Comcast 10-Q 2022-06-30

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 June 30, 2022

Or

☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to

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 class						Trading Symbol(s)						Name of each exchange on which registered
Class A Common Stock, $0.01 par value						CMCSA						The Nasdaq Stock Market LLC
0.000% Notes due 2026						CMCS26						The Nasdaq Stock Market LLC
0.250% Notes due 2027						CMCS27						The Nasdaq Stock Market LLC
1.500% Notes due 2029						CMCS29						The Nasdaq Stock Market LLC
0.250% Notes due 2029						CMCS29A						The Nasdaq Stock Market LLC
0.750% Notes due 2032						CMCS32						The Nasdaq Stock Market LLC
1.875% Notes due 2036						CMCS36						The Nasdaq Stock Market LLC
1.250% Notes due 2040						CMCS40						The Nasdaq Stock Market LLC
9.455% Guaranteed Notes due 2022						CMCSA/22						New York Stock Exchange
5.50% Notes due 2029						CCGBP29						New York Stock Exchange
2.0% Exchangeable Subordinated Debentures due 2029						CCZ						New 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 June 30, 2022, there were 4,403,793,980 shares of Comcast Corporation Class A common stock and 9,444,375 shares of Class B common stock outstanding.

TABLE OF CONTENTS

						Page Number
PART I. FINANCIAL INFORMATION
Item 1.			Financial Statements			1
			Condensed Consolidated Statement of Income (Unaudited)			1
			Condensed Consolidated Statement of Comprehensive Income (Unaudited)			2
			Condensed Consolidated Statement of Cash Flows (Unaudited)			3
			Condensed Consolidated Balance Sheet (Unaudited)			4
			Condensed Consolidated Statement of Changes in Equity (Unaudited)			5
			Notes to Condensed Consolidated Financial Statements (Unaudited)			6
Item 2.			Management’s Discussion and Analysis of Financial Condition and Results of Operations			14
Item 3.			Quantitative and Qualitative Disclosures About Market Risk			30
Item 4.			Controls and Procedures			30
PART II. OTHER INFORMATION
Item 1.			Legal Proceedings			31
Item 1A.			Risk Factors			31
Item 2.			Unregistered Sales of Equity Securities and Use of Proceeds			31
Item 6.			Exhibits			31
SIGNATURES						32

Explanatory Note

This Quarterly Report on Form 10-Q is for the three and six months ended June 30, 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

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PART I: FINANCIAL INFORMATION

Comcast Corporation

Condensed Consolidated Statement of Income

(Unaudited)

			Three Months Ended June 30,												Six Months Ended June 30,
(in millions, except per share data)			2022						2021						2022						2021
Revenue			$	30,016					$	28,546					$	61,026					$	55,751
Costs and Expenses:
Programming and production			8,887						9,256						19,457						18,175
Other operating and administrative			9,098						8,549						18,358						16,818
Advertising, marketing and promotion			2,196						1,851						4,258						3,467
Depreciation			2,162						2,113						4,375						4,231
Amortization			1,306						1,270						2,641						2,514
Total costs and expenses			23,649						23,039						49,089						45,205
Operating income			6,367						5,507						11,936						10,546
Interest expense			(968)						(1,093)						(1,962)						(2,112)
Investment and other income (loss), net			(897)						1,216						(709)						1,607
Income before income taxes			4,502						5,630						9,266						10,042
Income tax expense			(1,261)						(2,000)						(2,548)						(3,119)
Net income			3,241						3,630						6,717						6,922
Less: Net income (loss) attributable to noncontrolling interests			(155)						(108)						(227)						(145)
Net income attributable to Comcast Corporation			$	3,396					$	3,738					$	6,945					$	7,067
Basic earnings per common share attributable to Comcast Corporation shareholders			$	0.76					$	0.81					$	1.55					$	1.54
Diluted earnings per common share attributable to Comcast Corporation shareholders			$	0.76					$	0.80					$	1.54					$	1.51

See accompanying notes to condensed consolidated financial statements.

