​​Comcast’s Peacock streaming service is still playing catchup compared to many other competing streaming services. But boosted significantly by the NFL, Olympics, and a deep battery of other sports—a programming portfolio that is perhaps poised to grow further—Peacock is making more market gains.

In first-quarter earnings released Thursday, Comcast said that Peacock grew to 34 million subscribers, 9.6% higher than the prior quarter and 41% more than a year ago. Revenue for the streamer grew 54% to $1.1 billion in the latest quarter, while the adjusted loss narrowed by 9% to $639 million. 

A crucial factor in those improved metrics was Peacock’s exclusive stream during the quarter of a wild-card game between the Chiefs and Dolphins, which drew an average audience of 23 million that was the largest online in U.S. history. In the days leading up to that game, Peacock added 2.8 million subscribers, according to Antenna, representing the “single-biggest subscriber acquisition event” measured by the industry research firm. 

As subscriber churn is a significant worry for any streaming service, Comcast executives were enthused that the football-related bump held, and then some, as well as how sports content was interacting with entertainment programming on Peacock to drive subscriber growth and retention. 

“We are at a place now where we really are seeing traction in our approach to providing a service for consumers that is a combination of both entertainment and sports and how those two go together, and it’s very much a reflection, a mirror image, of what we see as our strength at NBCUniversal itself,” said Mike Cavanagh, Comcast president, in an earnings call with analysts.

That NFL-featured strategy will continue, in September, when Peacock will exclusively air a rare Friday game involving the Eagles and Packers in Brazil. Comcast’s NBC Sports, meanwhile, is an active bidder for NBA national rights, and Peacock will factor into that bid, too.

In other key elements from Comcast’s quarterly earnings report:

• Comcast reiterated that it is on track to sell $1.2 billion in advertising sales commitments for the upcoming Paris Olympics, the most of any such Games ever. 
• The company is projecting a further boost for Peacock subscribers in the second half of 2024, thanks in large part to sports programming such as the NFL, Olympics, and Big Ten football. 
• Cord-cutting remains a pressing issue, both for Comcast and across the industry, and the company lost another 487,000 residential cable customers during the quarter, leaving the current total at 13.6 million. 
• Despite the issues there, Comcast still boosted its overall revenue by 1.2% to $30.1 billion, and net income rose 0.6% to $3.86 billion, with both measures slightly beating analyst expectations. Still, Comcast stock tumbled nearly 6% in Thursday trading. 

“Peacock’s losses remain stubbornly high, in part reflecting the cost of the [NFL] playoff game,” MoffettNathanson analyst Craig Moffett wrote in a research note, referencing the $110 million price tag Comcast paid. “Peacock is still clearly sub-scale. But Comcast has the balance sheet to wait for the market to come to them. They have the luxury of time.”

One of the most powerful U.S. figures in motor sports is enveloped in a scathing cheating scandal that could have a wide-reaching impact.

Roger Penske (above, left), 87, is the owner of racing teams that have seen their drivers win four NASCAR Cup Series championships and a whopping 24 IndyCar Series titles. In 2019, the billionaire struck a deal believed to be worth as much as $300 million to buy the entire IndyCar Series and Indianapolis Motor Speedway, home of the sport’s most famous race—the Indianapolis 500.

Since that purchase, Team Penske has won the 2022 IndyCar Series championship, and it started this year strong with its three drivers all finishing in the top four at the season-opening St. Petersburg Grand Prix—a race that drew just under one million viewers on NBC (down 18% from the ’23 race) as IndyCar continues negotiations for a new media-rights deal. But late Wednesday night, IndyCar announced that St. Pete race winner Josef Newgarden (above, right) and third-place finisher Scott McLaughlin were being retroactively disqualified as part of penalties levied against Team Penske for rule violations at the March 10 race.

Here’s What Happened

IndyCar uses a system called “push to pass,” or P2P, which is somewhat similar to Formula One’s drag reduction system, or DRS, that allows cars a limited amount of time to accelerate faster than normal and leads to more exciting racing with extra overtakes. That system isn’t supposed to be used during race starts and restarts, and it is normally turned on and off by race officials.

During warmups for this past weekend’s Long Beach Grand Prix, IndyCar says it discovered a manipulation by Team Penske. After reviewing data from St. Petersburg, it determined that Newgarden and McLaughlin both illegally used P2P during restarts. It was also determined that Penske driver Will Power had the ability to use P2P when he should not have, but he didn’t use it. Still, all three driver entries were docked 10 points, fined $25,000, and are forfeiting prize money from that race, which isn’t disclosed.

Was There More?

There was no mention in the series’ statement of whether Team Penske illegally deployed P2P at the IndyCar $1 Million Challenge on March 24, when McLaughlin finished second and took home $350,000. That all-star-style race offered the biggest purse outside of the Indy 500 this year. Team Penske took fault for the violation, although it appears to be inferring that it was a mistake, and not intentional. Roger Penske told the Associated Press he was “embarrassed,” while fellow IndyCar team owner Chip Ganassi called it a “blemish” on Penske’s team.

IndyCar is also represented by teams owned by motor-sports powerhouses like McLaren, the longtime F1 juggernaut, and Michael Andretti, who is trying to enter F1 as an expansion team. The series has been hoping to see a slight media-rights fee increase over the $20 million it is said to receive annually from NBC after the deal expires this year, but a cheating scandal like this won’t be good for any part of IndyCar’s business as it looks to attract new partners.