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Comcast Corp (CMCSA) SEC Filing 10-Q Quarterly Report for the period ending Thursday, March 31, 2022

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CMCSA Quarterly Reports

Comcast Corp

CIK: 1166691 Ticker: CMCSA
        comcastlogo2a02a.jpg
PRESS RELEASE
COMCAST REPORTS 1st QUARTER 2022 RESULTS
PHILADELPHIA - April 28, 2022… Comcast Corporation (NASDAQ: CMCSA) today reported results for the quarter ended March 31, 2022.
"2022 is off to a great start. For the first quarter we reported healthy growth in adjusted EBITDA and adjusted EPS, generated significant free cash flow, and increased our return of capital to shareholders. We also continued to make important organic investments and strategic decisions, highlighted by yesterday’s announcement of our new joint venture with Charter. This partnership demonstrates the benefits of our focus on innovation and enables us to bring entertainment aggregation and streaming products that run off our global technology platform to millions more customers. In cable, we are increasing the capacity of our broadband network and providing our customers with cutting-edge equipment that delivers the best in-home experience. Our media business is performing well, and the scale of our reach is underscored by our successful broadcast of the Super Bowl and the Olympics in the same week. These events were viewed by more than 200 million people in the U.S. across NBCUniversal’s platforms, including Peacock, which had an exceptional quarter. Our recovery from the pandemic at theme parks has been fantastic and shows no signs of slowing down. And, at Sky, we are pleased with our consistently strong results in the U.K. and continued improvement in Germany and Italy," commented Brian L. Roberts, Chairman and Chief Executive Officer of Comcast Corporation.
($ in millions, except per share data)
1st Quarter
Consolidated Results20222021Change
Revenue $31,010 $27,205 14.0 %
Net Income Attributable to Comcast$3,549 $3,329 6.6 %
Adjusted Net Income1
$3,900 $3,529 10.5 %
Adjusted EBITDA2
$9,150 $8,413 8.8 %
Earnings per Share3
$0.78 $0.71 9.9 %
Adjusted Earnings per Share1
$0.86 $0.76 13.2 %
Net Cash Provided by Operating Activities$7,257 $7,751 (6.4 %)
Free Cash Flow4
$4,760 $5,280 (9.9 %)
For additional detail on segment revenue and expenses, customer metrics, capital expenditures, and free cash flow, please refer to the trending schedules on Comcast’s Investor Relations website at www.cmcsa.com.
1st Quarter 2022 Highlights:
Consolidated Adjusted EBITDA Increased 8.8% to $9.2 Billion; Adjusted EPS Increased 13.2% to $0.86; Generated Free Cash Flow of $4.8 Billion
Returned $4.2 Billion to Shareholders Through a Combination of $1.2 Billion in Dividend Payments and $3.0 Billion in Share Repurchases
Cable Communications Adjusted EBITDA Increased 6.5% and Adjusted EBITDA per Customer Relationship Increased 3.3%
Cable Communications Total Customer Relationship Net Additions Were 194,000; Total Broadband Customer Net Additions Were 262,000 and Benefited From the Highest Level of Customer Retention on Record for Any Quarter
Cable Communications Wireless Customer Line Net Additions Were 318,000, the Best Quarterly Result Since Launch in 2017
NBCUniversal Adjusted EBITDA Increased 7.4% to $1.6 Billion, Including Peacock Losses
Theme Parks Adjusted EBITDA Increased $512 Million to $451 Million, Reflecting Improved Results at Each Park Compared to the Prior Year Period and the Opening of Universal Beijing Resort in September 2021. Universal Orlando Generated Its Highest Adjusted EBITDA on Record for a First Quarter
More Than 200 Million People in the U.S. Watched Either The NFL's Super Bowl or the 2022 Beijing Olympics on NBC, Peacock, and Our Other Platforms
Sky Adjusted EBITDA Increased 71.0% to $622 Million; On a Constant Currency Basis, Adjusted EBITDA Increased 71.2%




The following information was filed by Comcast Corp (CMCSA) on Thursday, April 28, 2022 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 2022
Or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from                       to       
               
cmcsa-20220331_g1.jpg
Commission File Number
Exact Name of Registrant; State of
Incorporation; Address and Telephone
Number of Principal Executive Offices
I.R.S. Employer Identification No.
001-32871
COMCAST CORPORATION
27-0000798
Pennsylvania
One Comcast Center
Philadelphia, PA 19103-2838
(215) 286-1700

Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Class A Common Stock, $0.01 par valueCMCSAThe Nasdaq Stock Market LLC
0.000% Notes due 2026CMCS26The Nasdaq Stock Market LLC
0.250% Notes due 2027CMCS27The Nasdaq Stock Market LLC
1.500% Notes due 2029CMCS29The Nasdaq Stock Market LLC
0.250% Notes due 2029CMCS29AThe Nasdaq Stock Market LLC
0.750% Notes due 2032CMCS32The Nasdaq Stock Market LLC
1.875% Notes due 2036CMCS36The Nasdaq Stock Market LLC
1.250% Notes due 2040CMCS40The Nasdaq Stock Market LLC
9.455% Guaranteed Notes due 2022CMCSA/22New York Stock Exchange
5.50% Notes due 2029CCGBP29New York Stock Exchange
2.0% Exchangeable Subordinated Debentures due 2029CCZNew York Stock Exchange
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding twelve months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes No
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes No
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large accelerated filer
Accelerated filer
Non-accelerated filer
Smaller reporting company
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes No
Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date:
As of March 31, 2022, there were 4,471,872,439 shares of Comcast Corporation Class A common stock and 9,444,375 shares of Class B common stock outstanding.



TABLE OF CONTENTS
  
  
Page
Number
Item 1.
Item 2.
Item 3.
Item 4.
Item 1.
Item 1A.
Item 2.
Item 6.
 
Explanatory Note
This Quarterly Report on Form 10-Q is for the three months ended March 31, 2022. This Quarterly Report on Form 10-Q modifies and supersedes documents filed before it. The U.S. Securities and Exchange Commission (“SEC”) allows us to “incorporate by reference” information that we file with it, which means that we can disclose important information to you by referring you directly to those documents. Information incorporated by reference is considered to be part of this Quarterly Report on Form 10-Q. In addition, information that we file with the SEC in the future will automatically update and supersede information contained in this Quarterly Report on Form 10-Q.
Unless indicated otherwise, throughout this Quarterly Report on Form 10-Q, we refer to Comcast and its consolidated subsidiaries, as “Comcast,” “we,” “us” and “our;” Comcast Cable Communications, LLC and its consolidated subsidiaries as “Comcast Cable;” Comcast Holdings Corporation as “Comcast Holdings;” NBCUniversal Media, LLC and its consolidated subsidiaries as “NBCUniversal;” and Sky Limited and its consolidated subsidiaries as “Sky.”
Numerical information in this report is presented on a rounded basis using actual amounts. Minor differences in totals and percentage calculations may exist due to rounding.
CAUTION CONCERNING FORWARD-LOOKING STATEMENTS
This Quarterly Report on Form 10-Q includes statements that may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are not historical facts or statements of current conditions, but instead represent only our beliefs regarding future events, many of which, by their nature, are inherently uncertain and outside of our control. These may include estimates, projections and statements relating to our business plans, objectives and expected operating results, which are based on current expectations and assumptions that are subject to risks and uncertainties that may cause actual results to differ materially. These forward-looking statements are generally identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “potential,” “strategy,” “future,” “opportunity,” “commit,” “plan,” “goal,” “may,” “should,” “could,” “will,” “would,” “will be,” “will continue,” “will likely result” and similar expressions.
In evaluating forward-looking statements, you should consider various factors, including the risks and uncertainties we describe in the “Risk Factors” sections of our Forms 10-K and 10-Q and other reports we file with the SEC. Additionally, we operate in a highly competitive, consumer-driven and rapidly changing environment. This environment is affected by government regulation; economic, strategic, political and social conditions; consumer response to new and existing products and services; technological developments; and the ability to develop and protect intellectual property rights. Any of these factors could cause



