Core Insights - Fox Corporation (FOXA) is scheduled to report its first-quarter fiscal 2025 results on October 30, with earnings estimated at $1.06 per share, reflecting a 26.9% year-over-year decline, while revenues are projected at $3.58 billion, indicating a marginal growth of 0.4% from the previous year [1][9] Financial Performance - The company has consistently beaten the Zacks Consensus Estimate in the last four quarters, with an average surprise of 30.29% [2] - FOXA entered the first quarter of fiscal 2026 with strong operational and financial momentum, benefiting from a diversified portfolio across news, sports, and digital entertainment [3] Revenue Drivers - The performance of FOX News and steady affiliate fee trends are expected to have positively impacted results, alongside investments to expand its direct-to-consumer offerings [3] - The launch of FOX One, a unified streaming platform priced at $19.99 per month, is a significant step in the company's digital evolution, although initial marketing and content integration costs may have affected profitability [4] Advertising Revenue - Advertising revenues are anticipated to have moderated due to the absence of $270 million in political advertising from the prior year, but strong engagement at FOX News likely provided some offset [5][9] - Key shows and events, including the return of NFL on FOX and college football, are expected to have boosted viewership and pricing power [5] Challenges - FOXA is likely facing near-term headwinds from increased programming and production costs, softer entertainment ad demand, and additional digital spending related to FOX One, which may limit margin expansion [6] Earnings Expectations - According to the Zacks model, FOXA has an Earnings ESP of -7.55% and a Zacks Rank of 2 (Buy), indicating a lower likelihood of an earnings beat [7]
FOXA Gears Up to Report Q1 Earnings: What's in Store for the Stock?