NASDAQ$FOXA

Fox Corp · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

Fox's financial performance for the third quarter of fiscal year 2020 was reported.

Fox Corporation reported a strong third quarter for fiscal year 2020, with revenues increasing by 25% to $3.44 billion. The growth was driven across all operating segments, with significant contributions from advertising and affiliate revenues. Net income, however, decreased due to a loss related to the change in fair value of the company's former investment in Roku, Inc. and higher operating expenses.

  • Total quarterly revenues reached $3.44 billion, a 25% increase year-over-year.
  • Advertising revenues increased by 44%, boosted by Super Bowl LIV broadcast.
  • Net income decreased to $90 million, impacted by Roku investment valuation change.
  • Adjusted EBITDA increased by 20% to $920 million, driven by Television and Cable Network Programming segments.

Headline financials

Total Revenue

$3.44B

Previous: $2.75B+25.0%
EPS (adj)

$0.93

Previous: $0.76+22.4%
Capital Expenditures

-$192M

Previous: -$147M-30.6%
Free Cash Flow

$1.15B

Previous: $1.48B-21.9%
Net Income

$90M

Previous: $539M-83.3%
Operating Income

$915M

Previous: $756M+21.0%
Gross Profit

$1.38B

Previous: $1.09B+26.3%
Cash & Equivalents

$3.2B

Previous: $2.82B+13.4%
Total Assets

$20.2B

Previous: $17.7B+14.6%
Stock-Based Comp

$36M

Previous: $5M+620.0%

Revenue & EPS history

Fox · Revenue · Quarterly

$3.44B

Q3 2020+25%vs Q3 2019
Beat estimate in 2 of 5 quarters(40%)
ActualEstimate

Revenue by segment

Fox · $3.39B total across 2 segments · Q3 2020

  • Television
    $1.93B+40.6%
  • Cable Network Programming
    $1.47B+6.1%

Forward guidance

The impact of COVID-19 could have a material adverse effect on the Company’s business, financial condition or results of operations over the near to medium term. A significant decline in estimated advertising revenue or the expected popularity of the Company’s programming could lead to a downward revision in the fair value of, among other things, the Company’s reporting units, indefinite-lived intangible assets and long-lived assets and result in an impairment and a non-cash charge that is material to the Company’s reported net earnings.

Headwinds

  • Macroeconomic environment is affected.
  • Sporting events have been cancelled or postponed.
  • Production of certain entertainment content has been suspended.
  • Demand in local advertising markets has declined.
  • Challenging to estimate the future performance of its businesses, particularly over the near to medium term, including the supply and demand for its services, its cash flows and its current and future advertising revenue.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2020

Historical avgQ3 2020

+0.7%

Avg return

Earnings day

+1.9%

Avg return

5 days after

+2.6%

Avg return

30 days after

57%

29 / 51 earnings

Positive

+7.6%

Q1 2026

Best reaction

-13.0%

Q4 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026-0.6%+3.0%+7.0%
Q2 2026-0.7%-10.6%-14.9%
Q1 2026+7.6%+6.1%+7.7%
Q3 2025+4.4%+11.6%+8.8%
Q2 2025+4.8%+1.6%+6.6%
Q1 2025+4.6%+6.5%+10.6%
Q4 2024+7.4%+8.2%+11.2%
Q3 2024+3.2%+2.7%+5.5%
Q2 2024-9.3%-3.7%-8.7%
Q1 2024+5.1%+1.6%-0.9%
Q4 2023+4.5%+4.6%-6.7%
Q3 2023-3.1%-4.5%+5.2%
Q2 2023+4.4%+4.8%-2.7%
Q1 2023+3.6%+3.4%+11.2%
Q4 2022+7.4%+7.8%+2.3%
Q3 2022-0.0%+1.8%+0.8%
Q2 2022+7.2%+4.5%-3.7%
Q1 2022-0.7%-2.5%-13.4%
Q4 2021+4.5%+4.2%+5.3%
Q3 2021+2.5%+5.7%+1.2%
Q2 2021-3.3%-0.3%+28.0%
Q1 2021-5.4%-5.3%+10.7%
Q4 2020-5.3%-6.4%+3.8%
Q3 2020+4.9%+6.5%+28.0%
Q2 2020-2.4%-1.9%-24.2%
Q1 2020+6.5%+6.6%+7.9%
Q4 2019-3.8%-4.1%-6.1%
Q3 2019+3.5%+1.9%-8.7%
Q2 2019+0.3%
Q1 2019+1.5%
Q4 2018+0.0%
Q3 2018+0.0%
Q2 2018-6.4%
Q1 2018+4.0%
Q4 2017-0.9%
Q3 2017+1.3%
Q2 2017-3.0%
Q1 2017+5.1%
Q4 2016-3.1%
Q3 2016+0.4%
Q2 2016-3.3%
Q1 2016-5.1%
Q4 2015-13.0%
Q3 2015-2.6%
Q2 2015-4.6%
Q1 2015+0.9%
Q4 2014+6.6%
Q3 2014+5.7%
Q2 2014+1.3%
Q1 2014-0.8%
Q4 2013+1.4%
Q3 2013

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