21st Century Fox Sees Profit Gain

21st Century Fox’s second-quarter net income surged to $10.8 billion, boosted by the pre-tax gain on the sale of its stake in Sky to Comcast Corporation.

Revenues at the company rose to $8.5 billion, a 6-percent increase. Executive Chairmen Rupert and Lachlan Murdoch said, “Our company delivered another strong quarter of financial results, underpinned by distribution and advertising revenue increases at our domestic cable networks and broadcast businesses and the substantial gain on our sale of Sky. These results reflect our continued commitment to excellence in all aspects of our business. There has also been significant progress regarding the transaction with Disney and the spin-off of Fox Corporation. Lastly, it is a fitting tribute that our film and television production businesses were recently recognized with industry-leading Golden Globe wins and Academy Award nominations. Our achievements, including the value we have delivered for shareholders, are a credit to all our talented colleagues. Thanks to their hard work, we have created durable businesses for the long term, and strong momentum as we near the creation of Fox Corporation and the combination with Disney.”

Cable network programming revenues rose to $4.6 billion, with OIBDA rising to $1.45 billion, a 7-percent gain. While U.S. affiliate and advertising revenues were up, international revenues fell, impacted by currency fluctuations.

Television revenues were up to $2.1 billion, but the segment posted a loss of $22 million, largely from expenses related to Thursday Night Football.

Filmed entertainment revenues slipped slightly to $2.2 billion but OIBDA increased to $193 million.

Fox says it expects the Disney transaction to close in the first half of the year.