What’s the Outlook for Comcast’s NBCUniversal Business in 2017?



NBCUniversal’s Broadcast Television segment

Comcast’s (CMCSA) NBCUniversal Broadcast Television earns the majority of its revenue from advertising and re-transmission. In its fiscal 4Q16 earnings call, the company stated that it expects its re-transmission and affiliate fees to increase further in fiscal 2017 due to its recently concluded content distribution deals.

The company is also upbeat about its advertising revenue, as its NBC network was once again ranked at the top among viewers in the 18 to 49 age group, according to Nielsen data. Comcast’s NBC has a ~30% viewership lead over the television network that was ranked second.

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Comcast’s Broadcast Television segment had revenue of $2.8 billion in fiscal 4Q16, up 14% year-over-year. The rise in revenue was mainly driven by higher advertising and content licensing revenue. The company’s Cable Networks segment had revenue of $2.5 billion in fiscal 4Q16, a rise of 4% over fiscal 4Q15. The rise in revenue for Cable Networks was primarily driven by higher content licensing revenue.

Comcast’s Filmed Entertainment segment

Comcast will continue to focus on its franchise-focused strategy for its Universal Pictures in 2017. It expects to release movies from franchises including Fifty Shades, The Fast and the Furious, and Despicable Me.

The Filmed Entertainment segment had revenue of $1.8 billion in fiscal 4Q16, up 12.6% year-over-year. The revenue growth was mainly driven by a rise in theatrical revenue due to the box office performance of its movie, Sing.


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