filings.toolsItem 1. FINANCIAL STATEMENTS
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Item 1. FINANCIAL STATEMENTS
Comcast Corporation
Condensed Consolidated Statements of Income
(Unaudited)
| Three Months Ended March 31, | ||||||||||||||||||||||||||
| (in millions, except per share data) | 2024 | 2023 | ||||||||||||||||||||||||
| Revenue | $ | 30,058 | $ | 29,691 | ||||||||||||||||||||||
| Costs and Expenses: | ||||||||||||||||||||||||||
| Programming and production | 8,823 | 9,004 | ||||||||||||||||||||||||
| Marketing and promotion | 2,018 | 1,963 | ||||||||||||||||||||||||
| Other operating and administrative | 9,857 | 9,301 | ||||||||||||||||||||||||
| Depreciation | 2,175 | 2,264 | ||||||||||||||||||||||||
| Amortization | 1,376 | 1,513 | ||||||||||||||||||||||||
| Total costs and expenses | 24,248 | 24,045 | ||||||||||||||||||||||||
| Operating income | 5,810 | 5,646 | ||||||||||||||||||||||||
| Interest expense | (1,002) | (1,010) | ||||||||||||||||||||||||
| Investment and other income (loss), net | 298 | 607 | ||||||||||||||||||||||||
| Income before income taxes | 5,105 | 5,243 | ||||||||||||||||||||||||
| Income tax expense | (1,328) | (1,476) | ||||||||||||||||||||||||
| Net income | 3,777 | 3,767 | ||||||||||||||||||||||||
| Less: Net income (loss) attributable to noncontrolling interests | (79) | (67) | ||||||||||||||||||||||||
| Net income attributable to Comcast Corporation | $ | 3,857 | $ | 3,834 | ||||||||||||||||||||||
| Basic earnings per common share attributable to Comcast Corporation shareholders | $ | 0.97 | $ | 0.91 | ||||||||||||||||||||||
| Diluted earnings per common share attributable to Comcast Corporation shareholders | $ | 0.97 | $ | 0.91 |
See accompanying notes to condensed consolidated financial statements.
Comcast Corporation
Condensed Consolidated Statements of Comprehensive Income
(Unaudited)
| Three Months Ended March 31, | |||||||||||||||||||||||
| (in millions) | 2024 | 2023 | |||||||||||||||||||||
| Net income | $ | 3,777 | $ | 3,767 | |||||||||||||||||||
| Other comprehensive income (loss), net of tax (expense) benefit: | |||||||||||||||||||||||
| Currency translation adjustments, net of deferred taxes of $(21) and $(2) | (436) | 778 | |||||||||||||||||||||
| Cash flow hedges: | |||||||||||||||||||||||
| Deferred gains (losses), net of deferred taxes of $(1) and $9 | 19 | (14) | |||||||||||||||||||||
| Realized (gains) losses reclassified to net income, net of deferred taxes of $(1) and $8 | 1 | (47) | |||||||||||||||||||||
| Employee benefit obligations and other, net of deferred taxes of $5 and $1 | (24) | (6) | |||||||||||||||||||||
| Other comprehensive income (loss) | (440) | 711 | |||||||||||||||||||||
| Comprehensive income | 3,337 | 4,478 | |||||||||||||||||||||
| Less: Net income (loss) attributable to noncontrolling interests | (79) | (67) | |||||||||||||||||||||
| Less: Other comprehensive income (loss) attributable to noncontrolling interests | (13) | (3) | |||||||||||||||||||||
| Comprehensive income attributable to Comcast Corporation | $ | 3,429 | $ | 4,547 |
See accompanying notes to condensed consolidated financial statements.
