Comcast Corp. (Nasdaq: CMCSK) said Monday third quarter revenue was up 23 percent over last year's, and net income rose as it included the results from the companies it purchased earlier in the year. Cable revenue also contributed to the improved results.
Shares were up 1/16 to 39 3/8 Monday.
Revenue was $1.96 billion, up 23 percent from the $1.59 billion reported in the same period of 1999. Consolidated operating cash flow increased 31 percent to $605.7 million from the $463.9 million reported in the third quarter of 1999.
Net profit was $1.24 billion, or $1.29 a diluted share, compared with $327.8 million, or 41 cents a share. Numbers include the results of Jones Intercable, Inc., Lenfest Communications Inc. and Prime Communications LLC, which it bought earlier this year. First Call was expecting a loss of 15 cents a share
Pro forma results assume that all of the company's acquisitions were effective on January 1, 1999. On a pro forma basis, and excluding the effects of Comcast's new business communications initiatives, consolidated revenue and operating cash flow for the quarter increased 9 percent and 12 percent, respectively, over the same 1999 period.
The company said it has just begun the expansion of its video offering. During the quarter, the cable division added more than 66,000 Comcast@Home customers, representing a 57 percent increase over the second quarter and almost three times the net additions in the prior year quarter.
On a consolidated basis, excluding the new business communications initiatives, Comcast invested $422.6 million during the third quarter to rebuild, maintain and extend its infrastructure. The upgrading of the company's cable systems is progressing on budget and on time.
The capital expenditure outlook for the full year 2000 remains unchanged at $1.5 billion and should result in an after-tax free cash flow from operations between $200 million to $300 million, in line with previous guidance.
The quarter also includes a gain of $1.06 billion from an adjustment to debt that is indexed to shares of Sprint PCS (NYSE: PCS). The company also reported a $1.05 billion gain stemming from a distribution agreement with ExciteAtHome Corp. (Nasdaq: ATHM) that runs through June 2006.
Reuters contributed to this report.