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Sports broadcasting and political advertising by Fox Corp. helped in its fiscal second quarter at a time when many of its rivals are scrambling to find new profits as they offer consumers who want to stream their TV favorites. Invest a lot in doing.

The owner of Fox News Channel and the Fox Broadcasting Network said it swung from a loss to a profit in the second quarter, largely due to revenue from its sports broadcasts and political ads on its local TV stations. There was a flow. The results appear to lend to Fox’s long-standing operating stance of not investing as heavily in subscription-based streaming as its rivals and focusing on amassing large, cohesive audiences across its traditional TV assets. Is.

Fox said profit in the period attributable to shareholders came in at $313 million, or 58 cents per share, compared with a loss of $85 million, or 15 cents per share, in the year-earlier period. Revenue rose 4 percent to $4.61 billion, compared with $4.44 billion in the year-earlier quarter. Fox said revenue from affiliate fees rose 1%, while ad revenue rose 4%.

Despite this, the company saw a boom in its cable operations, where it faced declines in affiliate fees, revenue and cash flow. Affiliate fees decreased $13 million due to a decline in subscribers, while ad revenue decreased slightly due to an increased supply of direct response advertising on Fox News. Direct-response advertisers typically pay less than more traditional, big-brand marketers, in exchange for a network having more say over when their ads can run.

Fox also cited higher sports rights fees for Fox Sports and “higher legal costs and increased digital investments in Fox News Media.” Fox is investing heavily in the programming of Fox Nation and Fox Weather and is engaged in a lawsuit against two voting technology firms over how their role in the 2020 presidential election was influenced by reports on the Fox News Channel and some of its personalities. Presented.

Fox CEO Lachlan Murdoch indicated during a call with investors on Wednesday that the company believes it is well positioned to consider strategic investments and acquisitions. Fox and its sister corporation, News Corp., recently decided to end their exploration of a possible reunion of the two companies, both of which are controlled by the Murdoch family.

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