Comcast Corporation
Condensed Consolidated Statements of Cash Flows
(Unaudited)
| Three Months Ended March 31, | |||||||||||||||||||||||
| (in millions) | 2024 | 2023 | |||||||||||||||||||||
| Operating Activities | |||||||||||||||||||||||
| Net income | $ | 3,777 | $ | 3,767 | |||||||||||||||||||
| Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||||||||||||
| Depreciation and amortization | 3,551 | 3,777 | |||||||||||||||||||||
| Share-based compensation | 373 | 359 | |||||||||||||||||||||
| Noncash interest expense (income), net | 103 | 78 | |||||||||||||||||||||
| Net (gain) loss on investment activity and other | (164) | (517) | |||||||||||||||||||||
| Deferred income taxes | (17) | 82 | |||||||||||||||||||||
| Changes in operating assets and liabilities, net of effects of acquisitions and divestitures: | |||||||||||||||||||||||
| Current and noncurrent receivables, net | 643 | 363 | |||||||||||||||||||||
| Film and television costs, net | 124 | 13 | |||||||||||||||||||||
| Accounts payable and accrued expenses related to trade creditors | (446) | (651) | |||||||||||||||||||||
| Other operating assets and liabilities | (97) | (43) | |||||||||||||||||||||
| Net cash provided by operating activities | 7,848 | 7,228 | |||||||||||||||||||||
| Investing Activities | |||||||||||||||||||||||
| Capital expenditures | (2,630) | (2,664) | |||||||||||||||||||||
| Cash paid for intangible assets | (679) | (765) | |||||||||||||||||||||
| Construction of Universal Beijing Resort | (108) | (87) | |||||||||||||||||||||
| Proceeds from sales of businesses and investments | 274 | 343 | |||||||||||||||||||||
| Purchases of investments | (404) | (149) | |||||||||||||||||||||
| Other | 35 | (48) | |||||||||||||||||||||
| Net cash provided by (used in) investing activities | (3,511) | (3,370) | |||||||||||||||||||||
| Financing Activities | |||||||||||||||||||||||
| Proceeds from (repayments of) short-term borrowings, net | — | (660) | |||||||||||||||||||||
| Proceeds from borrowings | 26 | 1,059 | |||||||||||||||||||||
| Repurchases and repayments of debt | (289) | (49) | |||||||||||||||||||||
| Repurchases of common stock under repurchase program and employee plans | (2,664) | (2,176) | |||||||||||||||||||||
| Dividends paid | (1,193) | (1,174) | |||||||||||||||||||||
| Other | 97 | (82) | |||||||||||||||||||||
| Net cash provided by (used in) financing activities | (4,023) | (3,082) | |||||||||||||||||||||
| Impact of foreign currency on cash, cash equivalents and restricted cash | (10) | 20 | |||||||||||||||||||||
| Increase (decrease) in cash, cash equivalents and restricted cash | 304 | 796 | |||||||||||||||||||||
| Cash, cash equivalents and restricted cash, beginning of period | 6,282 | 4,782 | |||||||||||||||||||||
| Cash, cash equivalents and restricted cash, end of period | $ | 6,586 | $ | 5,577 |
See accompanying notes to condensed consolidated financial statements.
Comcast Corporation
Condensed Consolidated Balance Sheets
(Unaudited)
| (in millions, except share data) | March 31, 2024 | December 31, 2023 | |||||||||
| Assets | |||||||||||
| Current Assets: | |||||||||||
| Cash and cash equivalents | $ | 6,515 | $ | 6,215 | |||||||
| Receivables, net | 13,144 | 13,813 | |||||||||
| Other current assets | 4,319 | 3,959 | |||||||||
| Total current assets | 23,978 | 23,987 | |||||||||
| Film and television costs | 12,757 | 12,920 | |||||||||
| Investments | 9,548 | 9,385 | |||||||||
| Property and equipment, net of accumulated depreciation of $59,163 and $58,701 | 59,918 | 59,686 | |||||||||
| Goodwill | 58,668 | 59,268 | |||||||||
| Franchise rights | 59,365 | 59,365 | |||||||||
| Other intangible assets, net of accumulated amortization of $31,023 and $30,290 | 27,063 | 27,867 | |||||||||
| Other noncurrent assets, net | 12,304 | 12,333 | |||||||||
| Total assets | $ | 263,601 | $ | 264,811 | |||||||
| Liabilities and Equity | |||||||||||
| Current Liabilities: | |||||||||||
| Accounts payable and accrued expenses related to trade creditors | $ | 11,792 | $ | 12,437 | |||||||
| Accrued participations and residuals | 1,583 | 1,671 | |||||||||
| Deferred revenue | 3,446 | 3,242 | |||||||||
