Bohemian Rhapsody’s Astounding $833 Million Gross Boosts Fox’s Financial Results
21st Century Fox beat analysts’ expectations for Q2 profit, thanks largely to Bohemian Rhapsody‘s release.
Fox posted earnings of 37 cents per share for Q2, but that’s still down 12% from last year. The company’s Q2 2018 earnings were 42 cents per share.
Analyst estimates for the company were 33 cents per share.
Fox executives say the film and entertainment industry generated the bulk of the company’s operating income. Q2 2019 saw $193 million in operating income, up 47% from the previous year ($131 million).
The worldwide theatrical performance of Bohemian Rhapsody brought in more than $833.4 million.
Fox executive chairmen Rupert and Lachlan Murdoch are pleased with the financial results.
“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 including the effectiveness of the Form 10.”
Fox’s TV division reported a $22 million dollar loss, but that’s less than the $78 million lost in the same quarter last year. Losses resulted from an increase in TV expenses, mostly around sports programming costs related to the NFL.
Disney CEO Bob Iger says his company expects to finish their deal with Fox later this year.
Currently, Disney is waiting for regulatory approval to finish its nearly $72 billion dollar acquisition of Fox’s film and TV business. The deal between Disney and Fox is expected to close in the first half of 2019. After that, Fox’s core business will focus on news, sports, and broadcast businesses.
The aging Murdoch brothers’ health likely resulted in the decision to sell off these entertainment assets to Disney.
Bohemian Rhapsody‘s performance was a fine finishing note for Fox’s entertainment business. Critics widely panned the film for offering only a glimpse at Freddie Mercury’s life, but grossing nearly $1 billion speaks for itself.