stockrowWhat it does
Fox Corporation produces and distributes news, sports and entertainment programming. Its businesses reach viewers through television networks, local stations and streaming services, while selling advertising and licensing programming to distributors. Founded in 2019, Fox is headquartered in New York City and led by Executive Chair and Chief Executive Officer Lachlan K. Murdoch.
Its Cable Network Programming business includes FOX News, FOX Business and sports networks such as FS1 and the Big Ten Network. These channels reach viewers through cable and satellite providers, internet-based television distributors and other digital platforms. Fox also offers FOX One, a subscription streaming service that gives consumers direct access to its programming.
The Television business includes the FOX broadcast network, which supplies sports and entertainment programming to affiliated local stations. Fox owns and operates some of those stations itself. It also owns Tubi, a streaming service where viewers can watch content supported by advertising. Production companies within the segment make programs for Fox and for outside customers.
Outside its reportable media segments, Fox operates Credible, a U.S. consumer finance marketplace, and the FOX Studio Lot in Los Angeles, which provides production services and office space. Fox has agreed to acquire Roku, a connected-TV platform, subject to completion of the transaction.
How it makes money
Fox earns most of its revenue from distribution fees and advertising. Distribution fees include payments from television distributors for carrying its cable channels and local station signals, payments from independently owned stations affiliated with the FOX network, and subscriptions to direct-to-consumer services. Some fees recur monthly or annually, although their amounts depend on agreements and subscriber numbers.
Advertisers pay for commercial time within network programming and for placements on Fox-owned stations and digital properties. Advertising revenue varies with audience size and the programming and events Fox carries. Other revenue includes activities such as licensing content and sports rights to third parties.
The Television segment produces, acquires and distributes programming through the FOX network, owned stations, Tubi and other platforms. Tubi is advertising-supported, while FOX One is a subscription service presented in Corporate and Other rather than either reportable segment. The Cable Network Programming segment produces and licenses news and sports content for television distributors and digital platforms.
Fiscal 2026 revenue was $17 billion; fiscal first-quarter 2027 revenue was $4.6 billion.
In fiscal 2026, approximately 47% of revenue came from distribution, approximately 43% from advertising and approximately 10% from other operating activities. Television segment revenue was $9.7 billion and Cable Network Programming revenue was $7.3 billion in fiscal 2026. Fox eliminates transactions between segments when consolidating its results.
In the fiscal first quarter of 2027, advertising revenue rose 47%, led by the FIFA Men’s World Cup, higher political advertising and continued growth at Tubi. Distribution revenue rose 9%, with growth in both reportable segments.
| Segment | Revenue, FY2026 | Share | Change on the year |
|---|---|---|---|
| Television | $9.7 billion | 56.8% | 3.66% |
| Cable Network Programming | $7.3 billion | 43.2% | 6.03% |
Customers and how it sells
Fox serves several groups: viewers, advertisers, television distributors, independently owned broadcast affiliates and customers of its production businesses. Viewers can receive its programming through traditional cable and satellite packages, internet-based television distributors, broadcast stations and Fox’s own streaming services. Advertisers can buy placements on national networks, local stations and digital properties.
The cable and television businesses operate primarily in the United States. FOX Network programming is available in virtually every U.S. market through its affiliated stations. Fox owns and operates 29 full power television stations, covering 18 designated market areas, including 15 of the 16 largest. FOX News is available in approximately 55 million U.S. households through television distributors, with additional households reached through FOX One.
Tubi carries national and local news, sports, movies and television programming. It includes over 100 local station feeds, covering 77 designated market areas and 23 of the top 25 markets. FOX One is designed to reach consumers outside Fox’s existing distribution footprint, including people who have left or never subscribed to traditional pay television.
Fox also distributes sports programming outside the United States. FOX Latin America serves Mexico and Central America through television networks, Tubi and a subscription streaming service.
| Segment | Revenue, FY2026 | Share | Change on the year |
|---|---|---|---|
| Television | $9.7 billion | 56.8% | 3.66% |
| Cable Network Programming | $7.3 billion | 43.2% | 6.03% |
Suppliers and costs
Fox obtains programming through a combination of its own production, third-party content and licensed sports rights. FOX Sports has secured a significant portion of its major rights under long-term contracts, including an expanded agreement with the NFL. FOX Entertainment also uses its production studios to supply programming for its own network and outside customers.
Sports rights and production are important costs. In fiscal 2026, operating expenses rose $335 million or 3%, principally because of costs associated with launching FOX One and higher digital content costs. Those increases were partly offset by lower sports programming rights amortization, led by the absence of the prior year’s Super Bowl broadcast, although soccer rights and higher NFL costs offset part of that reduction.
Selling, general and administrative expenses increased $199 million or 9% in fiscal 2026, primarily because of higher employee costs and FOX One launch costs. In the fiscal first quarter of 2027, total expenses increased 10%, led by World Cup costs and higher digital content costs. Fox also faces competition for creative talent, new content ideas and intellectual property.