| Accrued expenses and other current liabilities | 11,834 | 11,613 | |||||||||
| Current portion of debt | 2,502 | 2,069 | |||||||||
| Advance on sale of investment | 9,167 | 9,167 | |||||||||
| Total current liabilities | 40,324 | 40,198 | |||||||||
| Noncurrent portion of debt | 94,071 | 95,021 | |||||||||
| Deferred income taxes | 25,978 | 26,003 | |||||||||
| Other noncurrent liabilities | 19,935 | 20,122 | |||||||||
| Commitments and contingencies | |||||||||||
| Redeemable noncontrolling interests | 243 | 241 | |||||||||
| 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, 4,798,654,750 and 4,842,108,959; outstanding, 3,925,863,722 and 3,969,317,931 | 48 | 48 | |||||||||
| Class B common stock, $0.01 par value—authorized, 75,000,000 shares; issued and outstanding, 9,444,375 | — | — | |||||||||
| Additional paid-in capital | 38,274 | 38,533 | |||||||||
| Retained earnings | 53,425 | 52,892 | |||||||||
| Treasury stock, 872,791,028 Class A common shares | (7,517) | (7,517) | |||||||||
| Accumulated other comprehensive income (loss) | (1,680) | (1,253) | |||||||||
| Total Comcast Corporation shareholders’ equity | 82,549 | 82,703 | |||||||||
| Noncontrolling interests | 500 | 523 | |||||||||
| Total equity | 83,049 | 83,226 | |||||||||
| Total liabilities and equity | $ | 263,601 | $ | 264,811 |
See accompanying notes to condensed consolidated financial statements.
Comcast Corporation
Condensed Consolidated Statements of Changes in Equity
(Unaudited)
| Three Months Ended March 31, | ||||||||||||||||||||
| (in millions, except per share data) | 2024 | 2023 | ||||||||||||||||||
| Redeemable Noncontrolling Interests | ||||||||||||||||||||
| Balance, beginning of period | $ | 241 | $ | 411 | ||||||||||||||||
| Contributions from (distributions to) noncontrolling interests, net | (10) | (7) | ||||||||||||||||||
| Net income | 12 | 17 | ||||||||||||||||||
| Balance, end of period | $ | 243 | $ | 422 | ||||||||||||||||
| Class A Common Stock | ||||||||||||||||||||
| Balance, beginning of period | $ | 48 | $ | 51 | ||||||||||||||||
| Repurchases of common stock under repurchase program and employee plans | — | — | ||||||||||||||||||
| Balance, end of period | $ | 48 | $ | 50 | ||||||||||||||||
| Additional Paid-In Capital | ||||||||||||||||||||
| Balance, beginning of period | $ | 38,533 | $ | 39,412 | ||||||||||||||||
| Share-based compensation | 323 | 293 | ||||||||||||||||||
| Repurchases of common stock under repurchase program and employee plans | (645) | (521) | ||||||||||||||||||
| Issuances of common stock under employee plans | 62 | 76 | ||||||||||||||||||
| Other | 1 | 2 | ||||||||||||||||||
| Balance, end of period | $ | 38,274 | $ | 39,262 | ||||||||||||||||
| Retained Earnings | ||||||||||||||||||||
| Balance, beginning of period | $ | 52,892 | $ | 51,609 | ||||||||||||||||
| Repurchases of common stock under repurchase program and employee plans | (2,082) | (1,688) | ||||||||||||||||||
| Dividends declared | (1,243) | (1,231) | ||||||||||||||||||
| Net income | 3,857 | 3,834 | ||||||||||||||||||
| Balance, end of period | $ | 53,425 | $ | 52,524 | ||||||||||||||||
| Treasury Stock at Cost | ||||||||||||||||||||
| Balance, beginning and end of period | $ | (7,517) | $ | (7,517) | ||||||||||||||||
| Accumulated Other Comprehensive Income (Loss) | ||||||||||||||||||||
| Balance, beginning of period | $ | (1,253) | $ | (2,611) | ||||||||||||||||
| Other comprehensive income (loss) | (427) | 713 | ||||||||||||||||||
| Balance, end of period | $ | (1,680) | $ | (1,898) | ||||||||||||||||
| Noncontrolling Interests | ||||||||||||||||||||
| Balance, beginning of period | $ | 523 | $ | 684 | ||||||||||||||||
| Other comprehensive income (loss) | (13) | (3) | ||||||||||||||||||
| Contributions from (distributions to) noncontrolling interests, net | 81 | 15 | ||||||||||||||||||
| Net income (loss) | (91) | (84) | ||||||||||||||||||
| Balance, end of period | $ | 500 | $ | 612 | ||||||||||||||||
| Total equity | $ | 83,049 | $ | 83,033 | ||||||||||||||||
| Cash dividends declared per common share | $ | 0.31 | $ | 0.29 |
See accompanying notes to condensed consolidated financial statements.
