Fox Corp at UBS Global Media & Communications Conference Summary

The following is excerpted from the question-and-answer section of the transcript.

Question: John Hodulik - UBS - Analyst : <_ALACRA_META_ABSTRACT>Why don't we start off with just a couple of big overview question of how do you think the company's positioned and what are the priorities for Fox as you look out into 2025?

Question: John Hodulik - UBS - Analyst : Before we dig into some of the -- specifics for the -- for Fox and the fundamentals. Let's start with some recent headlines. Comcasts decision to spin out its cable networks. What are your thoughts on this move? And does it have any implications for Fox?

Question: John Hodulik - UBS - Analyst : Okay. And relative to peers, most of your linear programming, including your sports is still exclusive to TV and not available D2C. Can you talk about why this has been the right strategy for Fox and how it's translated into results?

Question: John Hodulik - UBS - Analyst : Absolutely. Can you talk about how Venu fits into the picture and what does that do for you in terms of monetizing your sports rights?

Question: John Hodulik - UBS - Analyst : So to the extent that Venu is not launched because of this lawsuit, how would will Fox adapt it? And would you consider your own D2C bundle based on your existing assets? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. DECEMBER 09, 2024 / 5:00PM, FOXA.OQ - Fox Corp at UBS Global Media & Communications Conference

Question: John Hodulik - UBS - Analyst : So if Venu doesn't work, do you think there'll be other competitors like Venu that emerge that try to bundle all just this? I think what you're talking about is just sort of putting together all these boards rights and something that makes it easier.

Question: John Hodulik - UBS - Analyst : Makes sense. So let's pivot to sports rights. You've obviously shown a willingness to sort of optimize your sports portfolio. Can you just talk about sort of how it sits now? And sort of the tradeoffs that come with some of the decisions you made around, say Thursday Night Football, WWE et cetera.

Question: John Hodulik - UBS - Analyst : And is there anything sort of up for bid that strikes your fancy right now? I mean, I think the big ones are our UFC and formula one coming up, but just in general, are you -- do you think you have the right level of spend here or are you -- or how should we expect that going forward.

Question: John Hodulik - UBS - Analyst : Great. Maybe switching over to advertising, obviously very strong results in the first quarter results on the advertising. How would you characterize the underlying sort of health of the TV advertising market? I mean, obviously political is going to help quite a bit here in the second quarter, but just how have things sort of played out as you look back at sort of calendar year '24.

Question: John Hodulik - UBS - Analyst : Let's drill down into the Fox News ratings. So, obviously there's been a lot written about sort of how the ratings in Cable News, pre and post-election. Fox has held up very well. How do you expect that to trend, given the results of the election as we look out into sort of fiscal '25, '26? I mean, do you think you guys can maintain the kind of momentum that you've seen?

Question: John Hodulik - UBS - Analyst : Do you think you're getting new viewers or is it just that the viewership on the other side has been coming down?

Question: John Hodulik - UBS - Analyst : And how is that resonating with advertisers? So, first of all, I'll start by asking about the mix of brand versus DR advertising on the channel. How is that sort of changed over time and then maybe any commentary on the DR market in general, given the headwinds that were lapping.

Question: John Hodulik - UBS - Analyst : A week ago, maybe it was a couple of weeks ago, there was a, we got a lot of inbound calls about, pharma advertising. So, the potential changes in rules that prevent the advertising against prescription drugs, is that a one, is that a concern for you? And then is it a meaningful part of your overall sort of ad base?

Question: John Hodulik - UBS - Analyst : got it. Then moving to Tubi, you pointed to very strong October for Tubi, did that continue in November? And then how are you thinking about for future growth from here?

Question: John Hodulik - UBS - Analyst : Yeah. Can you speak to the bottom line? Can you talk about the sort of monetizing all this traffic and the engagement? I mean do you see room for it. And the way that it's been explained to me, sort of the CPMs have been relatively steady but it's the fill rates that were -- that you guys used to run the business and any visibility on improving fill rates over time. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. DECEMBER 09, 2024 / 5:00PM, FOXA.OQ - Fox Corp at UBS Global Media & Communications Conference

Question: John Hodulik - UBS - Analyst : Makes sense.

Question: John Hodulik - UBS - Analyst : Speed of investment. So obviously, the digital investment has been a drag on EBITDA, although that's coming down. At what point can D2C become a profit generator and is there a way to sort of frame the long term margin opportunity?

Question: John Hodulik - UBS - Analyst : Makes sense. Okay, two more topics. One sports betting and capital allocation. First, can you help us think through the time frame for getting licenses? Is it fair to assume that you would exercise the FanDuel's option once you are licensed?

Question: John Hodulik - UBS - Analyst : It would seem that -- is there anything you guys can do to sort of help to sort of start to monetize or leverage that relationship now, before you get licensed, like, Fox Bet, you've wound that down, but it doesn't sound like -- I mean, you're not -- it doesn't seem like the company is right now doing anything from a sports betting standpoint given, as we talked about your huge portfolio of sports rights. Is there anything you can do before you get licensed or is it, maybe with an arm's length agreement with FanDuel or where is it? Do we wait for the strategy? We have to wait for the licensing process to play out before you --

Question: John Hodulik - UBS - Analyst : Sounds good. And lastly capital allocation, $4 billion in cash on the on the balance sheet, you get this question all the time. I'm sure not just from me. $2 billion free cash so annually, very, very little debt. I mean, how should we think of the uses of cash going forward? Is it a question of M&A versus share buybacks or just any sort of broad guidelines you can give us.

Question: John Hodulik - UBS - Analyst : Makes sense. Steve, thanks for being here.