Fox Corporation (NASDAQ:FOX) reported stronger-than-expected fourth-quarter results on Thursday, with advertising revenue from the FIFA Men’s World Cup helping the media company comfortably exceed Wall Street forecasts for both earnings and revenue. Shares rose around 4% in premarket trading following the announcement.
Adjusted earnings came in at $1.79 per share, outperforming analysts’ consensus estimate of $1.41 by $0.38. Quarterly revenue reached $4.21 billion, well above the market forecast of $3.62 billion.
World Cup boosts television advertising
The Television segment generated revenue of $2.48 billion during the quarter, representing an increase of $775 million, or 45%, compared with the same period a year earlier.
Advertising revenue surged by $755 million, or 108%, driven primarily by the FIFA Men’s World Cup, continued expansion of the Tubi ad-supported streaming platform and stronger political advertising across FOX Television Stations.
Distribution revenue was broadly unchanged from the previous year, while content and other revenue increased by $24 million, or 14%, supported by stronger entertainment programming sales.
CEO highlights record year for Fox
Executive Chair and Chief Executive Officer Lachlan Murdoch said, “Fiscal 2026 was an exceptional year for FOX, capped by our broadcast of a remarkable FIFA Men’s World Cup. We successfully launched our direct-to-consumer streaming service, FOX One, continued to keep America informed across a dynamic news cycle, enhanced Tubi’s position as a leading streaming service, and announced the acquisition of Roku which will transform the scope and growth profile of our company. Financially, these milestones were underpinned by the delivery of record top-line revenue which converted into record EBITDA. With strong momentum across our portfolio, we enter fiscal 2027 exceptionally well positioned to drive sustained growth and long-term shareholder value.”
EBITDA climbs despite higher sports costs
Television segment EBITDA rose to $705 million during the quarter, an increase of $397 million, or 129%, compared with the prior-year period.
The company noted that higher sports broadcasting rights amortisation and increased production costs related to the FIFA World Cup partially offset the sharp increase in revenue.