Comcast Corporation (NASDAQ: CMCSA) released its financial results for the fourth quarter, showing divergent trends across its business segments. While the company experienced declines in traditional broadband and video subscriptions, growth in its wireless services and streaming platforms helped mitigate the overall impact.
During the quarter, Comcast reported total revenue of $32.31 billion, representing a 1.2% increase compared to the same period in the previous year. However, this figure came slightly under market expectations, falling short of the consensus estimate of $32.36 billion.
The company faced challenges in its core connectivity services, with a net loss of 181,000 broadband customers, attributed in part to intensified competition from telecommunication rivals. The video segment also continued to experience subscriber erosion, with a reduction of 245,000 customers as consumers increasingly opt for streaming alternatives.
In contrast, Comcast's wireless division delivered a positive contribution to subscriber numbers, adding a net 364,000 domestic wireless lines over the quarter. This growth is indicative of the company's effective convergence strategy and expanding wireless footprint.
Adjusted earnings per share (EPS) stood at 84 cents, surpassing analyst forecasts of 76 cents, demonstrating operational profitability despite revenue headwinds.
Performance of Media, Streaming, and Theme Parks
The media segment of Comcast registered a 5.5% year-over-year increase in revenue, reaching $7.62 billion. This growth was primarily driven by higher revenue in international networks, domestic distribution channels, and domestic advertising.
Domestic advertising revenues were boosted largely due to increased earnings from the Peacock streaming service, notably aided by the launch of NBA content during the quarter. Peacock's streaming revenue grew substantially by 23% year-over-year to $1.6 billion, with paid subscribers increasing by 22% annually to 44 million.
Conversely, the studios segment saw a decline in revenue, dropping 7.4% year-over-year to $3.03 billion. This reduction stemmed from lower content licensing and theatrical revenues, with theatrical earnings impacted by challenging comparisons against prior year's blockbuster releases such as Wicked and The Wild Robot, compared to the current quarter’s offerings including Wicked: For Good and Black Phone 2.
The theme parks business segment reported robust growth, with revenues increasing 21.9% year-over-year to $2.89 billion. This rise was chiefly attributable to higher revenues from domestic theme parks, propelled by the successful opening of Epic Universe in May 2025.
Connectivity & Platforms and Financial Overview
Adjusted EBITDA for the Connectivity & Platforms segment fell by 4.3% year-over-year to $7.50 billion, accompanied by a margin contraction of 120 basis points to 37.1%. Capital expenditure within this segment saw a rise of 9.8%, totaling $2.9 billion, reflecting increased investment in support capital, customer premise equipment, and scalable infrastructure enhancements.
For the quarter, Comcast generated $4.37 billion in free cash flow. The company returned $2.7 billion to shareholders through dividend payments amounting to $1.2 billion and stock repurchases totaling $1.5 billion for 53.6 million shares.
Executive Commentary and Strategic Developments
Co-CEOs Brian L. Roberts and Mike Cavanagh highlighted 2025 as a milestone year for Comcast's wireless business, noting 1.5 million net line additions and over 9 million total wireless lines. This performance reflects the successful implementation of the company’s converged connectivity strategy.
They referenced the launch of the most significant broadband marketing strategy in the company's history and pointed to a strong launch of the Epic Universe theme park, which is driving increased per capita spending and higher attendance in the Orlando market.
Additionally, the co-CEOs emphasized double-digit revenue growth for Peacock, supported by momentum in sports and entertainment content, including new NBA programming on NBC and Peacock.
Comcast finalized the spin-off of Versant Media, creating a more concentrated NBCUniversal focused on streaming, live sports, and premium content initiatives. Despite elevated investments across these areas, the company achieved record free cash flow generation while maintaining a solid financial position.
Looking ahead, Comcast announced plans to maintain its dividend at $1.32 per share on an annualized basis for 2026.
In market trading, Comcast’s shares rose by 5.02% to $29.83 at the time of reporting, according to Benzinga Pro data.