our actual results to differ materially from our forward-looking statements, which could adversely affect our businesses, results of operations or financial condition. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date they are made. We undertake no obligation to update or revise publicly any forward-looking statements, whether because of new information, future events or otherwise.
Our businesses may be affected by, among other things, the following:
the COVID-19 pandemic has had, and may continue to have, a material adverse effect on our businesses and results of operations
our businesses operate in highly competitive and dynamic industries, and our businesses and results of operations could be adversely affected if we do not compete effectively
changes in consumer behavior continue to adversely affect our businesses and challenge existing business models
a decline in advertisers’ expenditures or changes in advertising markets could negatively impact our businesses
programming expenses for our video services are increasing, which could adversely affect Cable Communications’ video businesses
NBCUniversal’s and Sky’s success depends on consumer acceptance of their content, and their businesses may be adversely affected if their content fails to achieve sufficient consumer acceptance or the costs to create or acquire content increase
the loss of programming distribution and licensing agreements, or the renewal of these agreements on less favorable terms, could adversely affect our businesses
less favorable European telecommunications access regulations, the loss of Sky’s transmission access agreements with satellite or telecommunications providers or the renewal of these agreements on less favorable terms could adversely affect Sky’s businesses
our businesses depend on using and protecting certain intellectual property rights and on not infringing the intellectual property rights of others
we may be unable to obtain necessary hardware, software and operational support
our businesses depend on keeping pace with technological developments
a cyber attack, information or security breach, or technology disruption or failure may negatively impact our ability to conduct our business or result in the misuse of confidential information, all of which could adversely affect our business, reputation and results of operations
weak economic conditions may have a negative impact on our businesses
acquisitions and other strategic initiatives present many risks, and we may not realize the financial and strategic goals that we had contemplated
we face risks relating to doing business internationally that could adversely affect our businesses
natural disasters, severe weather and other uncontrollable events could adversely affect our business, reputation and results of operations
the loss of key management personnel or popular on-air and creative talent could have an adverse effect on our businesses
we are subject to regulation by federal, state, local and foreign authorities, which impose additional costs and restrictions on our businesses
unfavorable litigation or governmental investigation results could require us to pay significant amounts or lead to onerous operating procedures
labor disputes, whether involving employees or sports organizations, may disrupt our operations and adversely affect our businesses
our Class B common stock has substantial voting rights and separate approval rights over several potentially material transactions, and our Chairman and CEO has considerable influence over our company through his beneficial ownership of our Class B common stock



PART I: FINANCIAL INFORMATION
ITEM 1: FINANCIAL STATEMENTS
Comcast Corporation
Condensed Consolidated Statement of Income
(Unaudited)
 Three Months Ended
March 31,
(in millions, except per share data)20222021
Revenue$31,010 $27,205 
Costs and Expenses:
Programming and production10,570 8,919 
Other operating and administrative9,260 8,269 
Advertising, marketing and promotion2,062 1,616 
Depreciation2,213 2,117 
Amortization1,335 1,245 
Total costs and expenses25,440 22,166 
Operating income5,569 5,039 
Interest expense(993)(1,018)
Investment and other income (loss), net188 390 
Income before income taxes4,764 4,411 
Income tax expense(1,288)(1,119)
Net income3,476 3,292 
Less: Net income (loss) attributable to noncontrolling interests(73)(37)
Net income attributable to Comcast Corporation$3,549 $3,329 
Basic earnings per common share attributable to Comcast Corporation shareholders$0.79 $0.73 
Diluted earnings per common share attributable to Comcast Corporation shareholders$0.78 $0.71 
See accompanying notes to condensed consolidated financial statements.
1


Comcast Corporation
Condensed Consolidated Statement of Comprehensive Income
(Unaudited) 
 Three Months Ended
March 31,
(in millions)20222021
Net income$3,476 $3,292 
Currency translation adjustments, net of deferred taxes of $247 and $(92)
(916)(35)
Cash flow hedges:
Deferred gains (losses), net of deferred taxes of $(37) and $(19)
165 119 
Realized (gains) losses reclassified to net income, net of deferred taxes of $(5) and $—
(17)— 
Employee benefit obligations and other, net of deferred taxes of $3 and $2
(9)(10)
Comprehensive income2,699 3,366 
Less: Net income (loss) attributable to noncontrolling interests(73)(37)
Less: Other comprehensive income (loss) attributable to noncontrolling interests28 (14)
Comprehensive income attributable to Comcast Corporation$2,744 $3,417 
See accompanying notes to condensed consolidated financial statements.
2


Comcast Corporation
Condensed Consolidated Statement of Cash Flows
(Unaudited) 
 Three Months Ended
March 31,
(in millions)20222021
Operating Activities
Net income$3,476 $3,292 
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization3,548 3,362 
Share-based compensation376 373 
Noncash interest expense (income), net93 62 
Net (gain) loss on investment activity and other(113)(239)
Deferred income taxes106 28 
Changes in operating assets and liabilities, net of effects of acquisitions and divestitures:
Current and noncurrent receivables, net(527)554 
Film and television costs, net363 393 
Accounts payable and accrued expenses related to trade creditors314 (198)
Other operating assets and liabilities(379)124 
Net cash provided by operating activities7,257 7,751 
Investing Activities
Capital expenditures(1,856)(1,859)
Cash paid for intangible assets(641)(612)
Construction of Universal Beijing Resort(147)(428)
Acquisitions, net of cash acquired— (147)
Proceeds from sales of businesses and investments69 388 
Purchases of investments(66)(52)
Other44 98 
Net cash provided by (used in) investing activities(2,597)(2,612)
Financing Activities
Proceeds from borrowings117 192 
Repurchases and repayments of debt(104)(124)
Repurchases of common stock under repurchase program and employee plans(3,223)(309)
Dividends paid(1,166)(1,080)
Other(114)(577)
Net cash provided by (used in) financing activities(4,490)(1,898)
Impact of foreign currency on cash, cash equivalents and restricted cash(35)(33)
Increase (decrease) in cash, cash equivalents and restricted cash135 3,208 
Cash, cash equivalents and restricted cash, beginning of period8,778 11,768 
Cash, cash equivalents and restricted cash, end of period$8,914 $14,976 
See accompanying notes to condensed consolidated financial statements.
3


Comcast Corporation
Condensed Consolidated Balance Sheet
(Unaudited)
(in millions, except share data)March 31,
2022
December 31,
2021
Assets
Current Assets:
Cash and cash equivalents$8,880 $8,711 
Receivables, net12,300 12,008 
Other current assets4,201 4,088 
Total current assets25,381 24,807 
Film and television costs12,360 12,806 
Investments8,287 8,082 
Investment securing collateralized obligation646 605 
Property and equipment, net of accumulated depreciation of $56,274 and $55,611
53,820 54,047 
Goodwill69,052 70,189 
Franchise rights59,365 59,365 
Other intangible assets, net of accumulated amortization of $24,525 and $23,545
32,468 33,580 
Other noncurrent assets, net12,694 12,424 
Total assets$274,074 $275,905 
Liabilities and Equity
Current Liabilities:
Accounts payable and accrued expenses related to trade creditors$12,707 $12,455 
Accrued participations and residuals1,744 1,822 
Deferred revenue3,018 3,040 
Accrued expenses and other current liabilities10,071 9,899 
Current portion of long-term debt2,117 2,132 
Total current liabilities29,657 29,348 
Long-term debt, less current portion92,443 92,718 
Collateralized obligation5,171 5,170 
Deferred income taxes29,857 30,041 
Other noncurrent liabilities20,441 20,620 
Commitments and contingencies
Redeemable noncontrolling interests513 519 
Equity:
Preferred stock—authorized, 20,000,000 shares; issued, zero
— — 
Class A common stock, $0.01 par value—authorized, 7,500,000,000 shares; issued, 5,344,663,467 and 5,396,576,978; outstanding, 4,471,872,439 and 4,523,785,950
53 54 
Class B common stock, $0.01 par value—authorized, 75,000,000 shares; issued and outstanding, 9,444,375
— — 
Additional paid-in capital39,926 40,173 
Retained earnings61,555 61,902 
Treasury stock, 872,791,028 Class A common shares
(7,517)(7,517)
Accumulated other comprehensive income (loss)674 1,480 
Total Comcast Corporation shareholders’ equity94,693 96,092 
Noncontrolling interests1,300 1,398 
Total equity95,992 97,490 
Total liabilities and equity$274,074 $275,905 
See accompanying notes to condensed consolidated financial statements.
4


