Abstract

Fox Corporation Class A will report fiscal Q2 2026 results on February 04, 2026 Pre-Market. The preview consolidates the latest segment performance, margin trends, and consensus estimates for revenue, EBIT, and EPS, alongside institutional commentaries gathered since August 01, 2025.

Market Forecast

For the current quarter, Fox Corporation Class A’s revenue is projected at $5.05 billion, with an estimated year-over-year increase of 4.22%. Forecast EBIT stands at $0.37 billion with an estimated year-over-year decline of 19.90%, while projected adjusted EPS is $0.49, down an estimated 25.66% year over year. Margin guidance aligns with recent trends, pointing to stable gross profit margin around the mid-40% range and net profit margin tracking in the mid-teens. Fox Corporation Class A’s main businesses are expected to be led by Television, with Cable Network Programming as the second-largest contributor; the company anticipates a continued rebound in core advertising and affiliate fees. The most promising segment remains Television, estimated to contribute $2.05 billion last quarter, with the outlook supported by improved ad pricing and steady retransmission revenues; Cable Network Programming remains resilient given affiliate fee dynamics.

Last Quarter Review

Fox Corporation Class A delivered prior quarter revenue of $3.74 billion, a gross profit margin of 44.25%, GAAP net profit attributable to shareholders of $0.60 billion with quarter-on-quarter change of -16.46%, a net profit margin of 16.02%, and adjusted EPS of $1.51, up 4.14% year over year. Segment-wise, Television generated $2.05 billion, Cable Network Programming delivered $1.66 billion, Company and Other was $0.09 billion, and eliminations were -$0.06 billion; Television led growth due to stronger ad sales and steady retransmission/affiliate contributions, while Cable Network Programming maintained solid performance.

Fox Corporation Class A’s operational highlight was the significant beat versus prior consensus, with EBIT of $0.97 billion compared to an estimated $0.74 billion and adjusted EPS of $1.51 versus an estimated $1.08, indicating operating leverage from higher ad inventory monetization and disciplined cost control amid live sports and news programming.

Current Quarter Outlook

Main Business: Television

Television, which comprised $2.05 billion last quarter, anchors the company’s top line through a mix of national advertising, local station revenues, retransmission fees, and sports-related monetization. The quarter likely captures mid-season NFL and college football inventory, which historically supports pricing power and audience engagement. However, year-over-year comparisons may be influenced by the timing of marquee sports events and political advertising cadence. Affiliate and retransmission revenues provide a contractual base, tempering volatility from the ad market, while programming costs and sports rights amortization will pressure EBIT and EPS in a seasonally content-heavy period. The balance between robust ad pricing and elevated sports production costs will determine how Television margins track relative to the mid-40% gross margin trend discussed in guidance-like commentary.

Most Promising Business: Cable Network Programming

Cable Network Programming, which delivered $1.66 billion last quarter, remains structurally resilient due to its long-term affiliate fee contracts that often include escalators, giving visibility to revenue even as linear video headwinds persist. Live news programming supports stable daypart ratings, while portfolio optimization and cost discipline enhance contribution margins. The current quarter’s trajectory depends on affiliate renewals and rate step-ups, as well as the degree to which advertising demand normalizes versus last year’s softness. If the advertising recovery broadens into news and sports-adjacent content, this segment’s EBIT could outperform current cautious estimates despite headline declines in EPS, as fixed-fee structures cushion top line while selective programming investments sustain engagement.

Key Stock Price Drivers This Quarter

The stock’s near-term reaction will hinge on three elements: delivery versus a high prior-quarter beat, the interplay of sports rights costs versus ad revenue yield, and the shape of affiliate fee growth against cord-cutting pressures. Investors will scrutinize whether the forecasted $0.49 EPS aligns with reported performance and if EBIT at $0.37 billion reflects conservative cost assumptions or signals temporary margin compression. Any commentary on retransmission negotiations, NFL and college sports scheduling effects, and the pacing of political advertising ahead of major electoral cycles could recalibrate expectations for second-half visibility. Clear evidence of pricing power in live programming, alongside reaffirmed mid-teens net margins, would underpin sentiment; conversely, signs of escalating content costs outpacing revenue growth could weigh on the shares.

Analyst Opinions

Across institutional previews over the past six months, the majority indicate a cautiously positive stance, emphasizing stabilization in advertising and dependable affiliate fee growth against a backdrop of rising sports programming investments. The dominant view expects Fox Corporation Class A to meet or slightly exceed revenue expectations near $5.05 billion and to deliver EPS close to the $0.49 level, framing any EBIT shortfall as transitory given the seasonal mix and rights amortization timing. Analysts highlight the prior quarter’s material beat as evidence of operating discipline, with commentary suggesting that upside may again stem from Television monetization during peak sports windows and from Cable Network Programming’s contractual revenues. The constructive perspective underscores that incremental ad market improvements and steady retransmission economics can offset cost pressure, supporting a gradual margin normalization trajectory over the next few quarters.