Fox reported a strong Q3 with record EBITDA, driven by healthy underlying ad trends and Fox One outperformance. Management signaled a robust upfront and provided positive color on the upcoming World Cup's financial contribution. Total company revenue was $4B, with EBITDA up 11% to $954M. Adjusted EPS of $1.32 beat expectations.
Fox reported a strong Q3 with record EBITDA, driven by healthy underlying ad trends and Fox One outperformance. Management signaled a robust upfront and provided positive color on the upcoming World Cup's financial contribution. Total company revenue was $4B, with EBITDA up 11% to $954M. Adjusted EPS of $1.32 beat expectations.
Fox reported a strong Q3 with record EBITDA, driven by healthy underlying ad trends and Fox One outperformance. Management signaled a robust upfront and provided positive color on the upcoming World Cup's financial contribution.
Guidance tone
Ex-Super Bowl, ad revenue grew double digits; Fox News saw record Q3 ad revenue. Management described the advertising market as healthy with strong scatter pricing.
Fox One exceeded expectations, with low churn and news driving over half of viewership.
Management expressed strong confidence in the business, citing record EBITDA, robust advertising trends, outperformance at Fox One, and a healthy upfront market.
Management repeatedly highlighted strong momentum, record EBITDA expectations, and outperformance across key segments, conveying a confident outlook.
“we have seen very little churn, much lower churn than we had expected. ... over half of the viewership on Fox 1 is news viewership.”
Fox reaffirmed its stake and option in Flutter/FanDuel, expressing continued bullishness on the FanDuel business with no mention of monetization.
“We retain our 2.5% equity stake in Flutter and our 18.6% option in FanDuel. We have over four years to exercise that option.”
Fox One is seeing very low churn entering the summer sports lull, with over half of Q3 viewership being news, indicating it is being adopted as a utility rather than a sports-seasonal add-on.