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Comcast Corporation

Condensed Consolidated Statement of Comprehensive Income

(Unaudited)

			Three Months Ended June 30,												Six Months Ended June 30,
(in millions)			2022						2021						2022						2021
Net income			$	3,241					$	3,630					$	6,717					$	6,922
Currency translation adjustments, net of deferred taxes of $42, $(17), $289 and $(109)			(2,957)						61						(3,873)						26
Cash flow hedges:
Deferred gains (losses), net of deferred taxes of $(1), $2, $(38) and $(17)			129						(14)						294						105
Realized (gains) losses reclassified to net income, net of deferred taxes of $(11), $—, $(16) and $—			(45)						4						(62)						4
Employee benefit obligations and other, net of deferred taxes of $2, $3, $5 and $5			(12)						(7)						(21)						(17)
Comprehensive income			356						3,674						3,055						7,040
Less: Net income (loss) attributable to noncontrolling interests			(155)						(108)						(227)						(145)
Less: Other comprehensive income (loss) attributable to noncontrolling interests			(41)						24						(13)						10
Comprehensive income attributable to Comcast Corporation			$	552					$	3,758					$	3,295					$	7,175

See accompanying notes to condensed consolidated financial statements.

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Comcast Corporation

Condensed Consolidated Statement of Cash Flows

(Unaudited)

			Six Months Ended June 30,
(in millions)			2022						2021
Operating Activities
Net income			$	6,717					$	6,922
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization			7,016						6,745
Share-based compensation			675						711
Noncash interest expense (income), net			165						210
Net (gain) loss on investment activity and other			864						(1,403)
Deferred income taxes			(31)						1,297
Changes in operating assets and liabilities, net of effects of acquisitions and divestitures:
Current and noncurrent receivables, net			(338)						137
Film and television costs, net			651						837
Accounts payable and accrued expenses related to trade creditors			78						299
Other operating assets and liabilities			(2,214)						(398)
Net cash provided by operating activities			13,584						15,357
Investing Activities
Capital expenditures			(4,270)						(4,003)
Cash paid for intangible assets			(1,383)						(1,283)
Construction of Universal Beijing Resort			(168)						(704)
Acquisitions, net of cash acquired			—						(168)
Proceeds from sales of businesses and investments			108						396
Purchases of investments			(1,164)						(86)
Other			86						217
Net cash provided by (used in) investing activities			(6,792)						(5,631)
Financing Activities
Proceeds from borrowings			166						383
Repurchases and repayments of debt			(254)						(5,785)
Repurchases of common stock under repurchase program and employee plans			(6,288)						(957)
Dividends paid			(2,377)						(2,230)
Other			116						(475)
Net cash provided by (used in) financing activities			(8,636)						(9,064)
Impact of foreign currency on cash, cash equivalents and restricted cash			(76)						(12)
Increase (decrease) in cash, cash equivalents and restricted cash			(1,920)						650
Cash, cash equivalents and restricted cash, beginning of period			8,778						11,768
Cash, cash equivalents and restricted cash, end of period			$	6,859					$	12,418

See accompanying notes to condensed consolidated financial statements.

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Comcast Corporation

Condensed Consolidated Balance Sheet

(Unaudited)

