ future growth, increasing our return of capital to our shareholders, and keeping our balance sheet in a great place,” Roberts said in the company’s earnings release.
The company also touted strong performance from its NBCUniversalast, division.
“At NBCUniversal, terrific results at theme parks fueled our growth in the quarter, and we expect our recent premieres and planned slate of content and live events from our media and studios businesses, including Jurassic World: Dominion, Minions: The Rise of Gru, Nope, Sunday Night Football and The World Cup, to make significant contributions later this year, including to our subscriber growth at Peacock.”
The CEO also looked at the big picture.
“We are in a unique environment with some headwinds, but move activity should return to some level of normalcy,” Roberts added on the earnings call Thursday. “Mobile substitution will eventually stabilize and we believe fixed wireless has inherent performance and capacity limitations that sharply limit the number of people on a network using a given amount of spectrum, which should provide a natural cap on their overall industry penetration.”
Stephen Silver, a technology writer for The National Interest, is a journalist, essayist and film critic, who is also a contributor to The Philadelphia Inquirer, Philly Voice, Philadelphia Weekly, the Jewish Telegraphic Agency, Living Life Fearless, Backstage magazine, Broad Street Review and Splice Today. The co-founder of the Philadelphia Film Critics Circle, Stephen lives in suburban Philadelphia with his wife and two sons. Follow him on Twitter at @StephenSilver.