Strong Quarter for Fox

Quarterly revenue was up 18% versus a year ago to $7.9 billion as three segments posted double-digit growth. The cable segment was up 14%, driven by 11% domestic affiliate fee growth, as Fox continues to drive fee growth at its core brands while expanding the sub base of its newer channels. Domestic advertising revenue improved by 1%, as the strength at Fox News and the FIFA World Cup more than offset the declines at the RSNs. International cable continues to expand with 25% revenue growth, driven by the improvement in affiliate fees (up 12%) and ad revenue (up 55%). EBITDA margin for the cable segment fell by 50 basis points to 38.7% as the revenue growth was more than offset by the increased programming and marketing costs at FX and increased Sports rights for FIFA World Cup and the IPL.

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