Comcast Corporation
Condensed Consolidated Statement of Changes in Equity
(Unaudited)
Three Months Ended
March 31,
(in millions, except per share data)20222021
Redeemable Noncontrolling Interests
Balance, beginning of period$519 $1,280 
Redemption of subsidiary preferred stock— (725)
Contributions from (distributions to) noncontrolling interests, net
(25)(27)
Other— (10)
Net income (loss)18 28 
Balance, end of period$513 $546 
Class A Common Stock
Balance, beginning of period$54 $54 
Issuances (repurchases) of common stock under repurchase program and employee plans(1)
Balance, end of period$53 $55 
Additional Paid-In Capital
Balance, beginning of period$40,173 $39,464 
Stock compensation plans286 296 
Repurchases of common stock under repurchase program and employee plans(595)(88)
Employee stock purchase plans67 62 
Other(5)10 
Balance, end of period$39,926 $39,744 
Retained Earnings
Balance, beginning of period$61,902 $56,438 
Repurchases of common stock under repurchase program and employee plans(2,670)(289)
Dividends declared(1,225)(1,161)
Other— 
Net income (loss)3,549 3,329 
Balance, end of period$61,555 $58,321 
Treasury Stock at Cost
Balance, beginning of period$(7,517)$(7,517)
Balance, end of period$(7,517)$(7,517)
Accumulated Other Comprehensive Income (Loss)
Balance, beginning of period$1,480 $1,884 
Other comprehensive income (loss)(806)88 
Balance, end of period$674 $1,972 
Noncontrolling Interests
Balance, beginning of period$1,398 $1,415 
Other comprehensive income (loss)28 (14)
Contributions from (distributions to) noncontrolling interests, net
(35)189 
Net income (loss)(91)(65)
Balance, end of period$1,300 $1,525 
Total equity$95,992 $94,100 
Cash dividends declared per common share$0.27 $0.25 
See accompanying notes to condensed consolidated financial statements.
5


Comcast Corporation
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
Note 1: Condensed Consolidated Financial Statements
Basis of Presentation
We have prepared these unaudited condensed consolidated financial statements based on SEC rules that permit reduced disclosure for interim periods. These financial statements include all adjustments that are necessary for a fair presentation of our consolidated results of operations, cash flows and financial condition for the periods shown, including normal, recurring accruals and other items. The consolidated results of operations for the interim periods presented are not necessarily indicative of results for the full year.
The year-end condensed consolidated balance sheet was derived from audited financial statements but does not include all disclosures required by generally accepted accounting principles in the United States (“GAAP”). For a more complete discussion of our accounting policies and certain other information, refer to our consolidated financial statements included in our 2021 Annual Report on Form 10-K and the notes within this Form 10-Q.
Note 2: Segment Information
We present our operations in five reportable business segments: (1) Comcast Cable in one reportable business segment, referred to as Cable Communications; (2) NBCUniversal in three reportable business segments: Media, Studios and Theme Parks (collectively, the “NBCUniversal segments”); and (3) Sky in one reportable business segment.
Cable Communications is a leading provider of broadband, video, voice, wireless, and other services to residential customers in the United States under the Xfinity brand. We also provide these and other services to business customers and sell advertising.
Media consists primarily of NBCUniversal’s television and streaming platforms, including national, regional and international cable networks; the NBC and Telemundo broadcast networks; NBC and Telemundo owned local broadcast television stations; and Peacock, our direct-to-consumer streaming service.
Studios consists primarily of NBCUniversal’s film and television studio production and distribution operations.
Theme Parks consists primarily of our Universal theme parks in Orlando, Florida; Hollywood, California; Osaka, Japan; and Beijing, China.
Sky is one of Europes leading entertainment companies, which primarily includes a direct-to-consumer business, providing video, broadband, voice and wireless phone services, and a content business, operating entertainment networks, the Sky News broadcast network and Sky Sports networks.
Our other business interests consist primarily of the operations of Comcast Spectacor, which owns the Philadelphia Flyers and the Wells Fargo Center arena in Philadelphia, Pennsylvania, and other business initiatives, including Sky Glass and XClass TV smart televisions.
We use Adjusted EBITDA to evaluate the profitability of our operating segments and the components of net income attributable to Comcast Corporation excluded from Adjusted EBITDA are not separately evaluated. Our financial data by reportable segment is presented in the tables below.
6


Comcast Corporation
 Three Months Ended March 31, 2022
(in millions)
Revenue(a)
Adjusted EBITDA(b)
Depreciation and Amortization
Capital
Expenditures
Cash Paid for Intangible Assets
Cable Communications$16,540 $7,272 $1,960 $1,367 $334 
NBCUniversal
Media6,865 1,159 250 12 46 
Studios2,757 245 11 
Theme Parks1,560 451 282 220 
Headquarters and Other16 (191)118 72 31 
Eliminations(a)
(901)(62)— — — 
NBCUniversal10,296 1,601 662 306 85 
Sky4,775 622 870 147 154 
Corporate and Other238 (262)56 37 67 
Eliminations(a)
(840)(82)— — — 
Comcast Consolidated$31,010 $9,150 $3,548 $1,856 $641 
 Three Months Ended March 31, 2021
(in millions)
Revenue(a)
Adjusted EBITDA(b)
Depreciation and Amortization
Capital
Expenditures
Cash Paid for Intangible Assets
Cable Communications$15,805 $6,830 $1,929 $1,370 $315 
NBCUniversal
Media5,036 1,473 247 10 32 
Studios2,396 497 12 
Theme Parks619 (61)207 126 
Headquarters and Other16 (209)117 35 28 
Eliminations(a)
(1,043)(210)— — — 
NBCUniversal7,024 1,490 583 172 68 
Sky4,997 364 814 271 201 
Corporate and Other89 (281)36 46 28 
Eliminations(a)
(710)10 — — — 
Comcast Consolidated$27,205 $8,413 $3,362 $1,859 $612 
7


Comcast Corporation
(a)Included in Eliminations are transactions that our segments enter into with one another. Our segments generally report transactions with one another as if they were stand-alone businesses in accordance with GAAP, and these transactions are eliminated in consolidation. When multiple segments enter into transactions to provide products and services to third parties, revenue is generally allocated to our segments based on relative value. The most significant transactions between our segments include content licensing revenue in Studios for licenses of owned content to Media and Sky; distribution revenue in Media for fees received from Cable Communications for the sale of cable network programming and under retransmission consent agreements; and advertising revenue in Media and Cable Communications. Revenue for licenses of content from Studios to Media and Sky is generally recognized at a point in time, consistent with the recognition of transactions with third parties, when the content is delivered and made available for use. The costs of these licenses in Media and Sky are recognized as the content is used over the license period. The difference in timing of recognition between segments results in an Adjusted EBITDA impact in eliminations, as the profits (losses) on these transactions are deferred in our consolidated results and recognized as the content is used over the license period.
A summary of revenue for each of our segments resulting from transactions with other segments and eliminated in consolidation is presented in the table below.
Three Months Ended
March 31,
(in millions)20222021
Cable Communications$56 $45 
NBCUniversal
Media669 540 
Studios939 1,089 
Theme Parks— 
Headquarters and Other12 12 
Sky
Corporate and Other58 58 
Total intersegment revenue$1,741 $1,753 
(b)We use Adjusted EBITDA as the measure of profit or loss for our operating segments. From time to time we may report the impact of certain events, gains, losses or other charges related to our operating segments within Corporate and Other. Our reconciliation of the aggregate amount of Adjusted EBITDA for our reportable segments to consolidated income before income taxes is presented in the table below.
 Three Months Ended
March 31,
(in millions)
20222021
Adjusted EBITDA$9,150 $8,413 
Adjustments(33)(12)
Depreciation(2,213)(2,117)
Amortization(1,335)(1,245)
Interest expense
(993)(1,018)
Investment and other income (loss), net188 390 
Income before income taxes$4,764 $4,411 
Adjustments represent the impact of certain events, gains, losses or other charges that are excluded from Adjusted EBITDA, including costs related to our investment portfolio, and Sky transaction-related costs in 2021.
8