(in millions, except share data)			June 30, 2022						December 31, 2021
Assets
Current Assets:
Cash and cash equivalents			$	6,822					$	8,711
Receivables, net			11,956						12,008
Other current assets			5,415						4,088
Total current assets			24,192						24,807
Film and television costs			11,622						12,806
Investments			7,598						8,082
Investment securing collateralized obligation			642						605
Property and equipment, net of accumulated depreciation of $56,537 and $55,611			53,508						54,047
Goodwill			66,486						70,189
Franchise rights			59,365						59,365
Other intangible assets, net of accumulated amortization of $24,946 and $23,545			30,728						33,580
Other noncurrent assets, net			12,892						12,424
Total assets			$	267,032					$	275,905
Liabilities and Equity
Current Liabilities:
Accounts payable and accrued expenses related to trade creditors			$	12,304					$	12,455
Accrued participations and residuals			1,749						1,822
Deferred revenue			2,787						3,040
Accrued expenses and other current liabilities			8,663						9,899
Current portion of long-term debt			2,083						2,132
Total current liabilities			27,585						29,348
Long-term debt, less current portion			91,459						92,718
Collateralized obligation			5,171						5,170
Deferred income taxes			29,491						30,041
Other noncurrent liabilities			20,254						20,620
Commitments and contingencies
Redeemable noncontrolling interests			513						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, 5,276,585,008 and 5,396,576,978; outstanding, 4,403,793,980 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 capital			39,852						40,173
Retained earnings			61,209						61,902
Treasury stock, 872,791,028 Class A common shares			(7,517)						(7,517)
Accumulated other comprehensive income (loss)			(2,170)						1,480
Total Comcast Corporation shareholders’ equity			91,426						96,092
Noncontrolling interests			1,132						1,398
Total equity			92,558						97,490
Total liabilities and equity			$	267,032					$	275,905

See accompanying notes to condensed consolidated financial statements.

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Comcast Corporation

Condensed Consolidated Statement of Changes in Equity

(Unaudited)

			Three Months Ended June 30,									Six Months Ended June 30,
(in millions, except per share data)			2022			2021						2022			2021
Redeemable Noncontrolling Interests
Balance, beginning of period			$	513		$	546					$	519		$	1,280
Redemption of subsidiary preferred stock			—			—						—			(725)
Contributions from (distributions to) noncontrolling interests, net			(8)			(13)						(33)			(40)
Other			—			—						—			(10)
Net income (loss)			8			(3)						27			24
Balance, end of period			$	513		$	530					$	513		$	530
Class A Common Stock
Balance, beginning of period			$	53		$	55					$	54		$	54
Issuances (repurchases) of common stock under repurchase program and employee plans			(1)			—						(1)			1
Balance, end of period			$	53		$	55					$	53		$	55
Additional Paid-In Capital
Balance, beginning of period			$	39,926		$	39,744					$	40,173		$	39,464
Stock compensation plans			235			274						521			570
Repurchases of common stock under repurchase program and employee plans			(481)			(43)						(1,076)			(131)
Employee stock purchase plans			83			76						150			139
Other			88			(5)						83			5
Balance, end of period			$	39,852		$	40,046					$	39,852		$	40,046
Retained Earnings
Balance, beginning of period			$	61,555		$	58,321					$	61,902		$	56,438
Repurchases of common stock under repurchase program and employee plans			(2,540)			(543)						(5,210)			(832)
Dividends declared			(1,203)			(1,156)						(2,428)			(2,317)
Other			—			—						—			4
Net income (loss)			3,396			3,738						6,945			7,067
Balance, end of period			$	61,209		$	60,359					$	61,209		$	60,359
Treasury Stock at Cost
Balance, beginning of period			$	(7,517)		$	(7,517)					$	(7,517)		$	(7,517)
Balance, end of period			$	(7,517)		$	(7,517)					$	(7,517)		$	(7,517)
Accumulated Other Comprehensive Income (Loss)
Balance, beginning of period			$	674		$	1,972					$	1,480		$	1,884
Other comprehensive income (loss)			(2,844)			20						(3,650)			108
Balance, end of period			$	(2,170)		$	1,992					$	(2,170)		$	1,992
Noncontrolling Interests
Balance, beginning of period			$	1,300		$	1,525					$	1,398		$	1,415
Other comprehensive income (loss)			(41)			24						(13)			10
Contributions from (distributions to) noncontrolling interests, net			35			135						—			324
Other			1			2						1			1
Net income (loss)			(163)			(105)						(254)			(169)
Balance, end of period			$	1,132		$	1,581					$	1,132		$	1,581
Total equity			$	92,558		$	96,516					$	92,558		$	96,516
Cash dividends declared per common share			$	0.27		$	0.25					$	0.54		$	0.50

See accompanying notes to condensed consolidated financial statements.

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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 Europe’s 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.

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.

