Fox Corporation

Fox reported fiscal 2026 revenue of over $17 billion, up 5% year over year, and EBITDA of $3.9 billion, up 8%. Full-year net income attributable to stockholders was $1.7 billion, or $3.84 per share, versus $2.3 billion, or $4.91 per share, in fiscal 2025; adjusted net income was $2.4 billion and adjusted EPS was $5.42, up 13% from $4.78. In Q4, total revenue was $4.2 billion, up 28%, EBITDA was $1.2 billion, up 27%, net income attributable to stockholders was $691 million, or $1.61 per share, and adjusted EPS was $1.79, up 41% from $1.27. Management said fiscal 2027 is starting well, with continued ad momentum, double-digit upfront volume growth, more political advertising ahead, and continued distribution growth; no formal companywide revenue or EPS guidance was given.

Lachlan Murdoch framed fiscal 2026 as a milestone year, highlighting the FOX One launch, record World Cup audiences, Tubi’s growth, and the pending Roku acquisition as proof of FOX’s digital evolution. He emphasized that FOX’s ability to mobilize across sports, news, stations, streaming, and digital assets creates unique value for advertisers, distributors, and leagues. His tone was confident and upbeat, especially around ad demand, the World Cup’s strategic importance, and the view that FOX is entering fiscal 2027 with momentum.

Steve Tomsic focused on the financial drivers behind the record year: advertising revenue up 7% for the full year, distribution revenue up 4%, content and other revenue up 4%, and total expenses up 4% due mainly to World Cup rights and production, FOX One first-year costs, and higher digital content costs. He noted Q4 free cash flow of $726 million, with timing impacted by World Cup working capital, and said the company ended the quarter with about $4.2 billion in cash and $6.6 billion in debt. He also said FOX repurchased an additional $2 billion in shares during fiscal 2026, paid about $243 million in dividends, returned $10.7 billion of capital since the spin, and increased the semiannual dividend to $0.29 per share.

Analysts pressed on the advertising backdrop, and management said demand was strong across sports, news, local stations, Tubi, and entertainment, with double-digit upfront volume growth and continued strength into Q1. Questions on Tubi focused on sellout and pricing, and Lachlan said Tubi remained efficient in a competitive CTV market and had not needed to drop rates; he also said the World Cup’s contribution was meaningful but small relative to Tubi’s overall growth. On FOX One, management said subscribers are incremental, not cannibalizing MVPD customers, and churn is below expectations; on the NFL, Lachlan said contractual terms do not change until the 2030 season and discussions will be timed closer to that period.