Fox Corp. advertising momentum in the April-to-June quarter helped it post revenue and earnings above Wall Street expectations.
Total revenue of $3.29 billion and earnings per share of $1.57 EPS for the company’s fiscal fourth quarter came in well ahead of analysts’ consensus forecasts for $3.11 billion and $1.01, respectively.
Total advertising revenue climbed 7% to $1.08 billion, with the company crediting free streaming service Tubi, ratings improvement at Fox News and better pricing. Offsetting the positives was the comparison of the quarter to the year-ago period, which included broadcasts of two major soccer tournaments, the UEFA European Championship and CONMEBOL Copa América.
The Cable Network Programming division paced overall performance, with revenue rising 7% from a year ago to reach $1.53 billion. Advertising gained 15% in the unit, while affiliate fee revenue went up 2%, with carriage fee gains offsetting net subscriber declines.
The Television division saw an increase in revenue of 6% to $1.71 billion, driven mainly by Tubi.
The new fiscal year will be highlighted, as ever, by college football and NFL telecasts as well as the Major League Baseball playoffs. Another major initiative for Fox Corp. in the coming weeks will be the launch of Fox One, the company’s subscription streaming service.
“We remain confident that our focused strategy, leadership position in key verticals and strong balance sheet will continue to deliver value to all shareholders,” CEO Lachlan Murdoch said in the company’s earnings release.