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Comcast Corporation

			Three Months Ended June 30, 2022
(in millions)			Revenue(a)			Adjusted EBITDA(b)			Depreciation and Amortization			Capital Expenditures			Cash Paid for Intangible Assets
Cable Communications			$	16,601		$	7,448		$	1,945		$	1,776		$	409
NBCUniversal
Media			5,332			1,337			251			22			43
Studios			2,966			1			11			1			4
Theme Parks			1,804			632			266			319			9
Headquarters and Other			8			(137)			123			121			45
Eliminations(a)			(664)			23			—			—			—
NBCUniversal			9,445			1,856			651			463			100
Sky			4,501			863			809			130			169
Corporate and Other			164			(304)			62			45			64
Eliminations(a)			(696)			(36)			—			—			—
Comcast Consolidated			$	30,016		$	9,827		$	3,469		$	2,414		$	743

			Three Months Ended June 30, 2021
(in millions)			Revenue(a)			Adjusted EBITDA(b)			Depreciation and Amortization			Capital Expenditures			Cash Paid for Intangible Assets
Cable Communications			$	16,002		$	7,073		$	1,950		$	1,695		$	337
NBCUniversal
Media			5,148			1,378			254			19			42
Studios			2,224			156			12			1			5
Theme Parks			1,095			221			195			100			8
Headquarters and Other			22			(186)			125			62			30
Eliminations(a)			(534)			(15)			—			—			—
NBCUniversal			7,955			1,553			586			182			86
Sky			5,220			560			826			184			211
Corporate and Other			92			(261)			21			83			37
Eliminations(a)			(723)			2			—			—			—
Comcast Consolidated			$	28,546		$	8,927		$	3,383		$	2,144		$	671

			Six Months Ended June 30, 2022
(in millions)			Revenue(a)			Adjusted EBITDA(b)			Depreciation and Amortization			Capital Expenditures			Cash Paid for Intangible Assets
Cable Communications			$	33,142		$	14,720		$	3,905		$	3,143		$	744
NBCUniversal
Media			12,196			2,496			500			34			88
Studios			5,722			246			23			2			7
Theme Parks			3,364			1,082			548			540			14
Headquarters and Other			24			(329)			242			194			75
Eliminations(a)			(1,566)			(39)			—			—			—
NBCUniversal			19,741			3,457			1,313			769			185
Sky			9,276			1,485			1,680			277			323
Corporate and Other			402			(566)			118			82			131
Eliminations(a)			(1,535)			(119)			—			—			—
Comcast Consolidated			$	61,026		$	18,977		$	7,016		$	4,270		$	1,383

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Comcast Corporation

			Six Months Ended June 30, 2021
(in millions)			Revenue(a)			Adjusted EBITDA(b)			Depreciation and Amortization			Capital Expenditures			Cash Paid for Intangible Assets
Cable Communications			$	31,807		$	13,903		$	3,880		$	3,065		$	652
NBCUniversal
Media			10,184			2,851			501			29			75
Studios			4,620			653			25			2			7
Theme Parks			1,714			159			402			226			15
Headquarters and Other			38			(395)			241			98			57
Eliminations(a)			(1,576)			(225)			—			—			—
NBCUniversal			14,980			3,043			1,168			354			153
Sky			10,217			924			1,640			455			412
Corporate and Other			181			(541)			57			128			65
Eliminations(a)			(1,434)			11			—			—			—
Comcast Consolidated			$	55,751		$	17,339		$	6,745		$	4,003		$	1,283

(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 June 30,												Six Months Ended June 30,
(in millions)			2022						2021						2022						2021
Cable Communications			$	61					$	47					$	117					$	93
NBCUniversal
Media			522						543						1,192						1,082
Studios			731						589						1,670						1,678
Theme Parks			—						—						—						1
Headquarters and Other			6						17						19						29
Sky			3						15						9						23
Corporate and Other			36						47						93						105
Total intersegment revenue			$	1,360					$	1,257					$	3,101					$	3,010

(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 June 30,												Six Months Ended June 30,
(in millions)			2022						2021						2022						2021
Adjusted EBITDA			$	9,827					$	8,927					$	18,977					$	17,339
Adjustments			9						(36)						(24)						(48)
Depreciation			(2,162)						(2,113)						(4,375)						(4,231)
Amortization			(1,306)						(1,270)						(2,641)						(2,514)
Interest expense			(968)						(1,093)						(1,962)						(2,112)
Investment and other income (loss), net			(897)						1,216						(709)						1,607
Income before income taxes			$	4,502					$	5,630					$	9,266					$	10,042

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.