Comcast Corporation
Note 3: Revenue
Three Months Ended
March 31,
(in millions)20222021
Residential:
Broadband$6,050 $5,600 
Video5,536 5,623 
Voice786 871 
Wireless677 513 
Business services2,396 2,167 
Advertising671 618 
Other424 413 
Total Cable Communications16,540 15,805 
Advertising3,332 2,094 
Distribution3,033 2,495 
Other499 447 
Total Media6,865 5,036 
Content licensing2,279 2,075 
Theatrical168 39 
Home entertainment and other 310 282 
Total Studios2,757 2,396 
Total Theme Parks1,560 619 
Headquarters and Other16 16 
Eliminations(a)
(901)(1,043)
Total NBCUniversal10,296 7,024 
Direct-to-consumer3,884 4,065 
Content295 358 
Advertising596 574 
Total Sky4,775 4,997 
Corporate and Other238 89 
Eliminations(a)
(840)(710)
Total revenue$31,010 $27,205 
(a)Included in Eliminations are transactions that our segments enter into with one another. See Note 2 for a description of these transactions.
Condensed Consolidated Balance Sheet
The following tables summarize our accounts receivable and other balances that are not separately presented in our condensed consolidated balance sheet that relate to the recognition of revenue and collection of the related cash, as well as the deferred costs associated with our contracts with customers.
(in millions)March 31,
2022
December 31,
2021
Receivables, gross$13,026 $12,666 
Less: Allowance for doubtful accounts726 658 
Receivables, net$12,300 $12,008 
(in millions)March 31,
2022
December 31,
2021
Noncurrent receivables, net (included in other noncurrent assets, net)$1,775 $1,632 
Contract acquisition and fulfillment costs (included in other noncurrent assets, net)$1,089 $1,094 
Noncurrent deferred revenue (included in other noncurrent liabilities)$682 $695 
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Comcast Corporation
Note 4: Programming and Production Costs
Three Months Ended
March 31,
(in millions)20222021
Video distribution programming$3,426 $3,515 
Film and television content:
Owned(a)
2,508 1,964
   Licensed, including sports rights4,325 3,175
Other311 265
Total programming and production costs$10,570 $8,919 
(a) Amount includes amortization of owned content of $2.0 billion and $1.6 billion for the three months ended March 31, 2022 and 2021, respectively, as well as participations and residuals expenses.
Capitalized Film and Television Costs
(in millions)March 31,
2022
December 31,
2021
Owned:
Released, less amortization$3,900 $3,726 
Completed, not released597 536 
In production and in development2,706 2,732 
7,202 6,994 
Licensed, including sports advances5,158 5,811 
Film and television costs$12,360 $12,806 
Note 5: Long-Term Debt
As of March 31, 2022, our debt had a carrying value of $94.6 billion and an estimated fair value of $99.8 billion. As of December 31, 2021, our debt had a carrying value of $94.8 billion and an estimated fair value of $109.3 billion. The estimated fair value of our publicly traded debt was primarily based on Level 1 inputs that use quoted market value for the debt. The estimated fair value of debt for which there are no quoted market prices was based on Level 2 inputs that use interest rates available to us for debt with similar terms and remaining maturities.
Note 6: Significant Transactions
Acquisitions
In October 2021, we acquired Masergy, a provider of software-defined networking and cloud platforms for global enterprises, for total cash consideration of $1.2 billion. The acquisition accelerates our growth in serving large and mid-sized companies, particularly U.S.-based organizations with multi-site global enterprises. Masergy’s results of operations are included in our consolidated results of operations since the acquisition date and are reported in our Cable Communications segment. We have recorded a preliminary estimate of Masergy’s assets and liabilities with approximately $850 million recorded to goodwill and the remainder primarily attributed to software and customer relationship intangible assets. These estimates are not yet final and are subject to change. The acquisition was not material to our consolidated results of operations.
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Comcast Corporation
Note 7: Investments and Variable Interest Entities
Investment and Other Income (Loss), Net
 Three Months Ended
March 31,
(in millions)20222021
Equity in net income (losses) of investees, net$133 $136 
Realized and unrealized gains (losses) on equity securities, net
117 237 
Other income (loss), net(62)17 
Investment and other income (loss), net$188 $390 
The amount of unrealized gains (losses), net recognized in the three months ended March 31, 2022 and 2021 that related to marketable and nonmarketable equity securities still held as of the end of each reporting period was $90 million and $98 million, respectively.
Investments
(in millions)March 31,
2022
December 31,
2021
Equity method$5,852 $6,111 
Marketable equity securities323 406 
Nonmarketable equity securities1,897 1,735 
Other investments1,166 803 
Total investments9,238 9,055 
Less: Current investments306 368 
Less: Investment securing collateralized obligation646 605 
Noncurrent investments$8,287 $8,082 
Equity Method Investments
The amount of cash distributions received from equity method investments presented within operating activities in the condensed consolidated statement of cash flows in the three months ended March 31, 2022 and 2021 was $32 million and $115 million, respectively.
Atairos
Atairos is a variable interest entity (“VIE”) that follows investment company accounting and records its investments at their fair values each reporting period with the net gains or losses reflected in its statement of operations. We recognize our share of these gains and losses in equity in net income (losses) of investees, net. For the three months ended March 31, 2022 and 2021, we made cash capital contributions to Atairos totaling $13 million and $12 million, respectively. As of March 31, 2022 and December 31, 2021, our investment in Atairos, inclusive of certain distributions retained by Atairos on our behalf and classified as advances within other investments, was $4.8 billion and $4.7 billion, respectively. As of March 31, 2022, our remaining unfunded capital commitment was $1.5 billion.
Hulu and Collateralized Obligation
In 2019, we borrowed $5.2 billion under a term loan facility due March 2024 which is fully collateralized by the minimum guaranteed proceeds of the put/call option related to our investment in Hulu. As of March 31, 2022 and December 31, 2021, the carrying value and estimated fair value of our collateralized obligation were $5.2 billion. The estimated fair value was based on Level 2 inputs that use interest rates for debt with similar terms and remaining maturities. We present our investment in Hulu and the term loan separately in our condensed consolidated balance sheet in the captions “investment securing collateralized obligation” and “collateralized obligation,” respectively. The recorded value of our investment reflects our historical cost in applying the equity method, and as a result, is less than its fair value.
Consolidated Variable Interest Entity
Universal Beijing Resort
We own a 30% interest in a Universal theme park and resort in Beijing, China (“Universal Beijing Resort”), which opened in September 2021. Universal Beijing Resort is a consolidated VIE with the remaining interest owned by a consortium of Chinese state-owned companies. The construction was funded through a combination of debt financing and equity contributions from
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Comcast Corporation
the partners in accordance with their equity interests. As of March 31, 2022, Universal Beijing Resort had $3.7 billion of debt outstanding, including $3.3 billion principal amount of a term loan outstanding under the debt financing agreement.
As of March 31, 2022, our condensed consolidated balance sheet included assets and liabilities of Universal Beijing Resort totaling $9.6 billion and $8.1 billion, respectively. The assets and liabilities of Universal Beijing Resort primarily consist of property and equipment, operating lease assets and liabilities, and debt.
Note 8: Equity and Share-Based Compensation
Weighted-Average Common Shares Outstanding
Three Months Ended
March 31,
(in millions)20222021
Weighted-average number of common shares outstanding – basic4,512 4,591 
Effect of dilutive securities46 74 
Weighted-average number of common shares outstanding – diluted4,558 4,665 
Diluted earnings per common share attributable to Comcast Corporation shareholders (“diluted EPS”) considers the impact of potentially dilutive securities using the treasury stock method. The amount of potential common shares related to our share-based compensation plans that were excluded from diluted EPS because their effect would have been antidilutive was not material in any of the periods presented.
Accumulated Other Comprehensive Income (Loss)
(in millions)March 31,
2022
December 31,
2021
Cumulative translation adjustments$174 $1,119 
Deferred gains (losses) on cash flow hedges252 104 
Unrecognized gains (losses) on employee benefit obligations and other248 257 
Accumulated other comprehensive income (loss), net of deferred taxes$674 $1,480 
Share-Based Compensation
Our share-based compensation plans consist primarily of awards of RSUs and stock options to certain employees and directors as part of our approach to long-term incentive compensation. Additionally, through our employee stock purchase plans, employees are able to purchase shares of our common stock at a discount through payroll deductions.
In March 2022, we granted 16 million RSUs and 51 million stock options related to our annual management awards. The weighted-average fair values associated with these grants were $46.46 per RSU and $8.81 per stock option.
Recognized Share-Based Compensation Expense
 Three Months Ended
March 31,
(in millions)20222021
Restricted share units$197 $206 
Stock options91 90 
Employee stock purchase plans12 11 
Total$300 $307 
As of March 31, 2022, we had unrecognized pretax compensation expense of $1.7 billion and $868 million related to nonvested RSUs and nonvested stock options, respectively.
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Comcast Corporation
Note 9: Supplemental Financial Information
Cash Payments for Interest and Income Taxes
 Three Months Ended
March 31,
(in millions)20222021
Interest$747 $911 
Income taxes$90 $87 
Noncash Activities
During the three months ended March 31, 2022:
we acquired $1.9 billion of property and equipment and intangible assets that were accrued but unpaid
we recorded a liability of $1.2 billion for a quarterly cash dividend of $0.27 per common share paid in April 2022
During the three months ended March 31, 2021:
we recognized operating lease assets and liabilities of $2.8 billion related to Universal Beijing Resort
we acquired $1.6 billion of property and equipment and intangible assets that were accrued but unpaid
we recorded a liability of $1.2 billion for a quarterly cash dividend of $0.25 per common share paid in April 2021
Cash, Cash Equivalents and Restricted Cash
The following table provides a reconciliation of cash, cash equivalents and restricted cash reported in the condensed consolidated balance sheet to the total of the amounts reported in our condensed consolidated statement of cash flows.
(in millions)March 31,
2022
December 31,
2021
Cash and cash equivalents$8,880 $8,711 
Restricted cash included in other current assets21 56 
Restricted cash included in other noncurrent assets, net12 12 
Cash, cash equivalents and restricted cash, end of period$8,914 $8,778 
Note 10: Commitments and Contingencies
Redeemable Subsidiary Preferred Stock
In the first quarter of 2021, we redeemed all of the NBCUniversal Enterprise, Inc. preferred stock and made cash payments equal to the aggregate liquidation preference of $725 million. The redeemable subsidiary preferred stock was presented in redeemable noncontrolling interests.
Contingencies
We are subject to legal proceedings and claims that arise in the ordinary course of our business. While the amount of ultimate liability with respect to such actions is not expected to materially affect our results of operations, cash flows or financial position, any litigation resulting from any such legal proceedings or claims could be time-consuming and injure our reputation.
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ITEM 2: MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
The following discussion is provided as a supplement to, and should be read in conjunction with, the condensed consolidated financial statements and related notes included in this Quarterly Report on Form 10-Q and our 2021 Annual Report on Form 10-K.
Overview
We are a global media and technology company with three primary businesses: Comcast Cable, NBCUniversal and Sky. We present our operations in five reportable business segments (1) Comcast Cable in one reportable business segment, referred to as Cable Communications; (2) NBCUniversal in three reportable business segments: Media, Studios and Theme Parks (collectively, the “NBCUniversal segments”); and (3) Sky in one reportable business segment.
Impacts of COVID-19
COVID-19 and measures taken to prevent its spread across the globe have impacted our businesses in a number of ways, affecting the comparability of periods included in this report. The most significant continuing impacts to our businesses from COVID-19 have resulted from temporary restrictions at our international theme parks. We expect the effects of the COVID-19 pandemic will continue to adversely impact our results of operations over the near to medium term, although the extent of such impact will depend on restrictive governmental measures, U.S. and global economic conditions, and consumer behavior.
Consolidated Operating Results
 Three Months Ended
March 31,
Increase/
(Decrease)
(in millions, except per share data)20222021%
Revenue$31,010 $27,205 14.0 %
Costs and Expenses:
Programming and production10,570 8,919 18.5 
Other operating and administrative
9,260 8,269 12.0 
Advertising, marketing and promotion
2,062 1,616 27.6 
Depreciation2,213 2,117 4.5 
Amortization
1,335 1,245 7.3 
Total costs and expenses25,440 22,166 14.8 
Operating income5,569 5,039 10.5 
Interest expense (993)(1,018)(2.4)
Investment and other income (loss), net
188 390 (52.0)
Income before income taxes4,764 4,411 8.0 
Income tax expense
(1,288)(1,119)15.1 
Net income3,476 3,292 5.6 
Less: Net income (loss) attributable to noncontrolling interests (73)(37)97.4 
Net income attributable to Comcast Corporation
$3,549 $3,329 6.6 %
Basic earnings per common share attributable to Comcast Corporation shareholders
$0.79 $0.73 8.2 %
Diluted earnings per common share attributable to Comcast Corporation shareholders
$0.78 $0.71 9.9 %
Adjusted EBITDA(a)
$9,150 $8,413 8.8 %
(a)Adjusted EBITDA is a non-GAAP financial measure. Refer to the “Non-GAAP Financial Measures” section on page 24 for additional information, including our definition and our use of Adjusted EBITDA, and for a reconciliation from net income attributable to Comcast Corporation to Adjusted EBITDA.
Consolidated Revenue
Consolidated revenue increased for the three months ended March 31, 2022, driven by Media, Theme Parks, Cable Communications and Studios, partially offset by decreases in revenue in Sky.
Revenue for our segments and other businesses is discussed separately below under the heading “Segment Operating Results.”
14

