Comcast profit beats Street as users add services
Comcast Corp's quarterly profit rose 22 percent, beating expectations, as it sold more phone and Internet subscriptions, helping the top U.S. cable operator fight competition from phone and satellite companies for video subscribers.
Shares of Comcast jumped 5.1 percent in premarket trading as it reported 361,000 new high-speed Internet customers and 375,000 new digital phone subscribers in the third quarter, offsetting the loss of 132,000 basic video subscribers.
Barclays Capital had expected 310,000 voice and 320,000 Internet additions.
The company, which sources say is in talks with General Electric Co about taking a majority stake in NBC Universal, made no mention of the talks in its quarterly earnings release.
The company posted net profit of $944 million, or 33 cents a share, up from $771 million, or 26 cents a share a year earlier.
Excluding special items, including income tax benefits and financing expenses, the profit was 28 cents a share, outpacing analysts expectations of 25 cents a share, according to Thomson Reuters I/B/E/S.
Revenue rose 3 percent to $8.80 billion, just shy of analysts view of $8.85 billion.
The Philadelphia-based company lost about 132,000 basic video subscribers during the quarter.
Free cash flow -- a measure of cash left after all expenses are paid for the quarter -- rose nearly 20 percent to $1.11 billion.
Shares of Comcast climbed 5.1 percent to $15.25 in premarket trade.
(Reporting by Franklin Paul; Editing by Derek Caney, Dave Zimmerman)
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