Core Insights - Fox Corporation reported second-quarter fiscal 2024 adjusted earnings per share (EPS) of 34 cents, exceeding the Zacks Consensus Estimate by 240%, but down 29.2% year over year [1] - Revenues decreased 8.1% year over year to $4.23 billion, slightly surpassing the consensus mark by 1.28% [1] Revenue Breakdown - Affiliate fees, accounting for 42.2% of revenues, increased by 4.4% to $1.78 billion, driven by a 10% growth in the Television segment [1] - Advertising revenues, making up 47.3% of revenues, fell 20% year over year to $2 billion, primarily due to the absence of the FIFA Men's World Cup and lower political advertising revenues [1] - Other revenues, which represent 10.5% of total revenues, surged 14.1% year over year to $445 million [2] Segment Performance - Cable Network Programming revenues, comprising 39.2% of total revenues, rose 1.6% year over year to $1.65 billion, despite a 22.8% drop in advertising revenues [2] - Television revenues, which account for 60% of total revenues, declined 13.4% year over year to $2.54 billion, with advertising revenues down 19.4% [2] Operating Expenses and EBITDA - Operating expenses decreased 3.8% year over year to $3.39 billion, but as a percentage of revenues, they increased by 350 basis points to 80.1% [3] - Total adjusted EBITDA fell 34.1% year over year to $350 million, with the adjusted EBITDA margin contracting 330 basis points to 8.3% [3] - Cable Network Programming EBITDA increased 59.8% year over year to $564 million, while Television reported a negative adjusted EBITDA of $138 million [3] Balance Sheet - As of December 31, 2023, Fox had $4.12 billion in cash and cash equivalents, down from $4.82 billion as of September 30, 2023 [4] - Long-term debt decreased to $7.19 billion as of December 31, 2023, from $7.44 billion as of September 30, 2023 [4]
Fox (FOXA) Q2 Earnings Beat Estimates, Ad Revenues Decline