Consolidated Costs and Expenses
Consolidated operating costs and expenses, which is comprised of total costs and expenses excluding depreciation and amortization expense, increased for the three months ended March 31, 2022, driven by Media, Studios, Theme Parks and Cable Communications, partially offset by decreases in operating costs and expenses in Sky.
Operating costs and expenses for our segments and our corporate operations, businesses development initiatives and other businesses are discussed separately below under the heading “Segment Operating Results.”
Consolidated Depreciation and Amortization Expense
 Three Months Ended
March 31,
Increase/
(Decrease)
(in millions)20222021%
Cable Communications$1,960 $1,929 1.6 %
NBCUniversal662 583 13.6 
Sky870 814 7.0 
Corporate and Other56 36 55.2 
Comcast Consolidated$3,548 $3,362 5.5 %
Consolidated depreciation and amortization expense increased for the three months ended March 31, 2022 compared to the same period in 2021 primarily due to increased depreciation at NBCUniversal driven by the opening of Universal Beijing Resort and increased amortization at Sky driven by increased amortization of software.
Amortization expense from acquisition-related intangible assets totaled $592 million for both the three months ended March 31, 2022 and 2021. Amounts primarily relate to customer relationship intangible assets recorded in connection with the Sky transaction in the fourth quarter of 2018 and the NBCUniversal transaction in 2011.
Consolidated Interest Expense
Interest expense decreased for the three months ended March 31, 2022 compared to the same period in 2021 primarily due to a decrease in average debt outstanding in the current year period.
Consolidated Investment and Other Income (Loss), Net
 Three Months Ended
March 31,
Increase/
(Decrease)
(in millions)20222021%
Equity in net income (losses) of investees, net$133 $136 (2.2)%
Realized and unrealized gains (losses) on equity securities, net117 237 (50.7)
Other income (loss), net(62)17 NM
Total investment and other income (loss), net$188 $390 (52.0)%
Percentage changes that are considered not meaningful are denoted with NM.
The change in investment and other income (loss), net for the three months ended March 31, 2022 compared to the same period in 2021 was primarily due to realized and unrealized gains (losses) on equity securities, net and other income (loss), net. The change in realized and unrealized gains (losses) on equity securities, net for the three months ended March 31, 2022 compared to the same period in 2021 primarily resulted from losses on marketable securities in the current year period compared to gains in the prior year period, partially offset by increased gains from fair value adjustments for nonmarketable equity securities in the current year period. The change in other income (loss), net for the three months ended March 31, 2022 compared to the same period in 2021 primarily resulted from losses on insurance contracts and net losses on foreign exchange remeasurement in the current year period. Equity in net income (losses) of investees, net was consistent with the prior year period and included income for our investment in Atairos of $78 million and $77 million for the three months ended March 31, 2022 and 2021, respectively.
Consolidated Income Tax Expense
Income tax expense for the three months ended March 31, 2022 and 2021 reflects an effective income tax rate that differs from the federal statutory rate primarily due to state and foreign income taxes and adjustments associated with uncertain tax positions. The increase in income tax expense for the three months ended March 31, 2022 compared to the same period in 2021 was primarily driven by tax benefits recognized on share-based compensation plans and higher income before income taxes.
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Consolidated Net Income (Loss) Attributable to Noncontrolling Interests
The changes in net income (loss) attributable to noncontrolling interests for the three months ended March 31, 2022 compared to the same period in 2021 was primarily due to decreased losses at Universal Beijing Resort due to operations in the current year period compared to pre-opening costs in the prior year period in advance of the parks opening in September 2021 (see Note 7).
Segment Operating Results
Our segment operating results are presented based on how we assess operating performance and internally report financial information. We use Adjusted EBITDA as the measure of profit or loss for our operating segments.
See Note 2 for our definition of Adjusted EBITDA and a reconciliation from the aggregate amount of Adjusted EBITDA for our reportable business segments to consolidated income before income taxes.
Cable Communications Segment Results of Operations
 Three Months Ended
March 31,
Increase/
(Decrease)
(in millions)20222021%
Revenue
Residential:
Broadband$6,050 $5,600 8.0 %
Video5,536 5,623 (1.5)
Voice786 871 (9.8)
Wireless677 513 32.0 
Business services2,396 2,167 10.6 
Advertising671 618 8.6 
Other424 413 2.7 
Total revenue16,540 15,805 4.7 
Operating costs and expenses
Programming3,628 3,670 (1.1)
Technical and product support2,228 2,021 10.3 
Customer service581 602 (3.6)
Advertising, marketing and promotion1,012 905 11.9 
Franchise and other regulatory fees421 501 (16.0)
Other1,399 1,276 9.7 
Total operating costs and expenses9,269 8,975 3.3 
Adjusted EBITDA
$7,272 $6,830 6.5 %
    
