Peacock Loses 500,000 Subscribers, But Boosts Revenue and Continues to Narrow Losses
The streamer is highly likely to see a subscriber rebound this quarter thanks to its Olympics coverage.
The second quarter of 2024 has come and gone, and for the giants in the entertainment world that means it’s time to once again reveal their quarterly earnings. NBCUniversal’s streaming service Peacock took its turn on Tuesday morning and revealed that it had shed 500,000 customers, bringing its total down to 33.5 million. That loss is clearly not ideal for the company, but financially, the streamer put itself on more secure footing during the quarter, which leaves it in a fairly strong position as it prepares to begin covering the games of the XXXIII Olympiad this week.
Key Details:
- Peacock lost subscribers, but increased revenue during the second quarter.
- The streamer lost $348 million during the quarter, down from a $651 million loss a year ago.
- A price increase and an influx of Olympics viewers could help Peacock turn in an even better third quarter.
There’s no doubt that Peacock officials would have preferred a subscriber acquisition total closer to the first quarter of the year, when it gained 3 million customers and jumped to 34 million overall. However, Peacock did manage to improve in two key financial metrics during the quarter, which should help instill a feeling of confidence moving into the Paris Games.
First, Peacock increased its revenue during the second quarter to $1 billion, a year-over-year increase of 28%. NBCU touted this as the best YOY adjusted earnings growth for the streamer in any quarter since it launched in 2020.
Peacock was also able to cut its losses nearly in half as compared to the second quarter of 2023. In that quarter, Peacock lost $651 million, but in 2024, the number dropped to $348 million. The streamer hit peak losses late in 2023, and since has been able to steadily chip away at the amount each quarter as it seeks the goal all streamers aspire to, profitability.
Will Peacock See Subscriber Rebound in Q3?
It’s entirely possible that the 500,000 customer defections Peacock saw during the quarter will be made good in the upcoming three-month period. Revenue is likely to see a tidy jump as well, as Peacock raised prices for new customers on July 18 by $2 per month on each of its plans. Ad-supported Peacock Premium now costs $7.99 per month, and ad-free Peacock Premium Plus is $13.99.
The streamer has been teasing and building up its Olympics coverage all year, and this week the moment will finally arrive. Some team events start on Wednesday, July 24, but the opening ceremonies of the 2024 Summer Olympics in Paris are set for Friday, July 26. Peacock will offer every event of the games live, and will also provide a host of features including a multiview option, a daily whip-around show hosted by NFL RedZone veterans Scott Hanson and Andrew Siciliano, personalized recaps of the previous day’s events voiced by an AI version of Al Michaels, and more.
Those two factors could help Peacock reach new personal bests during the quarter, and will likely cause its subscriber total to rise once again. Customers who sign up to watch the Olympics are likely to stay subscribed once the games end, as soon after the 2024 NFL season will start. And guess which streamer opens the season with NFL games on back-to-back nights, one of which will be an exclusive matchup broadcast from Brazil? That’s right, Peacock.
A subscriber loss is never what a streamer wants to see, but Peacock looks to be in an excellent position to make good those losses in short order. The streamer will have even more to look forward to in 2025 when it will become an NBA partner thanks to NBCU’s acquisition of a large package of NBA regular season and playoff games starting that year.
Peacock
Peacock is a subscription video streaming service from NBCUniversal that includes original shows, blockbuster movies, and classic television series. Peacock is home to “Yellowstone,” and “The Office,” as well as original hits like “Poker Face” and “Bel-Air.” You can also watch live sports including NFL, MLB, WWE, Olympics, Premier League, NASCAR, French Open, College Football and Basketball, and PGA Tour. Premium Plus subscribers can stream their local NBC feed in all 210 markets.