Comcast Reports 2006 Results and Outlook for 2007

Thursday, February 1st, 2007
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  • Announces 3-for-2 Stock Split
  • Triple Play and superior products power record-setting results
  • 4th Quarter Cable Revenue increased 14%
  • Cable Operating Cash Flow increased 17%
  • Added 5 Million RGUs in 2006 – up 69%
  • Cable Revenue up 12%
  • Cable Operating Cash Flow up 15%
  • Expects Another Record-Setting Year in 2007 – 6.5 Million New RGUs
  • Minimum 14% Cable Operating Cash Flow Growth

PHILADELPHIA — Comcast Corporation (Nasdaq: CMCSA, CMCSK) today reported results for the quarter and the year ended December 31, 2006.

Year ended December 31, 2006

Video revenue increased 8% to $16.6 billion in 2006, reflecting growth in both basic and digital cable customers and increased demand for advanced digital features including ON DEMAND, digital video recorders (DVRs) and HDTV programming, as well as higher basic cable pricing.

Basic cable subscribers increased by 80,000 to 24.2 million during 2006 with 12.7 million or 52% of video customers taking digital cable services. Comcast added 1.9 million digital cable customers in 2006, an increase of 59% from the 1.2 million digital cable customers added in 2005. The digital cable customer additions in 2006 include 900,000 digital cable and 1.0 million Digital Starter subscribers. During the year, 1.5 million digital cable customers subscribed to advanced services, like DVR and HDTV, either by upgrading their digital cable service or as new customers. Customers subscribing to digital cable with advanced services pay $75 or more per month, 15% more than the average Comcast Digital Cable subscriber. Growth in video revenue also reflects increasing ON DEMAND movie purchases. Pay-per-view revenue increased 27% to $633 million in 2006.

Fourth Quarter 2006

Comcast Cable reported revenue of $6.9 billion in the fourth quarter of 2006, an increase of 14% from the prior year. Video revenue increased 9% reflecting growth in both basic and digital cable customers and increased demand for advanced digital features, such as DVR and HDTV. Comcast Cable added 613,000 digital cable subscribers and 110,000 basic cable subscribers during the fourth quarter of 2006, each representing the highest quarterly additions in more than 10 years. Driven by increasing ON DEMAND movie purchases, pay-per-view revenue increased 24% to $159 million in 2006. Pay- per-view revenue has increased more than 20% on average for the past eight quarters.