Comcast doesn’t seem to be barking up the M&A tree, according to comments from the entertainment and cable giant’s CEO Brain Roberts on a Thursday earnings call.
The company, which posted increased profits of nearly 24 percent in the second quarter, is pleased with the way things are going and doesn’t appear to be looking for acquisition opportunities in the near future.
“I think we’ve said in multiple forums that we really feel we’re not missing anything,” Roberts says.
On Wednesday Citigroup analyst Jason Bazinet made the case that Comcast should buy Verizon to give it an avenue to stretch its internet offering outside the home.
But Roberts dampened speculation in response to questions about potential deals.
“I thought we were really clear last quarter,” Roberts comments. “So, I guess, the chance to be even more clear. While, yes, we always look at the world around us and we do our jobs, frankly, and looking at opportunities – we love our business.”
“Look at this quarter, 10 percent cash flow growth, 10 percent revenue growth, every one of the businesses is performing well,” he adds. “So I don’t see anybody quite doing that, frankly, in our space, quarter after quarter, by the way, not just one movie.”
Roberts also notes, that when it comes to wireless Comcast is happy with its strategy of MVNO and stressed that it’s “very, very early with Xfinity Mobile.”
MoffettNathanson analysts agreed that with continued strong results, Comcast doesn’t need to change what it’s doing, despite others’ calls for a deal.
“As we observed three months ago, with its current set of assets, it must surely be conceded that Comcast needs a deal less than any company in our coverage,” the analysts conclude.
