Fox(US:FOX) ZACKS·2024-11-04 17:46Core Insights - Fox Corporation (FOXA) reported strong first-quarter fiscal 2025 results, with adjusted earnings per share of $1.45, exceeding the Zacks Consensus Estimate by 29.5% and reflecting a year-over-year increase of 33.02% [1] - Total revenues rose 11.13% year over year to $3.5 billion, surpassing the consensus mark by 5.6% [1] Revenue Breakdown - Affiliate fees, accounting for 51.71% of total revenues, increased by 5.92% to $1.84 billion, driven by a 10% growth in the Television segment and a 3% growth in the Cable Network Programming segment [1] - Advertising revenues, making up 37.29% of total revenues, grew by 10.75% year over year to $1.33 billion, primarily due to higher political advertising revenues, strong performance of Tubi, and the impact of major sports events [2] - Other revenues, which represent 11% of total revenues, surged by 47% year over year to $392 million [3] Segment Performance - Cable Network Programming revenues increased by 15.14% year over year to $1.59 billion, with advertising revenues up 10.69% and other revenues rising significantly due to sports sublicensing [4] - Television revenues grew by 9.72% year over year to $1.95 billion, with advertising revenues increasing by 10.77% and affiliate fees rising by 9.66% [5] Operating Performance - Operating expenses rose by 8.38% year over year to $2.02 billion, but as a percentage of revenues, they contracted by 1295 basis points to 58.54% [6] - Total adjusted EBITDA increased by 20.60% year over year to $1.05 billion, with an adjusted EBITDA margin expanding by 231 basis points to 29.41% [7] Financial Position - As of September 30, 2024, Fox had $4.05 billion in cash and cash equivalents, down from $4.31 billion as of June 30, 2024, with long-term debt remaining at $600 million [8] Stock Performance - Fox currently holds a Zacks Rank 4 (Sell), with shares gaining 41.2% year to date, outperforming the Zacks Consumer Discretionary sector's increase of 5.3% [9]