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Note 3: Revenue

			Three Months Ended June 30,												Six Months Ended June 30,
(in millions)			2022						2021						2022						2021
Residential:
Broadband			$	6,107					$	5,717					$	12,158					$	11,317
Video			5,423						5,554						10,959						11,177
Voice			763						870						1,549						1,741
Wireless			722						556						1,399						1,069
Business services			2,424						2,202						4,820						4,369
Advertising			748						679						1,419						1,296
Other			415						425						839						838
Total Cable Communications			16,601						16,002						33,142						31,807
Advertising			2,159						2,189						5,492						4,282
Distribution			2,659						2,452						5,692						4,947
Other			514						507						1,013						955
Total Media			5,332						5,148						12,196						10,184
Content licensing			2,118						1,781						4,397						3,855
Theatrical			550						198						718						237
Home entertainment and other			298						245						607						527
Total Studios			2,966						2,224						5,722						4,620
Total Theme Parks			1,804						1,095						3,364						1,714
Headquarters and Other			8						22						24						38
Eliminations(a)			(664)						(534)						(1,566)						(1,576)
Total NBCUniversal			9,445						7,955						19,741						14,980
Direct-to-consumer			3,680						4,222						7,564						8,288
Content			265						355						561						713
Advertising			556						643						1,152						1,216
Total Sky			4,501						5,220						9,276						10,217
Corporate and Other			164						92						402						181
Eliminations(a)			(696)						(723)						(1,535)						(1,434)
Total revenue			$	30,016					$	28,546					$	61,026					$	55,751

(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)			June 30, 2022						December 31, 2021
Receivables, gross			$	12,678					$	12,666
Less: Allowance for doubtful accounts			723						658
Receivables, net			$	11,956					$	12,008

(in millions)			June 30, 2022						December 31, 2021
Noncurrent receivables, net (included in other noncurrent assets, net)			$	1,735					$	1,632
Contract acquisition and fulfillment costs (included in other noncurrent assets, net)			$	1,066					$	1,094
Noncurrent deferred revenue (included in other noncurrent liabilities)			$	665					$	695

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Note 4: Programming and Production Costs

			Three Months Ended June 30,												Six Months Ended June 30,
(in millions)			2022						2021						2022						2021
Video distribution programming			$	3,288					$	3,414					$	6,713					$	6,930
Film and television content:
Owned(a)			2,919						2,227						5,426						4,191
Licensed, including sports rights			2,377						3,318						6,702						6,492
Other			304						297						616						562
Total programming and production costs			$	8,887					$	9,256					$	19,457					$	18,175

(a) Amount includes amortization of owned content of $2.4 billion and $4.4 billion for the three and six months ended June 30, 2022, respectively, and $1.8 billion and $3.5 billion for the three and six months ended June 30, 2021, respectively, as well as participations and residuals expenses.

Capitalized Film and Television Costs

(in millions)			June 30, 2022						December 31, 2021
Owned:
Released, less amortization			$	3,837					$	3,726
Completed, not released			88						536
In production and in development			3,284						2,732
			7,209						6,994
Licensed, including sports advances			4,413						5,811
Film and television costs			$	11,622					$	12,806

Note 5: Long-Term Debt

As of June 30, 2022, our debt had a carrying value of $93.5 billion and an estimated fair value of $90.4 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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Note 7: Investments and Variable Interest Entities