- Revenue$17.1B
- Cost of revenue−$10.9B
- Selling, general and administrative−$2.4B
- Other operating costs−$410.0M
- Operating income$3.5B
Competitive position
Fox competes for viewers, advertising, programming and distribution across broadcast television, cable networks, streaming and other media. FOX News competes with national broadcast news divisions and cable news networks including CNN and MS NOW. FOX Business competes with CNBC and Bloomberg Television. Fox’s sports networks compete for rights, distribution, audiences and advertisers against networks including ESPN and streaming services including Netflix.
The FOX Network and Tubi also compete with broadcast networks and streaming services for audiences, programming and advertising. ABC, NBC and CBS broadcast more hours of programming than the FOX Network, giving them greater potential scheduling flexibility.
Fox’s competitive assets include live news and sports, national distribution and local stations. FOX News has been the top-rated national cable news channel in weekday primetime viewing for over 24 consecutive years. Fox’s sports portfolio includes NFL, MLB and college football programming, with a significant portion of major rights secured under long-term contracts.
Our reading: Fox’s news audience and live sports rights provide meaningful competitive strength because they support programming that attracts viewers and advertisers. Our reading: Its distribution across broadcast, cable and owned streaming services also helps it reach audiences in different ways, although those channels compete with a broad range of alternatives.
| Competitor | Where they compete | Threat (our reading) |
|---|---|---|
| CNN | Cable news audiences and advertisers | High |
| MS NOW | Cable news audiences and advertisers | High |
| CNBC | Business news audiences and advertisers | High |
| Bloomberg Television | Business news audiences and advertisers | High |
| ESPN | Sports rights, distribution, audiences and advertisers | High |
| Netflix | Streaming sports and entertainment programming | High |
| ABC | Broadcast audiences, programming and advertising | High |
| NBC | Broadcast audiences, programming and advertising | High |
Growth opportunities
Fox is expanding digital distribution alongside its television businesses. FOX One offers subscriptions directly to consumers, while Tubi extends the reach of Fox’s advertising-supported programming. Fox also operates FOX Nation, FOX Weather and local streaming services, and produces programming for outside streaming customers.
Tubi’s total view time grew 20% in fiscal 2026, and it streamed over 13 billion hours of content during the year. Fox expanded Tubi’s library with 50 new original titles and over 20,000 creator-led episodes as of fiscal year-end. In the fiscal first quarter of 2027, Tubi revenue grew 35% year on year, while total view time increased 23%.
Fox reported positive subscriber growth over the trailing 12 months when incremental FOX One subscribers were included. It also said subscriber acquisitions in September increased over 30% versus the start of the prior year’s football season. Fox plans to roll out further FOX One bundles as the service develops.
The proposed Roku acquisition would combine Fox’s content and Tubi with Roku’s connected-TV platform and streaming services. Fox expects to close the transaction as soon as it can after obtaining U.S. antitrust clearance. It has received the required Fox and Roku shareholder approvals and foreign regulatory approvals.
- $14.0BFY2022
- $14.9BFY2023
- $14.0BFY2024
- $16.3BFY2025
- $17.1BFY2026
Structural risks
- Changing distribution habits: Changes in consumer behavior, technology and distribution platforms challenge existing media business models. Fox’s fiscal 2026 distribution revenue benefited from higher rates, but a lower average number of subscribers offset part of that increase.
- Sports and programming costs: Fox competes with other media businesses for sports rights and programming. Its expenses vary with the rights and events it carries; World Cup and digital content costs increased expenses in the fiscal first quarter of 2027.
- Roku transaction: The acquisition may be delayed or not completed if closing conditions are not satisfied. Fox faces transaction and integration costs, and certain termination circumstances could require it to pay a fee.
- Technology and privacy: Failure, degradation or misuse of networks and information systems could disrupt services or expose personal or confidential information, resulting in costs, liabilities or lost revenue. Privacy requirements could also change business practices and increase compliance costs.
- Regulation: Fox’s broadcast stations require licenses, and changes in laws, rules or their enforcement could affect operations and financial performance. Violations can lead to fines or, in serious cases, denial of license renewal or revocation.
Leadership
Fox has a dual-class common equity structure: Class A holders can vote only in specific, limited circumstances. As of June 30, 2026, LGC Holdco and its sole manager had agreed to vote shares representing approximately 38.8% of the voting power of FOX Class B stock in favor of the share issuance for the Roku transaction.
| Name | Role | Since | Total pay, FY2026 |
|---|---|---|---|
| Lachlan K. MurdochExecutive | Chair andChief Executive Officer | — | $31.0 million |
| John P. NallenPresident and | Chief Operating Officer | — | $18.1 million |
| Steven TomsicChief Financial Officer | — | $10.1 million | |
| Adam CiongoliChief Legal and PolicyOfficer | — | $10.1 million |
Bottom line
Our reading
Our reading: Fox is a news, sports and entertainment business whose economics rely on both recurring distribution payments and advertising tied to its programming and audiences. Its news audience, sports rights and distribution reach support those businesses, while subscriber declines and programming costs remain important pressures. Tubi and FOX One extend Fox’s reach into streaming; the proposed Roku acquisition could expand that presence, but still requires U.S. antitrust clearance.