Company's profit came in at $460 million
Country’s largest cable operator had a sparkling three months — and Wall Street couldn’t get enough.
Comcast announced on Thursday that it had jumped profit in the second quarter by 7%, largely on increased consumer adoption of its triple play, or bundled phone, mobile and cable services.
Stock spiked by 5% on the news.
Company’s profit came in at $460 million, about where analysts expected, while revenue, which climbed 11% to $6.23 billion, came in above expecta-tions.
Earlier this year the company had been criticized by analysts who said that growth of the bundled services wasn’t happening quickly enough, particularly on the phone side, after Comcast disclosed a first-quarter profit slide.
Triple play generally runs on nar-row margins, but it’s seen as essential by many observers if cable is to hold off encroachments by telcos into the television biz.
Comcast topper Brian Roberts em-phasized the growth of the phone biz in a call with analysts, noting the 306,000 subs who had come aboard during the quarter, pushing phone revenue to $214 million.
The broadband part of the package, meanwhile, drew revs of $1.21 billion.
Both phone and video saw signifi-cant double-digit gains on a year earlier.
Still, phone revenue is a small part of most cable operators’ business, though it comprises a much larger portion of their revenue pie than video does for telcos.
Investors also continue to be buoyed by the imminent closure of the cabler’s deal to take over portions of Adelphia’s footprint.