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Customer Metrics
 Net Additions / (Losses)
 March 31,Three Months Ended
March 31,
(in thousands)2022202120222021
Customer relationships
Residential customer relationships
31,913 31,062 185 370 
Business services customer relationships
2,498 2,437 11 
Total customer relationships34,412 33,499 194 380 
Residential customer relationships mix
One product customers
14,816 12,997 486 589 
Two product customers
8,364 8,645 (43)(89)
Three or more product customers
8,733 9,420 (259)(130)
Broadband
Residential customers
29,836 28,774 253 448 
Business services customers
2,327 2,261 12 
Total broadband customers32,163 31,034 262 461 
Video
Residential customers
17,011 18,590 (484)(404)
Business services customers
654 765 (27)(87)
Total video customers17,664 19,355 (512)(491)
Voice
Residential customers
8,781 9,533 (282)(112)
Business services customers
1,391 1,363 (1)
Total voice customers10,171 10,896 (282)(106)
Wireless
Wireless lines4,298 3,103 318 278 
Customer metrics are presented based on actual amounts. Customer relationships represent the number of residential and business customers that subscribe to at least one of our services. One product, two product, and three or more product customers represent residential customers that subscribe to one, two, or three or more of our services, respectively. For multiple dwelling units (“MDUs”), including buildings located on college campuses, whose residents have the ability to receive additional services, such as additional programming choices or our high-definition video (“HD”) or digital video recorder (“DVR”) services, we count and report customers based on the number of potential billable relationships within each MDU. For MDUs whose residents are not able to receive additional services, the MDU is counted as a single customer. Residential broadband and video customer metrics include certain customers that have prepaid for services. Business customers are generally counted based on the number of locations receiving services within our distribution system, with certain offerings such as Ethernet network services counted as individual customer relationships. Wireless lines represent the number of activated, eligible wireless devices on customers’ accounts. Individual customer relationships may have multiple wireless lines. Customer metrics in 2021 did not include customers in certain pandemic-related programs through which portions of our customers temporarily received our services for free. These programs ended in December 2021, resulting in a one-time benefit to net additions in the three months ended March 31, 2022.
Three Months Ended
March 31,
Increase/(Decrease)
20222021%
Average monthly total revenue per customer relationship$160.67 $158.17 1.6 %
Average monthly Adjusted EBITDA per customer relationship$70.64 $68.35 3.3 %
Average monthly total revenue per customer relationship is impacted by rate adjustments and changes in the types and levels of services received by our residential and business services customers, as well as changes in advertising revenue. While revenue from our residential broadband, video and voice services is also impacted by changes in the allocation of revenue among services sold in a bundle, the allocation does not impact average monthly total revenue per customer relationship. Each of our services has a different contribution to operating margin. We use average monthly Adjusted EBITDA per customer relationship to evaluate the profitability of our customer base across our service offerings. We believe both metrics are useful to understand the trends in our business, and average monthly Adjusted EBITDA per customer relationship is useful particularly as we continue to focus on growing our higher-margin businesses.
Cable Communications Segment – Revenue
Broadband
Revenue increased for the three months ended March 31, 2022 compared to the same period in 2021 due to an increase in the number of residential broadband customers and an increase in average rates.
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Video
Revenue decreased for the three months ended March 31, 2022 compared to the same period in 2021 primarily due to a decline in the number of residential video customers, partially offset by an increase in average rates. We expect that the number of residential video customers will continue to decline, negatively impacting video revenue as a result of the competitive environment and shifting video consumption patterns.
Voice
Revenue decreased for the three months ended March 31, 2022 compared to the same period in 2021 primarily due to a decline in the number of residential voice customers. We expect that the number of residential voice customers and voice revenue will continue to decline.
Wireless
Revenue increased for the three months ended March 31, 2022 compared to the same period in 2021 primarily due to an increase in the number of customer lines.
Business Services
Revenue increased for the three months ended March 31, 2022 compared to the same period in 2021 primarily due to increases in average rates and customer relationships compared to the prior year period and due to the acquisition of Masergy in October 2021.
Advertising
Revenue increased for the three months ended March 31, 2022 compared to the same period in 2021 primarily due to increases in political advertising, advertising at our Xumo streaming service and revenue from our advanced advertising businesses.
Other
Revenue increased for the three months ended March 31, 2022 compared to the same period in 2021 due to increases in revenue from licensing of our technology platforms and from our security and automation services.
Cable Communications Segment – Operating Costs and Expenses
Programming expenses decreased for the three months ended March 31, 2022 compared to the same period in 2021 primarily due to a decline in the number of video subscribers, partially offset by contractual rate increases.
Technical and product support expenses increased for the three months ended March 31, 2022 compared to the same period in 2021 primarily due to an increase in costs associated with our wireless phone service resulting from increases in the number of customers receiving the service and device sales, and the acquisition of Masergy.
Customer service expenses decreased for the three months ended March 31, 2022 compared to the same period in 2021 primarily due to lower labor costs as a result of reduced call volumes.
Advertising, marketing and promotion expenses increased for the three months ended March 31, 2022 compared to the same period in 2021 primarily due to increased spending associated with attracting new customers and promoting our service offerings, including advertising expenses associated with the Beijing Olympics.
Franchise and other regulatory fees decreased for the three months ended March 31, 2022 compared to the same period in 2021 primarily due to a decrease in regulatory costs.
Other operating costs and expenses increased for the three months ended March 31, 2022 compared to the same period in 2021 primarily due to lower levels of bad debt expense in the prior year period, and higher personnel and other overhead costs.
Cable Communications Segment – Operating Margin
Our operating margin is Adjusted EBITDA as a percentage of revenue. We believe this metric is useful particularly as we continue to focus on growing our higher-margin businesses and improving overall operating cost management.
Our operating margin for the three months ended March 31, 2022 and 2021 was 44.0% and 43.2%, respectively.
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NBCUniversal Segments Results of Operations
 Three Months Ended
March 31,
Increase/
(Decrease)
(in millions)20222021%
Revenue
Media$6,865 $5,036 36.3 %
Studios2,757 2,396 15.1 
Theme Parks1,560 619 151.9 
Headquarters and Other16 16 1.9 
Eliminations(901)(1,043)13.5 
Total revenue$10,296 $7,024 46.6 %
Adjusted EBITDA
Media$1,159 $1,473 (21.3)%
Studios245 497 (50.7)
Theme Parks451 (61)NM
Headquarters and Other(191)(209)8.3 
Eliminations(62)(210)70.4
Total Adjusted EBITDA
$1,601 $1,490 7.4 %
Percentage changes that are considered not meaningful are denoted with NM.
Media Segment Results of Operations
 Three Months Ended
March 31,
Increase/
(Decrease)
(in millions)20222021%
Revenue
Advertising$3,332 $2,094 59.2 %
Distribution3,033 2,495 21.6 
Other499 447 11.6 
Total revenue6,865 5,036 36.3 
Operating costs and expenses
Programming and production4,351 2,522 72.5 
Other operating and administrative929 819 13.5 
Advertising, marketing and promotion426 222 91.8 
Total operating costs and expenses5,706 3,563 60.1 
Adjusted EBITDA$1,159 $1,473 (21.3)%
Media Segment – Revenue
Revenue increased for the three months ended March 31, 2022 compared to the same period in 2021 primarily due to increases in advertising and distribution revenue, and included revenue from our broadcasts of the Beijing Olympics and Super Bowl in the first quarter of 2022. Excluding $1.0 billion and $0.5 billion of incremental revenue associated with our broadcasts of the Beijing Olympics and Super Bowl, respectively, Media revenue increased 6.9% for the three months ended March 31, 2022 compared to the same period in 2021.
Three Months Ended
March 31,
Increase/
(Decrease)
(in millions)20222021%
Advertising$3,332 $2,094 59.2 %
Advertising, excluding Beijing Olympics and Super Bowl2,178 2,094 4.0 
Advertising revenue increased for the three months ended March 31, 2022 compared to the same period in 2021 primarily due to our broadcasts of the Beijing Olympics and Super Bowl. Excluding $1.2 billion of incremental revenue associated with our broadcasts of the Beijing Olympics and Super Bowl, for the three months ended March 31, 2022, advertising revenue increased due to higher pricing at our networks in the current year period and increased advertising revenue at Peacock. These increases were partially offset by continued audience ratings declines at our networks and increased revenue related to other sporting events in the prior year period due to COVID-19 timing impacts.
19

