What Management Said

Read the full Q4 2025 transcript ↗

From day one running this business, he's challenged long-held assumptions and moved quickly to reset priorities around actions that will drive growth. As we continue to pivot the company towards our six growth drivers, Mike is leading the strategy and execution of that shift. We moved with urgency to make decisive management, operational, and structural changes, resetting how we run our businesses and how we compete, all with a clear focus on positioning the company for sustained growth. We also strengthened our wireless approach with new offers tailored to different customer segments, from Premium Unlimited plans for higher-value households to a 12-month free line promotion designed to increase mobile awareness and attachment.

Turning to wireless, I'm pleased to share that we've modernized our MVNO partnership with Verizon, supporting continued profitable growth for Comcast, Charter, and Verizon. That performance reinforces wireless as a key growth engine for the company while also strengthening customer relationships and lifetime value across our connectivity portfolio. Our investments are delivering tangible operating benefits, including a 20% reduction in trouble calls and a 35% reduction in repair minutes where we've deployed FDX technology. We strengthened our content pipeline with a long-term creative partnership with Taylor Sheridan, adding premium franchise-scale film and television IP.

Our priorities in connectivity and platforms are clear: position the business for a return to growth, deepen convergence through wireless, and fully leverage our network leadership across residential and business services. And in Comcast Business, we'll remain focused on stabilizing small business while accelerating growth in mid-market and enterprise, where demand for advanced, secure, and scalable connectivity continues to increase. And at Peacock, we expect another year of meaningful EBITDA improvement as we continue progressing toward break-even, even as we absorb the NBA rights. We've been consistent in investing behind the six growth engines that define our future while protecting one of the strongest balance sheets in the industry and returning substantial capital to shareholders.

What went well
  • Wireless had its strongest year yet, adding approximately 1.5 million net lines in 2025 and ending the year with over 9 million total lines at roughly 15% penetration of the residential broadband base; Q4 added 364,000 lines.
  • Theme parks delivered another strong quarter with revenue up 22% and EBITDA up 24%, with EBITDA crossing the $1 billion level in a quarter for the first time, driven by strong results at Universal Orlando and Epic.
  • Peacock revenue grew more than 20% to a record $1.6 billion with paid subscribers up 8 million year-over-year to 44 million, and full-year Peacock losses improved over $700 million year-over-year.
  • The company generated $19.2 billion of free cash flow for the full year, the highest on record, including about $2 billion of a cash tax benefit related to an internal corporate reorganization.
  • Comcast completed the spin-off of Versant Media on January 2nd, creating a focused, well-capitalized public company and enabling NBCUniversal to concentrate on media profitability.
  • Total advertising increased 1.5% with strong underlying demand from a record upfront, the most-watched Sunday Night Football season in its history, and the launch of the NBA.
What went wrong
  • Broadband subscriber losses were 181,000 as early traction from new initiatives was more than offset by continued competitive intensity.
  • Adjusted EBITDA declined 10% and adjusted EPS declined 12% in the quarter, reflecting the investment period in broadband and the full first-year cost of the new NBA contract.
  • Connectivity and platforms EBITDA declined 4.5%, reflecting broadband ARPU dilution and elevated marketing, product, and customer service expenses.
  • Media EBITDA declined in the quarter, primarily reflecting the addition of NBA rights, with Peacock losses of $552 million for the quarter due to NBA rights and the exclusive NFL game.
  • Studios results reflected tough comparisons to last year's film slate, the timing of content licensing deals, and higher marketing spend tied to a higher volume of films.

Guidance Changes

MetricPeriodCurrent guidance
Broadband ARPU growthNext couple of quartersFurther pressure from absence of rate increase, free wireless lines, and base migration to simplified pricing (Pressured)
Connectivity & Platforms EBITDAUntil 2H 2026Incremental EBITDA pressure over the next couple of quarters until lapping initial investments (Pressured then improving)
Free wireless line conversionSecond half of 2026Expect to convert the vast majority of free lines into paying relationships, a meaningful tailwind to convergence revenue (Upcoming tailwind)
Peacock lossesFull-year 2026Expect to meaningfully improve again while progressing toward break-even (Improving)
NBA EBITDA dilutionQ1 2026Q1 to be peak volume (~50% of games) and peak EBITDA dilution (Peaking in Q1)
Cash tax benefit (one-time 2025 items)2026One-time 2025 cash tax benefits will not recur; new tax legislation averages ~$1B/year for five years (Non-recurring)

