Cable operator Comcast (NSDQ: CMCSA) reported Q2 revenue of $8.6 billion, an 11 percent increase from $7.7 billion in the year-ago quarter. On a pro-forma basis, growth was only 8 percent. Net income rose 8 percent to $632 million ($.21 per share) from $588 million ($.19 per share) a year ago. While revenue was slightly ahead of expectations, income appears to be a bit behind the $.23 per share that analysts had been expecting. In the release, CEO Brian Roberts cited a “challenging economic environment”. The company also saw a big increase in its free cash flow figures ($1.1 billion vs. $368 million) due to higher cash from operations and solidly lower capex ($1.3 billion vs. $1.6 billion). The company notes that it saw a $315 million benefit from the Economic Stimulus Package, though it specifically backs this number out of the aforementioned free cash flow numbers.

Cable revenue was up 7 percent in the quarter to $8.1 billion, with ARPU increasing 9 percent to $110, and 320,000 new digital cable subscribers, offsetting a decline of 138,000 basic video subscribers. Total digital cable subscribers stood at 16.3 million, compared to 14.48 million in last year’s quarter. High speed internet revenue was up 10 percent to $1.8 billion, and voice was up 50 percent to $640 million. Ad revenue decreased 2 percent to $399 million, attributable to the weak market that everyone has been talking about. It would’ve been worse, too, had it not been for some extra juice from political ads. Overall though programming revenue was up 10 percent to $366 million.

Looking forward, Comcast says it’s re-affirming guidance of revenue and op cash flow growth of 8-10 percent.

Release | Webcast (8:30 AM ET)