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 2023 Annual Report on Form 10-K.
Recent Accounting Pronouncements
Segment Disclosures
In November 2023, the Financial Accounting Standards Board (“FASB”) issued updated accounting guidance related to annual and interim segment disclosures. The updated accounting guidance, among other things, requires disclosure of certain significant segment expenses. We will adopt the updated accounting guidance in our Annual Report on Form 10-K for the year ended December 31, 2024.
Income Tax Disclosures
In December 2023, the FASB issued updated accounting guidance related to income tax disclosures. The updated accounting guidance, among other things, requires additional disclosure primarily related to the income tax rate reconciliation and income taxes paid. We will adopt the updated accounting guidance in our Annual Report on Form 10-K for the year ended December 31, 2025.
Note 2: Segment Information
We are a global media and technology company with two primary businesses: Connectivity & Platforms and Content & Experiences. We present the operations of (1) our Connectivity & Platforms business in two segments: Residential Connectivity & Platforms and Business Services Connectivity; and (2) our Content & Experiences business in three segments: Media, Studios and Theme Parks.
Our financial data by segment is presented in the tables below. We do not present asset information for our segments as this information is not used to allocate resources and capital.
| Three Months Ended March 31, | ||||||||||||||||||||||||||||||||
| 2024 | 2023 | |||||||||||||||||||||||||||||||
| (in millions) | Revenue(a) | Adjusted EBITDA(b) | Revenue(a) | Adjusted EBITDA(b) | ||||||||||||||||||||||||||||
| Connectivity & Platforms | ||||||||||||||||||||||||||||||||
| Residential Connectivity & Platforms | $ | 17,868 | $ | 6,852 | $ | 17,869 | $ | 6,762 | ||||||||||||||||||||||||
| Business Services Connectivity | 2,407 | 1,366 | 2,283 | 1,332 | ||||||||||||||||||||||||||||
| Connectivity & Platforms | 20,275 | 8,218 | 20,153 | 8,093 | ||||||||||||||||||||||||||||
| Content & Experiences | ||||||||||||||||||||||||||||||||
| Media | 6,371 | 827 | 6,152 | 880 | ||||||||||||||||||||||||||||
| Studios | 2,743 | 244 | 2,956 | 277 | ||||||||||||||||||||||||||||
| Theme Parks | 1,979 | 632 | 1,949 | 658 | ||||||||||||||||||||||||||||
| Headquarters and Other | 12 | (243) | 19 | (232) | ||||||||||||||||||||||||||||
| Eliminations(a) | (731) | 33 | (817) | 24 | ||||||||||||||||||||||||||||
| Content & Experiences | 10,374 | 1,493 | 10,259 | 1,607 | ||||||||||||||||||||||||||||
| Corporate and Other | 767 | (329) | 707 | (288) | ||||||||||||||||||||||||||||
| Eliminations(a) | (1,358) | (26) | (1,427) | 3 | ||||||||||||||||||||||||||||
| Comcast Consolidated | $ | 30,058 | $ | 9,355 | $ | 29,691 | $ | 9,415 |
Comcast Corporation
(a)Included in Eliminations are transactions that our segments enter into with one another. The most significant of these transactions include distribution revenue in Media related to fees from Residential Connectivity & Platforms for the rights to distribute television programming and content licensing revenue in Studios for licenses of owned content to Media.
