Comcast 2015 Annual Report Download - page 51

continue in 2016. In 2015, depreciation and amortization expenses included $20 million related to the accel-
eration of amortization for certain intangible assets and the write-off of certain capitalized costs associated
with the termination of the Time Warner Cable merger and related divestiture transactions. Consolidated
depreciation and amortization expenses increased slightly in 2014 primarily due to increases in capital spend-
ing in our Cable Communications and NBCUniversal segments, as well as increases related to our
acquisitions in 2013 of our corporate headquarters and real estate properties for NBCUniversal.
Segment Operating Results
Our segment operating results are presented based on how we assess operating performance and internally
report financial information. We use operating income (loss) before depreciation and amortization, excluding
impairment charges related to fixed and intangible assets and gains or losses from the sale of assets, if any,
as the measure of profit or loss for our operating segments. This measure eliminates the significant level of
noncash depreciation and amortization expense that results from the capital-intensive nature of certain of our
businesses and from intangible assets recognized in business combinations. Additionally, it is unaffected by
our capital structure or investment activities. We use this measure to evaluate our consolidated operating
performance and the operating performance of our operating segments and to allocate resources and capital
to our operating segments. It is also a significant performance measure in our annual incentive compensation
programs. We believe that this measure is useful to investors because it is one of the bases for comparing
our operating performance with that of other companies in our industries, although our measure may not be
directly comparable to similar measures used by other companies. Because we use operating income (loss)
before depreciation and amortization to measure our segment profit or loss, we reconcile it to operating
income, the most directly comparable financial measure calculated and presented in accordance with gen-
erally accepted accounting principles in the United States (“GAAP”), in the business segment footnote to our
consolidated financial statements (see Note 18 to Comcast’s consolidated financial statements and Note 17
to NBCUniversal’s consolidated financial statements). This measure should not be considered a substitute for
operating income (loss), net income (loss) attributable to Comcast Corporation or NBCUniversal, net cash
provided by operating activities, or other measures of performance or liquidity we have reported in accord-
ance with GAAP.
The revenue and operating costs and expenses associated with our broadcast of the 2015 Super Bowl were
reported in our Broadcast Television segment. The revenue and operating costs and expenses associated
with our broadcast of the 2014 Sochi Olympics were reported in our Cable Networks and Broadcast Tele-
vision segments.
Cable Communications Segment Results of Operations
Revenue and Operating Income
Before Depreciation and Amortization
(in billions)
Revenue
Operating Income
Before Depreciation
and Amortization
20142013
Operating Margin
2015
$18.1 $19.1
$17.2
$44.1 $46.9
$41.8
41.1% 40.8%
41.0%
Comcast 2015 Annual Report on Form 10-K 48