Core Insights - Fox Corporation reported Q3 fiscal 2024 adjusted earnings per share of $1.09, exceeding estimates by 11.22% and reflecting a 16% year-over-year increase [2] - Total revenues decreased by 15.6% year-over-year to $3.44 billion, slightly surpassing consensus estimates by 0.22% [2] - The company experienced a significant decline in advertising revenues, which fell 34.1% year-over-year to $1.24 billion, primarily due to the absence of Super Bowl LVII and fewer NFL games [2][3] Revenue Breakdown - Affiliate fees, accounting for 56.2% of total revenues, increased by 4.4% to $1.93 billion, driven by a 9.2% growth in the Television segment [2] - Cable Network Programming revenues decreased by 6.2% year-over-year to $1.47 billion, with advertising revenues down 6.3% and other revenues plunging 55.3% [3] - Television revenues declined by 21.7% to $1.93 billion, with advertising revenues dropping 39.8% year-over-year [3] Operating Performance - Operating expenses decreased by 24.8% year-over-year to $2.05 billion, with a contraction of 730 basis points to 59.5% of revenues [4] - Selling, general & administrative expenses fell by 3.4% year-over-year to $510 million, expanding as a percentage of revenues by 190 basis points to 14.8% [4] - Adjusted EBITDA increased by 7% year-over-year to $891 million, with an adjusted EBITDA margin expanding by 550 basis points to 25.8% [4] Financial Position - As of March 31, 2024, Fox had $3.79 billion in cash and cash equivalents, down from $4.12 billion as of December 31, 2023 [5] - Long-term debt stood at $7.19 billion as of March 31, 2024 [5] Market Outlook - Fox holds a Zacks Rank 3 (Hold), indicating expectations for an in-line return from the stock in the coming months [7] - The stock has a strong aggregate VGM Score of A, reflecting solid growth and value metrics [6]
Why Is Fox (FOXA) Up 3.1% Since Last Earnings Report?