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) | 2024 | 2023 | |||||||||||||||||||||
| Connectivity & Platforms | |||||||||||||||||||||||
| Residential Connectivity & Platforms | $ | 38 | $ | 53 | |||||||||||||||||||
| Business Services Connectivity | 6 | — | |||||||||||||||||||||
| Content & Experiences | |||||||||||||||||||||||
| Media | 1,149 | 1,167 | |||||||||||||||||||||
| Studios | 838 | 962 | |||||||||||||||||||||
| Theme Parks | — | — | |||||||||||||||||||||
| Headquarters and Other | 8 | 8 | |||||||||||||||||||||
| Corporate and Other | 51 | 54 | |||||||||||||||||||||
| Total intersegment revenue | $ | 2,089 | $ | 2,244 |
(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 segments to consolidated income before income taxes is presented in the table below.
| Three Months Ended March 31, | |||||||||||||||||||||||
| (in millions) | 2024 | 2023 | |||||||||||||||||||||
| Adjusted EBITDA | $ | 9,355 | $ | 9,415 | |||||||||||||||||||
| Adjustments | 6 | 8 | |||||||||||||||||||||
| Depreciation | (2,175) | (2,264) | |||||||||||||||||||||
| Amortization | (1,376) | (1,513) | |||||||||||||||||||||
| Interest expense | (1,002) | (1,010) | |||||||||||||||||||||
| Investment and other income (loss), net | 298 | 607 | |||||||||||||||||||||
| Income (loss) before income taxes | $ | 5,105 | $ | 5,243 | |||||||||||||||||||
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.
Comcast Corporation
Note 3: Revenue
| Three Months Ended March 31, | |||||||||||||||||||||||
| (in millions) | 2024 | 2023 | |||||||||||||||||||||
| Domestic broadband | $ | 6,591 | $ | 6,343 | |||||||||||||||||||
| Domestic wireless | 972 | 858 | |||||||||||||||||||||
| International connectivity | 1,116 | 897 | |||||||||||||||||||||
| Total residential connectivity | 8,679 | 8,099 | |||||||||||||||||||||
| Video | 6,876 | 7,382 | |||||||||||||||||||||
| Advertising | 951 | 907 | |||||||||||||||||||||
| Other | 1,362 | 1,482 | |||||||||||||||||||||
| Total Residential Connectivity & Platforms | 17,868 | 17,869 | |||||||||||||||||||||
| Total Business Services Connectivity | 2,407 | 2,283 | |||||||||||||||||||||
| Total Connectivity & Platforms | 20,275 | 20,153 | |||||||||||||||||||||
| Domestic advertising | 2,025 | 2,025 | |||||||||||||||||||||
| Domestic distribution | 2,906 | 2,709 | |||||||||||||||||||||
| International networks | 1,021 | 1,008 | |||||||||||||||||||||
| Other | 420 | 410 | |||||||||||||||||||||
| Total Media | 6,371 | 6,152 | |||||||||||||||||||||
| Content licensing | 2,101 | 2,344 | |||||||||||||||||||||
| Theatrical | 330 | 319 | |||||||||||||||||||||
| Other | 312 | 292 | |||||||||||||||||||||
| Total Studios | 2,743 | 2,956 | |||||||||||||||||||||
| Total Theme Parks | 1,979 | 1,949 | |||||||||||||||||||||
| Headquarters and Other | 12 | 19 | |||||||||||||||||||||
| Eliminations(a) | (731) | (817) | |||||||||||||||||||||
| Total Content & Experiences | 10,374 | 10,259 | |||||||||||||||||||||
| Corporate and Other | 767 | 707 | |||||||||||||||||||||
| Eliminations(a) | (1,358) | (1,427) | |||||||||||||||||||||
| Total revenue | $ | 30,058 | $ | 29,691 |
(a)Included in Eliminations are transactions that our segments enter into with one another. See Note 2 for additional information on these transactions.
Condensed Consolidated Balance Sheets
| (in millions) | March 31, 2024 | December 31, 2023 | |||||||||
| Receivables, gross | $ | 13,860 | $ | 14,511 | |||||||
| Less: Allowance for credit losses | 716 | 698 | |||||||||
| Receivables, net | $ | 13,144 | $ | 13,813 | |||||||
The following table summarizes our other balances that are not separately presented in our condensed consolidated balance sheets that relate to the recognition of revenue and collection of the related cash.
| (in millions) | March 31, 2024 | December 31, 2023 | |||||||||
| Noncurrent receivables, net (included in other noncurrent assets, net) | $ | 1,899 | $ | 1,914 | |||||||
| Noncurrent deferred revenue (included in other noncurrent liabilities) | $ | 622 | $ | 618 |
Comcast Corporation
Our accounts receivables include amounts not yet billed related to equipment installment plans, as summarized in the table below.
