21st Century Fox reported quarterly earnings that met analyst expectations, but revenue that fell short of estimates.
The company said it saw fiscal year second quarter earnings of 44 cents on $7.38 billion in revenue. Analysts had expected 21st Century Fox to report earnings of about 44 cents per share on $7.51 billion in revenue, according to a consensus estimate from Thomson Reuters.
Shares in 21st Century Fox dropped nearly 6 percent following an earnings conference call held by the company on Monday but have recovered slightly.
Revenue for the quarter was down about 1 percent from the $7.42 billion in the year-ago period, the company said, explaining the decline as the result of lower revenues generated at its filmed entertainment segment and the lack of revenues from its Shine production group.
"During the quarter, our cable business continued to drive our growth, delivering sustained increases in domestic affiliate fees and gains in advertising revenue, underscoring the power of our global brands and distinctive programming," Executive Chairmen Rupert and Lachlan Murdoch said in a statement, adding that they are encouraged by "progress" at the FOX Broadcast Network.
Wall Street had estimated that the company would report $1.65 billion in television revenue for the quarter, according to StreetAccount, but 21st Century Fox beat expectations, reporting revenue of $1.72 billion. It also beat on cable revenues, reporting $3.70 billion against estimates of $3.67 billion.
The company missed estimates, however, for its filmed entertainment sector, reporting revenue of $2.36 billion against estimates of $2.50 billion, according to StreetAccount.
The company revealed in early February that it is looking to reduce its staff overhead by $250 million in the coming 2017 fiscal year, according to Variety. 21st Century Fox is hoping to cut costs and is launching a voluntary buyout program for U.S. employees.
According to Variety, the bulk of staff reductions are slated to come from the television unit, but the company's film studio will also face reductions.
Shares in the company have fallen about 10 percent year-to-date — down roughly 27 percent over the last year.