Fox Corp. exceeded expectations in its fiscal second quarter with $4.44 billion in revenue thanks to the growth of its streaming platform Tubi and advertising revenue driven by the NFL.
The mass-media company surpassed Wall Street estimates of $4.25 billion in revenue for fiscal Q2 2022 but reported a net loss of $73 million during the quarter, primarily due to the change in fair value of its investment in Dublin-based sports betting company Flutter Entertainment.
The NFL’s media rights deal with Fox fueled growth for the company during the quarter.
- Its television division posted $2.7 billion in revenue, an 8% increase year-over-year.
- Ad revenue reached $2.4 billion compared to $2.2 billion in fiscal Q2 2021.
- The company pocketed $1.7 billion in affiliate fee revenue, an 11% increase year-over-year.
In April 2020, Fox acquired Tubi for $440 million, the latter having 25 million monthly active users at the time of the deal. Currently, the platform has 51 million monthly active users who streamed 3.6 billion hours of content in fiscal Q2 2022, a 40% increase year-over-year.
Running it Back
Last March, the NFL finalized its media rights deals with CBS, NBC, Disney, Amazon, and Fox with contracts worth $113 billion over 11 seasons, beginning with the 2023 season.
NFL commissioner Roger Goodell said the league will work with broadcasters to incorporate legal sports betting into the deals.