Three Months Ended
March 31,
Increase/
(Decrease)
(in millions)20222021%
Distribution$3,033 $2,495 21.6 %
Distribution, excluding Beijing Olympics2,706 2,495 8.5 
Distribution revenue increased for the three months ended March 31, 2022 compared to the same period in 2021, primarily due to our broadcast of the Beijing Olympics. Excluding $327 million of incremental revenue associated with our broadcast of the Beijing Olympics, for the three months ended March 31, 2022, distribution revenue increased due to an increase in distribution revenue at Peacock, as well as an increase at our networks due to contractual rate increases, partially offset by a decline in the number of subscribers.
We expect the number of subscribers and audience ratings at our networks will continue to decline as a result of the competitive environment and shifting video consumption patterns. Revenue included $472 million and $91 million related to Peacock for the three months ended March 31, 2022 and 2021, respectively, including amounts related to the Beijing Olympics and Super Bowl.
Media Segment – Operating Costs and Expenses
Operating costs and expenses increased for the three months ended March 31, 2022 compared to the same period in 2021 due to increases in programming and production costs; advertising, marketing and promotion costs; and other operating and administrative costs. Programming and production costs increased for the three months ended March 31, 2022 primarily due to costs associated with our broadcasts of the Beijing Olympics and Super Bowl and higher programming costs at Peacock. Advertising, marketing and promotion costs increased primarily due to higher marketing costs related to Peacock and higher spending related to our networks. Other operating and administrative costs increased primarily due to increased costs related to Peacock.
Operating costs and expenses included $928 million and $368 million related to Peacock for the three months ended March 31, 2022 and 2021, respectively, including amounts related to the Beijing Olympics and Super Bowl. We expect to continue to incur significant costs related to additional content and marketing as we invest in the platform and attract new customers.
Studios Segment Results of Operations
 Three Months Ended
March 31,
Increase/
(Decrease)
(in millions)20222021%
Revenue
Content licensing$2,279 $2,075 9.8 %
Theatrical168 39 NM
Home entertainment and other310 282 9.8 
Total revenue2,757 2,396 15.1 
Operating costs and expenses
Programming and production1,974 1,614 22.3 
Other operating and administrative210 161 31.1 
Advertising, marketing and promotion327 124 163.0 
Total operating costs and expenses2,511 1,899 32.3 
Adjusted EBITDA$245 $497 (50.7)%
Percentage changes that are considered not meaningful are denoted with NM.
20

Studios Segment – Revenue
Revenue increased for the three months ended March 31, 2022 compared to the same period in 2021 due to increases in content licensing revenue and theatrical revenue. Content licensing revenue increased primarily due to the timing of when content was made available by our film and television studios under licensing agreements, including additional sales of content as production levels returned to normal, partially offset by the impact of a new licensing agreement for content that became exclusively available for streaming on Peacock in the prior year period. Theatrical revenue increased primarily due to recent releases, including Sing 2, and the impact of theater closures and theaters operating at reduced capacity as a result of COVID-19 in the prior year period.
Studios Segment – Operating Costs and Expenses
Operating costs and expenses increased for the three months ended March 31, 2022 compared to the same period in 2021 primarily due to increases in programming and production costs and advertising, marketing and promotion costs. Programming and production costs increased primarily due to higher costs associated with content licensing sales and theatrical releases in the current year period. Advertising, marketing and promotion costs increased due to higher spending on theatrical releases in the current year period.
Theme Parks Segment Results of Operations
Three Months Ended
March 31,
Increase/
(Decrease)
(in millions)20222021%
Revenue$1,560 $619 151.9 %
Operating costs and expenses1,109 680 63.0 
Adjusted EBITDA$451 $(61)NM
Percentage changes that are considered not meaningful are denoted with NM.
Theme Parks Segment – Revenue
Revenue increased for the three months ended March 31, 2022 primarily due to improved operating conditions compared to the same period in 2021, when each of our theme parks was either operating at a limited capacity or closed as a result of COVID-19, and from the operations of Universal Beijing Resort, which opened in September 2021. In 2022, our theme parks in Orlando and Hollywood operated without capacity restrictions and the requirement for proof of vaccination or a negative COVID-19 test previously put in place in the fourth quarter of 2021 was lifted for our theme park in Hollywood. Our theme park in Japan temporarily reinstated capacity restrictions during the first quarter of 2022, which were lifted by the end of the period. Our newest theme park in Beijing continues to be impacted by COVID-19 and related travel restrictions.
Theme Parks Segment – Operating Costs and Expenses
Expenses increased for the three months ended March 31, 2022 compared to the same period in 2021 primarily due to increased operating costs at our theme parks, as compared to decreased operating costs during the temporary closures and capacity restrictions in the prior year period, and due to operating costs associated with Universal Beijing Resort in the current year period, which were higher than pre-opening costs in the prior year period.
NBCUniversal Headquarters, Other and Eliminations
Headquarters and Other Results of Operations
 Three Months Ended
March 31,
Increase/
(Decrease)
(in millions)20222021%
Revenue$16 $16 1.9 %
Operating costs and expenses208 225 (7.6)
Adjusted EBITDA$(191)$(209)8.3 %
Expenses include overhead, personnel costs and costs associated with corporate initiatives.
21

Eliminations
 Three Months Ended
March 31,
Increase/
(Decrease)
(in millions)20222021%
Revenue$(901)$(1,043)(13.5)%
Operating costs and expenses(839)(833)0.8 
Adjusted EBITDA$(62)$(210)(70.4)%
Amounts represent eliminations of transactions between our NBCUniversal segments, which are affected by the timing of recognition of content licenses between our Studios and Media segments. Prior year amounts include the impact of a new licensing agreement for content that became exclusively available for streaming on Peacock during the first quarter of 2021. Results of operations for NBCUniversal may be impacted as we continue to use content on our platforms, including Peacock, rather than licensing it to third parties.
For the three months ended March 31, 2022 and 2021, approximately 41% and 52%, respectively, of Studios segment content licensing revenue resulted from transactions with other segments, primarily with the Media segment. Eliminations increase or decrease to the extent that additional content is made available to our other segments. Refer to Note 2 for further discussion of transactions between our segments.
Sky Segment Results of Operations
Three Months Ended
March 31,
Increase/
(Decrease)
Constant Currency Change(a)
(in millions)20222021%%
Revenue
Direct-to-consumer$3,884 $4,065 (4.5)%(0.4)%
Content 295 358 (17.5)(14.3)
Advertising596 574 3.8 7.9 
Total revenue4,775 4,997 (4.5)(0.5)
Operating costs and expenses
Programming and production 1,948 2,485 (21.6)(17.6)
Direct network costs672 631 6.5 9.7 
Other1,532 1,517 1.0 5.2 
Total operating costs and expenses4,153 4,633 (10.4)(6.3)
Adjusted EBITDA
$622 $364 71.0 %71.2 %
(a)Constant currency is a non-GAAP financial measure. Refer to the “Non-GAAP Financial Measures” section on page 24 for additional information, including our definition and our use of constant currency, and for a reconciliation of Sky’s constant currency growth rates.
Customer Metrics
Net Additions / (Losses)
March 31,Three Months Ended
March 31,
(in thousands)2022202120222021
Total customer relationships22,921 23,446 (106)221 
Customer metrics are presented based on actual amounts. Customer relationships represent the number of residential customers that subscribe to at least one of Sky’s four primary services of video, broadband, voice and wireless phone service. Sky reports business customers, including hotels, bars, workplaces and restaurants, generally based on the number of locations receiving our services.
Three Months Ended
March 31,
Increase/
(Decrease)
Constant
Currency
Change(a)
20222021%%
Average monthly direct-to-consumer revenue per customer relationship$56.35 $58.06 (2.9)%1.1 %
(a)Constant currency is a non-GAAP financial measure. Refer to the “Non-GAAP Financial Measures” section on page 24 for additional information, including our definition and our use of constant currency, and for a reconciliation of Sky’s constant currency growth rates.
22