| (in millions) | March 31, 2024 | December 31, 2023 | |||||||||
| Receivables, net | $ | 1,708 | $ | 1,695 | |||||||
| Noncurrent receivables, net (included in other noncurrent assets, net) | 1,201 | 1,223 | |||||||||
| Total | $ | 2,909 | $ | 2,918 |
Note 4: Programming and Production Costs
| Three Months Ended March 31, | |||||||||||||||||||||||
| (in millions) | 2024 | 2023 | |||||||||||||||||||||
| Video distribution programming | $ | 3,020 | $ | 3,191 | |||||||||||||||||||
| Film and television content: | |||||||||||||||||||||||
| Owned(a) | 2,562 | 2,734 | |||||||||||||||||||||
| Licensed, including sports rights | 2,924 | 2,732 | |||||||||||||||||||||
| Other | 317 | 347 | |||||||||||||||||||||
| Total programming and production costs | $ | 8,823 | $ | 9,004 |
(a) Amount includes amortization of owned content of $2.1 billion and $2.2 billion for the three months ended March 31, 2024 and 2023, respectively, as well as participations and residuals expenses.
Capitalized Film and Television Costs
| (in millions) | March 31, 2024 | December 31, 2023 | |||||||||||||||||||||
| Owned: | |||||||||||||||||||||||
| In production and in development | $ | 2,821 | $ | 2,893 | |||||||||||||||||||
| Completed, not released | 383 | 317 | |||||||||||||||||||||
| Released, less amortization | 4,188 | 4,340 | |||||||||||||||||||||
| 7,392 | 7,551 | ||||||||||||||||||||||
| Licensed, including sports advances | 5,365 | 5,369 | |||||||||||||||||||||
| Film and television costs | $ | 12,757 | $ | 12,920 |
Note 5: Debt
As of March 31, 2024, our debt had a carrying value of $96.6 billion and an estimated fair value of $89.5 billion. As of December 31, 2023, our debt had a carrying value of $97.1 billion and an estimated fair value of $92.2 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: Investments and Variable Interest Entities
Investment and Other Income (Loss), Net
| Three Months Ended March 31, | |||||||||||||||||||||||
| (in millions) | 2024 | 2023 | |||||||||||||||||||||
| Equity in net income (losses) of investees, net | $ | 158 | $ | 485 | |||||||||||||||||||
| Realized and unrealized gains (losses) on equity securities, net | (51) | (6) | |||||||||||||||||||||
| Other income (loss), net | 191 | 128 | |||||||||||||||||||||
| Investment and other income (loss), net | $ | 298 | $ | 607 |
The amount of unrealized gains (losses), net recognized in the three months ended March 31, 2024 and 2023 that related to marketable and nonmarketable equity securities still held as of the end of each reporting period was $(70) million and $(24) million, respectively.
Comcast Corporation
Investments
| (in millions) | March 31, 2024 | December 31, 2023 | |||||||||||||||||||||
| Equity method | $ | 7,850 | $ | 7,615 | |||||||||||||||||||
| Marketable equity securities | 56 | 39 | |||||||||||||||||||||
| Nonmarketable equity securities | 1,410 | 1,482 | |||||||||||||||||||||
| Other investments | 562 | 559 | |||||||||||||||||||||
| Total investments | 9,878 | 9,694 | |||||||||||||||||||||
| Less: Current investments | 330 | 310 | |||||||||||||||||||||
| Noncurrent investments | $ | 9,548 | $ | 9,385 |
Equity Me****thod Investments
The amount of cash distributions received from equity method investments presented within operating activities in the condensed consolidated statements of cash flows in the three months ended March 31, 2024 and 2023 was $32 million and $20 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, 2024 and 2023, we made cash capital contributions to Atairos totaling $13 million and $14 million, respectively. As of March 31, 2024 and December 31, 2023, our investment in Atairos, inclusive of certain distributions retained by Atairos on our behalf and classified as advances within other investments, was $5.7 billion and $5.5 billion, respectively. As of March 31, 2024, our remaining unfunded capital commitment was $1.4 billion.