Investment and Other Income (Loss), Net

			Three Months Ended June 30,												Six Months Ended June 30,
(in millions)			2022						2021						2022						2021
Equity in net income (losses) of investees, net			$	(413)					$	959					$	(280)					$	1,095
Realized and unrealized gains (losses) on equity securities, net			(321)						189						(205)						426
Other income (loss), net			(162)						69						(224)						87
Investment and other income (loss), net			$	(897)					$	1,216					$	(709)					$	1,607

The amount of unrealized gains (losses), net recognized in the three months ended June 30, 2022 and 2021 that related to marketable and nonmarketable equity securities still held as of the end of each reporting period was $(333) million and $153 million, respectively. The amount of unrealized gains (losses), net recognized in the six months ended June 30, 2022 and 2021 that related to marketable and nonmarketable equity securities still held as of the end of each reporting period was $(251) million and $264 million, respectively.

Investments

(in millions)			June 30, 2022						December 31, 2021
Equity method			$	5,824					$	6,111
Marketable equity securities			130						406
Nonmarketable equity securities			1,753						1,735
Other investments			1,658						803
Total investments			9,364						9,055
Less: Current investments			1,124						368
Less: Investment securing collateralized obligation			642						605
Noncurrent investments			$	7,598					$	8,082

Equity Me****thod 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 six months ended June 30, 2022 and 2021 was $67 million and $130 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 six months ended June 30, 2022 and 2021, we made cash capital contributions to Atairos totaling $26 million and $24 million, respectively. As of June 30, 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 $4.4 billion and $4.7 billion, respectively. As of June 30, 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 June 30, 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.

Other Investments

Other investments also includes investments in certain short-term instruments with maturities over three months when purchased, such as commercial paper, certificates of deposit and U.S. government obligations, which are generally accounted for at amortized cost. These short-term instruments totaled $1.0 billion as of June 30, 2022 and there were no such investments

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as of December 31, 2021. The carrying amounts of these investments approximate their fair values, which are primarily based on Level 2 inputs that use interest rates for instruments with similar terms and remaining maturities.

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 the partners in accordance with their equity interests. As of June 30, 2022, Universal Beijing Resort had $3.5 billion of debt outstanding, including $3.1 billion principal amount of a term loan outstanding under the debt financing agreement.

As of June 30, 2022, our condensed consolidated balance sheet included assets and liabilities of Universal Beijing Resort totaling $8.8 billion and $7.7 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 June 30,									Six Months Ended June 30,
(in millions)			2022						2021			2022						2021
Weighted-average number of common shares outstanding – basic			4,457						4,601			4,485						4,596
Effect of dilutive securities			25						72			35						73
Weighted-average number of common shares outstanding – diluted			4,482						4,673			4,520						4,669

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)			June 30, 2022						December 31, 2021
Cumulative translation adjustments			$	(2,741)					$	1,119
Deferred gains (losses) on cash flow hedges			335						104
Unrecognized gains (losses) on employee benefit obligations and other			236						257
Accumulated other comprehensive income (loss), net of deferred taxes			$	(2,170)					$	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 June 30,												Six Months Ended June 30,
(in millions)			2022						2021						2022						2021
Restricted share units			$	162					$	185					$	359					$	391
Stock options			75						89						166						178
Employee stock purchase plans			9						9						21						20
Total			$	246					$	282					$	546					$	589

As of June 30, 2022, we had unrecognized pretax compensation expense of $1.6 billion and $771 million related to nonvested RSUs and nonvested stock options, respectively.

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Note 9: Supplemental Financial Information

Cash Payments for Interest and Income Taxes

			Six Months Ended June 30,
(in millions)			2022						2021
Interest			$	1,644					$	1,909
Income taxes			$	2,841					$	1,832

Noncash Activities

During the six months ended June 30, 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 July 2022

During the six months ended June 30, 2021:

• we recognized operating lease assets and liabilities of $2.8 billion related to Universal Beijing Resort

• we acquired $1.5 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 July 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)			June 30, 2022						December 31, 2021
Cash and cash equivalents			$	6,822					$	8,711
Restricted cash included in other current assets			25						56
Restricted cash included in other noncurrent assets, net			12						12
Cash, cash equivalents and restricted cash, end of period			$	6,859					$	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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