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Fox Fiscal Fourth Quarter Results Top Street Estimates on FIFA World Cup Ad Surge, Streaming Growth

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Fox Fiscal Fourth Quarter Results Top Street Estimates on FIFA World Cup Ad Surge, Streaming Growth

Fox's (FOX, FOXA) fiscal fourth quarter results topped Wall Street's estimates as broad advertising strength from the FIFA Men's World Cup, along with growing streaming momentum at Tubi and FOX One drove top-line growth.

Revenue increased 28% to $4.21 billion, compared with the FactSet-polled consensus of $3.64 billion. Adjusted per-share earnings rose to $1.79 from $1.27 a year earlier, exceeding Street's estimate of $1.42

Fox's class A and B shares were each up 5.4% in Thursday trade.

Distribution revenue rose 5% to $2.03 billion, boosted by contractual price increases in the cable network programming segment, according to the company.

Revenue on the distribution side was "supported in part by the strong momentum of Fox One," the company's direct-to-consumer streaming service, Chief Executive Lachlan Murdoch said during an earnings call, according to a FactSet transcript.

Advertising revenue surged 78% to $1.92 billion, driven by the broadcast of the FIFA Men's World Cup and digital growth led by Tubi, Fox said.

"Advertising revenue during the quarter was notably strong," Murdoch said, with growth "fueled by continued strength of Tubi, healthy advertising trends across the broader Fox portfolio and our broadcast of the first stages of the 2026 FIFA Men's World Cup."

Positive advertising trends carried into the new fiscal year "culminating from one of the strongest upfront in our history with double-digit growth in volume," Murdoch added.

By segment, television revenue soared 45% year-over-year to $2.48 billion, and cable network programming revenue jumped 9% to $1.67 billion.

UBS Securities expected "outperformance" for the quarter driven by strong World Cup ratings and remained bullish on shares, citing upcoming midterm political tailwinds.

"We expect cyclical tailwinds in (fiscal 2027) while FOX One investment moderates and underlying drivers remain intact," the brokerage said in an earnings preview.

In June, Fox agreed to acquire streaming platform Roku in a cash-and-stock deal valued at about $22 billion.

Price: $54.88, Change: $+2.68, Percent Change: +5.13%

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