Performance Breakdown

MetricYoYNote
Total company revenue +1% Strength across six growth businesses (≈60% of revenue, mid-single-digit growth)
Adjusted EBITDA -10% Broadband investment period and full first-year NBA contract cost
Adjusted EPS -12% EBITDA decline from investment period and NBA cost
Connectivity & Platforms EBITDA -4.5% Broadband ARPU dilution and elevated marketing, product, and customer service expenses
Theme Parks revenue +22% Strong results at Universal Orlando driven by Epic
Theme Parks EBITDA +24% Epic driving higher per-cap spending and attendance; EBITDA crossed $1B for the first time
Media revenue +6% Primarily driven by Peacock
Peacock revenue +20%+ to $1.6B Distribution growth of 30%+ on 8M YoY subscriber gain plus ~20% advertising growth
Broadband ARPU +1.1% New go-to-market pricing including lower everyday pricing and free wireless line adoption
Convergence revenue +2% Driven by 18% growth in wireless
Business services revenue +6% Modest SMB growth and strong enterprise solutions momentum

Earnings Call Themes & Trends

TopicPrevious mentionCurrent periodTrend
Broadband competitionIntenseRemains intense; wireless competition stepped up toward end of Q4Stable to intensifying
Wireless net addsRecord 414,000 in Q3364,000 in Q4; ~1.5M for full-year 2025 (strongest year yet)Strong
Broadband ARPU growth2.6% in Q3+1.1%, slight growthDecelerating
Peacock lossesJust over $200M in Q3$552M in Q4 (NBA + NFL game); full-year improved $700M+Full-year improving, q4 elevated by nba
Network upgrade~60% transitioned (prior context)~60% of footprint on mid-split and virtualized architectureProgressing

Q&A Summary

Can you update us on broadband intake and retention as you move from localized to national rate plan management, and is there an opportunity to further accelerate quarterly wireless net adds with the converged free-line bundle?
Steve Croney called it the largest go-to-market shift in company history, with encouraging early signs: improved voluntary churn, active migration to simplified transparent pricing, strong five-year price guarantee adoption, and continued gig-plus mix shift, while keeping market-by-market flexibility. On mobile, he cited a $200 billion TAM, 65 million passings, the best wireless net-add year ever in 2025, ~50% of 2H residential postpaid connects being free lines, strong Premium Unlimited results, and 90% Wi-Fi offload at 15% penetration.
How does the Paramount/Netflix/Warner Bros. Discovery process shape your thinking on Peacock scale or partnerships, and what changed in the modernized Verizon MVNO contract?
Brian Roberts said Comcast saw an opportunity in Warner Bros. but was not interested in stretching its balance sheet for an all-cash deal at those values; the process reinforced confidence in its studios, integrated profitable media business, and theme parks, which differentiate it from peers. Mike Cavanagh added the Versant spin left three growth businesses within NBC and said the amended Verizon agreement is modernized and a foundation for mutual profitable growth, with not much more to add.
How are you thinking about the asset portfolio over the next 12-24 months, and what are the levers to narrow Peacock losses toward sustainable profitability?
Mike Cavanagh said there is no strategic advantage to separating NBCUniversal from Comcast; value comes from executing existing plans, leaning into parks and studios, and driving the integrated domestic media strategy. Levers for Peacock include the successful $3 price increase held with full-year subscriber growth, advertising growth (NBA added ~170 advertisers, 20% new, basically sold out), and affiliate deal renewals building revenue through 2028.
On the competitive environment in high-speed data and the biggest investment year in broadband, will C&P EBITDA declines improve in the second half or reach growth, and when?
Steve Croney said fiber competition increased in Q4 and remains, fixed wireless is stable, and mobile got significantly more competitive in the quarter; the plan assumes the environment stays the same. Jason Armstrong said Q4 and the first half of 2026 are an incremental investment period with no early-year rate hike, but in the back half well over 50% of the base will be on new pricing and free-line monetization begins, so he expects improvement in the back half while stopping short of a full EBITDA guide.
Can you expand on the theme park trends and outlook, particularly Epic's second-year operational and financial priorities?
Mike Cavanagh said Epic is delivering on its goal of lifting all of Orlando, with Q4 marking the first time parks EBITDA crossed $1 billion in a quarter; the park will be fully ramped by the end of 2026. Near-term focus is filling hotels (Orlando average daily rate up 20%, occupancy up 3%, 2,000 rooms added), with the U.K. park national approvals secured, the Frisco Kids Park opening later this year, and Japan delivering its second-best EBITDA year ever.
Can you expand on the broadband investments this year (relationships/pricing vs. CapEx) and whether there is a shift in posture toward Premium Unlimited plans given the iPhone cycle?
Steve Croney said the investment leans much more into go-to-market pricing, simplifying to four all-inclusive tiers, migrating the base into new packaging, lowering everyday prices, and leaning into the free wireless line for its CLV and loyalty benefits. Mike Cavanagh added the investment is less capital and more value-to-customer through EBITDA, and that Premium Unlimited is directly targeted at being competitive across all segments, giving the opportunity to lean in further.

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Q4 2025 call
Reported 2026-01-29 · figures from the Comcast Corp Q4 2025 earnings call.

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