Average monthly direct-to-consumer revenue per customer relationship is impacted by rate adjustments and changes in the types and levels of services received by Sky’s customers. Each of Sky’s services has a different contribution to Adjusted EBITDA. We believe average monthly direct-to-consumer revenue per customer relationship is useful in understanding the trends in our business across all of our direct-to-consumer service offerings.
Sky Segment – Revenue
Direct-to-Consumer
Revenue decreased for the three months ended March 31, 2022 compared to the same period in 2021. Excluding the impact of foreign currency, revenue remained consistent with the prior year period primarily due to a decrease in customer relationships offset by an increase in average revenue per customer relationship. The decrease in customer relationships was driven by a decrease in Italy, partially offset by an increase in the United Kingdom. The increase in average revenue per customer relationship reflects the impacts of COVID-19 on business customers in the prior year period and the impact of rate increases in the United Kingdom, partially offset by declines in average rates in Italy. The decline in customer relationships and average revenue per customer relationship in Italy included the effects of the reduced broadcast rights for Serie A, which we had held through the end of the 2020-21 season. Beginning with the 2021-22 season in the third quarter of 2021 and through the 2023-24 season, we have nonexclusive broadcast rights to fewer matches, which has resulted and we expect will continue to result in declines in revenue in Italy in 2022.
Content
Revenue decreased for the three months ended March 31, 2022 compared to the same period in 2021. Excluding the impact of foreign currency, revenue decreased primarily due to lower sports programming licensing revenue driven by changes in licensing agreements in Italy and Germany.
Advertising
Revenue increased for the three months ended March 31, 2022 compared to the same period in 2021. Excluding the impact of foreign currency, revenue increased primarily as a result of an overall market improvement in the United Kingdom compared to the prior year period, partially offset by decreased advertising revenue associated with Serie A.
Sky Segment – Operating Costs and Expenses
Programming and production costs decreased for the three months ended March 31, 2022 compared to the same period in 2021. Excluding the impact of foreign currency, programming and production costs decreased for the three months ended March 31, 2022 primarily reflecting lower costs associated with Serie A in Italy as a result of the reduced broadcast rights and lower costs associated with other sports contracts in Germany in the current year period, as well as the timing of recognition of costs related to sporting events.
Direct network costs increased for the three months ended March 31, 2022 compared to the same period in 2021. Excluding the impact of foreign currency, direct network costs increased primarily due to an increase in costs associated with Skys broadband and wireless phone services as a result of increases in the number of customers receiving these services and wireless device sales.
Other expenses increased for the three months ended March 31, 2022 compared to the same period in 2021. Excluding the impact of foreign currency, other expenses increased primarily due to higher administrative costs and higher fees paid to third-party channels related to advertising sales.
Corporate, Other and Eliminations
Corporate and Other Results of Operations
 Three Months Ended
March 31,
Increase/
(Decrease)
(in millions)20222021
%
Revenue$238 $89 168.8 %
Operating costs and expenses500 370 35.4 
Adjusted EBITDA$(262)$(281)6.7 %
Corporate and other primarily includes overhead and personnel costs, the results of other business initiatives and Comcast Spectacor, which owns the Philadelphia Flyers and the Wells Fargo Center arena in Philadelphia, Pennsylvania. Other business initiatives include costs associated with Sky Glass and the related hardware sales, as well as costs associated with XClass TV.
23

Revenue increased for the three months ended March 31, 2022 primarily due to increases at Comcast Spectacor as a result of the impacts of COVID-19 in the prior year period and sales of Sky Glass smart televisions.
Expenses increased for the three months ended March 31, 2022 primarily due to costs related to Sky Glass and XClass TV. We expect to continue to incur increased costs in 2022 related to the launch of Sky Glass and XClass TV.
Eliminations
 Three Months Ended
March 31,
Increase/
(Decrease)
(in millions)20222021%
Revenue$(840)$(710)18.2 %
Operating costs and expenses(757)(720)5.2 
Adjusted EBITDA$(82)$10 NM
Percentage changes that are considered not meaningful are denoted with NM.
Amounts represent eliminations of transactions between Cable Communications, NBCUniversal, Sky and other businesses. Eliminations of transactions between NBCUniversal segments are presented separately. Current year amounts reflect an increase in eliminations associated with the Beijing Olympics. Refer to Note 2 for a description of transactions between our segments.
Non-GAAP Financial Measures
Consolidated Adjusted EBITDA
Adjusted EBITDA is a non-GAAP financial measure and is the primary basis used to measure the operational strength and performance of our businesses as well as to assist in the evaluation of underlying trends in our businesses. This measure eliminates the significant level of noncash depreciation and amortization expense that results from the capital-intensive nature of certain of our businesses and from intangible assets recognized in business combinations. It is also unaffected by our capital and tax structures, and by our investment activities, including the results of entities that we do not consolidate, as our management excludes these results when evaluating our operating performance. Our management and Board of Directors use this financial measure to evaluate our consolidated operating performance and the operating performance of our operating segments and to allocate resources and capital to our operating segments. It is also a significant performance measure in our annual incentive compensation programs. Additionally, we believe that Adjusted EBITDA is useful to investors because it is one of the bases for comparing our operating performance with that of other companies in our industries, although our measure of Adjusted EBITDA may not be directly comparable to similar measures used by other companies.
We define Adjusted EBITDA as net income attributable to Comcast Corporation before net income (loss) attributable to noncontrolling interests, income tax expense, investment and other income (loss), net, interest expense, depreciation and amortization expense, and other operating gains and losses (such as impairment charges related to fixed and intangible assets and gains or losses on the sale of long-lived assets), if any. From time to time, we may exclude from Adjusted EBITDA the impact of certain events, gains, losses or other charges (such as significant legal settlements) that affect the period-to-period comparability of our operating performance.
We reconcile consolidated Adjusted EBITDA to net income attributable to Comcast Corporation. This measure should not be considered a substitute for operating income (loss), net income (loss), net income (loss) attributable to Comcast Corporation, or net cash provided by operating activities that we have reported in accordance with GAAP.
24

Reconciliation from Net Income Attributable to Comcast Corporation to Adjusted EBITDA
 Three Months Ended
March 31,
(in millions)20222021
Net income attributable to Comcast Corporation
$3,549 $3,329 
Net income (loss) attributable to noncontrolling interests(73)(37)
Income tax expense1,288 1,119 
Investment and other (income) loss, net(188)(390)
Interest expense993 1,018 
Depreciation2,213 2,117 
Amortization1,335 1,245 
Adjustments(a)
33 12 
Adjusted EBITDA$9,150 $8,413 
(a)Amounts represent the impact of certain events, gains, losses or other charges that are excluded from Adjusted EBITDA, including costs related to our investment portfolio, and Sky transaction-related costs in 2021.
Constant Currency
Constant currency and constant currency growth rates are non-GAAP financial measures that present our results of operations excluding the estimated effects of foreign currency exchange rate fluctuations. Certain of our businesses, including Sky, have operations outside the United States that are conducted in local currencies. As a result, the comparability of the financial results reported in U.S. dollars is affected by changes in foreign currency exchange rates. In our Sky segment, we use constant currency and constant currency growth rates to evaluate the underlying performance of the business, and we believe it is helpful for investors to present operating results on a comparable basis period over period to evaluate its underlying performance.
Constant currency and constant currency growth rates are calculated by comparing the comparative period results in the prior year adjusted to reflect the average exchange rates from the current year period rather than the actual exchange rates in effect during the respective prior year periods.
Reconciliation of Sky Constant Currency Growth Rates
Three Months Ended
March 31,
ActualConstant CurrencyConstant Currency Change
(in millions, except per customer data)20222021%
Revenue
Direct-to-consumer$3,884 $3,901 (0.4)%
Content 295 345 (14.3)
Advertising596 552 7.9 
Total revenue4,775 4,797 (0.5)
Operating costs and expenses
Programming and production 1,948 2,365 (17.6)
Direct network costs672 613 9.7 
Other1,532 1,457 5.2 
Total operating costs and expenses4,153 4,434 (6.3)
Adjusted EBITDA
$622 $363 71.2 %
Average monthly direct-to-consumer revenue per customer relationship
$56.35 $55.72 1.1 %
25

Liquidity and Capital Resources
Three Months Ended
March 31,
(in millions)20222021
Cash provided by operating activities$7,257 $7,751 
Cash used in investing activities$(2,597)$(2,612)
Cash used in financing activities$(4,490)$(1,898)
(in millions)March 31, 2022December 31, 2021
Cash and cash equivalents$8,880 $8,711 
Short-term and long-term debt$94,561 $94,850 
Our businesses generate significant cash flows from operating activities. We believe that we will be able to continue to meet our current and long-term liquidity and capital requirements, including fixed charges, through our cash flows from operating activities; existing cash, cash equivalents and investments; available borrowings under our existing credit facility; and our ability to obtain future external financing. We anticipate that we will continue to use a substantial portion of our cash flows from operating activities in repaying our debt obligations, funding our capital expenditures and cash paid for intangible assets, investing in business opportunities, and returning capital to shareholders.
We maintain significant availability under our revolving credit facility and our commercial paper program to meet our short-term liquidity requirements. Our commercial paper program provides a lower-cost source of borrowing to fund our short-term working capital requirements. As of March 31, 2022, amounts available under our revolving credit facility, net of amounts outstanding under our commercial paper program and outstanding letters of credit and bank guarantees, totaled $11.0 billion.
Operating Activities
Components of Net Cash Provided by Operating Activities
 Three Months Ended
March 31,
(in millions)20222021
Operating income$5,569 $5,039 
Depreciation and amortization3,548 3,362 
Noncash share-based compensation376 373 
Changes in operating assets and liabilities(1,475)(176)
Payments of interest(747)(911)
Payments of income taxes(90)(87)
Proceeds from investments and other75 151 
Net cash provided by operating activities$7,257 $7,751 
The variance in changes in operating assets and liabilities for the three months ended March 31, 2022 compared to the same period in 2021 was primarily related to increases in accounts receivable and decreases in deferred revenue, which included the impacts of our broadcasts of the Beijing Olympics and Super Bowl, and the timing of amortization and related payments for our film and television costs, including increased production spending, partially offset by the timing of sporting events.