FOX Fiscal Q4 2026 Earnings: World Cup Drives 28% Revenue Growth

Fox Corporation (Nasdaq: FOXA, FOX) reported fiscal Q4 2026 revenue of $4.21 billion, up 28% from $3.29 billion a year earlier, while GAAP EPS attributable to stockholders increased to $1.61 from $1.57. The FIFA Men’s World Cup and Tubi-led digital growth drove advertising revenue sharply higher, lifting adjusted EBITDA by 27%, although sports costs and FOX One launch spending limited margin expansion.

Core earnings results

Advertising contributed most of the quarterly growth, rising 78% to $1.92 billion. Distribution revenue increased 5% to $2.03 billion, while content and other revenue declined to $262 million from $269 million because of sports sublicensing timing.

Reported and adjusted earnings moved in different directions. Net income attributable to FOX stockholders fell approximately 4%, partly because the prior-year quarter included $282 million of non-operating other income compared with $12 million this quarter. Adjusted net income, which excludes specified restructuring, non-operating and tax items, increased 32%.

EPS increased despite lower attributable net income because weighted-average shares declined to 428 million from 457 million. Adjusted net income, adjusted EPS and adjusted EBITDA are non-GAAP measures.

Television captured most of the World Cup upside

Television produced the majority of FOX’s quarterly revenue and profit growth. Cable Network Programming increased revenue but posted lower segment EBITDA as additional sports rights amortization and production costs more than offset its gains.

Television revenue rose 45%, while segment EBITDA increased 129%. Its advertising revenue more than doubled, driven by the World Cup, continued digital growth led by Tubi and higher political advertising at FOX Television Stations. Television distribution revenue was essentially unchanged.

Cable Network Programming revenue increased 9%, including 22% advertising growth associated with the World Cup. Distribution revenue rose 7% as contractual price increases outweighed the effect of net subscriber declines. Nevertheless, segment EBITDA fell approximately 3% because of higher sports expenses.

Corporate and Other’s adjusted EBITDA loss widened by $122 million. At the company level, FOX identified FOX One launch costs as another source of higher quarterly expenses. Consolidated revenue also reflects segment eliminations of $101 million, compared with $15 million a year earlier.

Profitability, cash flow and the balance sheet

Adjusted EBITDA grew almost in line with revenue, leaving the adjusted EBITDA margin slightly lower at approximately 28.4%. The result shows that higher World Cup-related revenue was accompanied by substantial programming rights and production costs, while FOX One added launch expenses.

For the full fiscal year—not Q4 alone—operating cash flow declined approximately 41% to $1.97 billion from $3.32 billion. Receivables and other assets used $1.06 billion of cash, versus $85 million a year earlier, while inventories net of programming payables used $493 million compared with a $521 million source of cash in fiscal 2025. Capital expenditures also increased to $502 million from $331 million.

Cash and cash equivalents ended June 2026 at $4.21 billion, down from $5.35 billion one year earlier. Borrowings were nearly unchanged at $6.61 billion. FOX spent $2.00 billion on share repurchases during fiscal 2026, including $100 million across its Class A and Class B shares during Q4, and had $3.40 billion remaining under its authorization. The board also increased the semiannual dividend to $0.29 per share.

Management perspective

Executive Chair and CEO Lachlan Murdoch highlighted the World Cup broadcast, the launch of FOX One and Tubi’s continued development as major fiscal 2026 milestones. He also identified the announced Roku acquisition as a transaction intended to change FOX’s scale and growth profile, while the company’s forward-looking disclosures acknowledged transaction-related strategic, regulatory and execution risks.

Risks investors should monitor

• Dependence on major events: The World Cup was the primary driver of the quarter’s 78% advertising increase, making the composition and timing of major sports broadcasts important to future comparisons.
• Sports cost pressure: Higher rights amortization and production expenses caused Cable Network Programming EBITDA to decline despite revenue growth and limited company-wide margin expansion.
• Subscriber declines: Contractual price increases continued to offset declining subscribers in cable distribution, but further subscriber losses could weaken distribution growth.
• Cash conversion: Full-year operating cash flow fell as receivables, other assets and inventory-related working capital absorbed substantially more cash.
• Investment and transaction execution: FOX One launch costs are already affecting expenses, while the announced Roku acquisition introduces strategic and regulatory uncertainty.

Summary

FOX’s fiscal Q4 2026 growth was driven primarily by World Cup advertising and Tubi-led digital momentum, with Television converting that revenue into substantial segment EBITDA growth. Cable profitability and the company-wide margin were constrained by sports costs, FOX One spending and a wider Corporate and Other loss. Investors’ next areas of focus include the durability of advertising growth, subscriber trends, cash conversion and execution around FOX One and the Roku transaction.

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