Comcast is the biggest pay-TV provider in the US with about 22 million video subscribers for its core cable division. The company downloads the bulk of its revenue from its cable services offered in 39 states and the District of Columbia. Its broadband Internet service has about 21 million subscribers and its XFINITY computer telephony service has about 11 million customers. Comcast also owns NBCUniversal, which includes the NBC TV network, Universal Studios, and the Universal theme parks. Comcast ended its $45 billion bid to acquire Time Warner Cable in the face of regulatory opposition.
The company reports revenue through five segments: Cable Communications, Cable Networks, Broadcast Television, Filmed Entertainment, and Theme Parks. Besides the NBC and Telemundo broadcast networks, Comcast has has cable programming interests, such as MSNBC, E!, G4, and The Golf Channel, and sells time to advertisers.
Comcast remains grounded in its hometown of Philadelphia. Through its majority-owned subsidiary Comcast Spectacor, the company owns Philadelphia's professional sports teams, the 76ers and the Flyers, as well as the city's Wells Fargo Center arena. Comcast Spectacor also manages other venues used for sporting events and music concerts in Philadelphia, as well as related service businesses including Ovations Food Services and facilities management provider Global Spectrum.
Comcast operates throughout the US.
Sales and Marketing
Comcast offers its services directly to residential and business customers through call centers, door-to-door selling, direct mail advertising, television advertising, Internet advertising, local media advertising, telemarketing, and retail outlets.
Comcast spent about $5.1 billion on advertising, marketing, and promotion expenses during fiscal 2013.
Revenue increased 6% to almost $69 billion in 2014 from about $64.6 billion in 2013. Higher revenue from the cable communications came from an increase in business service revenue with more small business customers signing up for high-speed Internet and voice services. Higher revenue translated into higher net income, which was $8.4 billion in 2014, up from from $6.8 billion in 2013. Cash flow from operations rose to about $17 billion compared to $14.16 billion in 2013 due to higher net income and a change in the working capital.
Comcast will cast around for new strategies to deal with the growing threat of pay TV alternatives now that it's dropped the Time Warner Cable deal. It could set its sights on another cable provider or even a mobile carrier such as T-Mobile or Sprint. And it will continue to expand its media and programming holdings, perhaps more aggressively with the Time Warner Cable bid behind it.
Mergers and Acquisitions
Comcast made no significant acquisitions in 2014 as the Time Warner Cable deal was pending.