Other Investments
Other investments also includes investments in certain short-term instruments, which totaled $259 million and $254 million as of March 31, 2024 and December 31, 2023, respectively. 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. Proceeds from short-term instruments for the three months ended March 31, 2024 and 2023 were $255 million and $304 million, respectively. Purchases of short-term instruments for the three months ended March 31, 2024 were $257 million. There were no purchases of short-term instruments for the three months ended March 31, 2023.
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”). 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 March 31, 2024, 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 December 31, 2023, 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 March 31, 2024, our condensed consolidated balance sheets included assets and liabilities of Universal Beijing Resort totaling $7.5 billion and $7.1 billion, respectively. As of December 31, 2023, our condensed consolidated balance sheets included assets and liabilities of Universal Beijing Resort totaling $7.8 billion and $7.2 billion, respectively. The assets and liabilities of Universal Beijing Resort primarily consist of property and equipment, operating lease assets and liabilities, and debt.
Comcast Corporation
Note 7: Equity and Share-Based Compensation
Weighted-Average Common Shares Outstanding
| Three Months Ended March 31, | ||||||||||||||||||||||||||||||||
| (in millions) | 2024 | 2023 | ||||||||||||||||||||||||||||||
| Weighted-average number of common shares outstanding – basic | 3,959 | 4,208 | ||||||||||||||||||||||||||||||
| Effect of dilutive securities | 34 | 19 | ||||||||||||||||||||||||||||||
| Weighted-average number of common shares outstanding – diluted | 3,992 | 4,227 | ||||||||||||||||||||||||||||||
| Antidilutive securities | 162 | 202 |
Weighted-average common shares outstanding used in calculating diluted earnings per common share attributable to Comcast Corporation shareholders (“diluted EPS”) considers the impact of potentially dilutive securities using the treasury stock method. Antidilutive securities represent the number of potential common shares related to share-based compensation awards that were excluded from diluted EPS because their effect would have been antidilutive.
Accumulated Other Comprehensive Income (Loss)
| (in millions) | March 31, 2024 | December 31, 2023 | |||||||||
| Cumulative translation adjustments | $ | (2,019) | $ | (1,596) | |||||||
| Deferred gains (losses) on cash flow hedges | 70 | 49 | |||||||||
| Unrecognized gains (losses) on employee benefit obligations and other | 269 | 293 | |||||||||
| Accumulated other comprehensive income (loss), net of deferred taxes | $ | (1,680) | $ | (1,253) |
Share-Based Compensation
Our share-based compensation plans consist primarily of awards of restricted share units (“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 2024, we granted 31 million RSUs and 3 million stock options related to our annual management awards. The weighted-average fair values associated with these grants were $42.62 per RSU and $9.49 per stock option. During the three months ended March 31, 2024 and 2023, share-based compensation expense recognized in our condensed consolidated statements of income was $303 million and $295 million, respectively. As of March 31, 2024, we had unrecognized pretax compensation expense of $2.8 billion related to nonvested RSUs and nonvested stock options.
Note 8: Supplemental Financial Information
Cash Payments for Interest and Income Taxes
| Three Months Ended March 31, | |||||||||||
| (in millions) | 2024 | 2023 | |||||||||
| Interest | $ | 731 | $ | 766 | |||||||
| Income taxes | $ | 349 | $ | 148 |
Noncash Activities
During the three months ended March 31, 2024:
-
we acquired $2.0 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 $0.31 per common share paid in April 2024
During the three months ended March 31, 2023:
-
we acquired $2.1 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 $0.29 per common share paid in April 2023
Comcast Corporation
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 sheets to the total of the amounts reported in our condensed consolidated statements of cash flows.
| (in millions) | March 31, 2024 | December 31, 2023 | |||||||||
| Cash and cash equivalents | $ | 6,515 | $ | 6,215 | |||||||
| Restricted cash included in other current assets and other noncurrent assets, net | 71 | 67 | |||||||||
| Cash, cash equivalents and restricted cash, end of period | $ | 6,586 | $ | 6,282 |
Note 9: Commitments and Contingencies
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 proceedings and claims is not expected to materially affect our results of operations, cash flows or financial position, any such legal proceedings or claims could be time-consuming and injure our reputation.
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