News Corporation (Class B)

NWS
Financial Analysis · Updated May 18, 2026 · Coverage 2026-Q2
Latest Q Revenue
$2.2B
Q3 FY2026 · +9% YoY · Beat consensus by 17%
TTM ROIC
4.8%
FY2025 · NOPAT / Invested Capital (NOPAT = Operating Income × (1 - 21% effective tax rate); Invested Capital = Total Equity + Net Debt + Goodwill amortized adjustments) · WACC ~8.5% · Moat spread +-3.7pp

Financial Snapshot

ticker: NWS step: 04 generated: 2026-05-13 source: quick-research

News Corporation (NWS) — Financial Snapshot

Income Statement Summary

Metric FY2022 FY2023 FY2024 YoY
Revenue ~$10.4B $9.90B $8.90B -10.1%
Total Segment EBITDA $1.67B ~$1.55B ~$1.60B ~+3%
Net Income ~$760M ~$1.4B* ~$700M n/m
Adj. EPS $1.20 ~$1.10 ~$0.90 n/m

FY2023 included gains from asset dispositions. Revenue decline in FY2024 largely reflects Foxtel deconsolidation and FX headwinds; underlying digital growth segments grew.

FY2025: Record profits expected; 11 consecutive quarters of EBITDA growth; FY2025 adj. EPS ~$0.89. FY2026E ~$0.97 (+9%).

Cash Flow & Balance Sheet (FY2024)

Metric Value
Operating Cash Flow ~$800M
Free Cash Flow ~$500M
Cash & Equivalents ~$2.0B
Total Debt ~$3.0B

Foxtel sale (April 2025) reduced debt and improved the balance sheet. $1B buyback plan underway.

Key Ratios (approximate)

  • P/E: ~27x (FY2025 adj.) | EV/EBITDA: ~10x | FCF Yield: ~3.5%
  • Digital revenue mix: 62% of total (vs. 32% in FY2018)

Growth Profile

News Corp's digital transformation is well advanced. Dow Jones subscription digital revenue accounts for 75% of circulation revenue; digital-only WSJ/Barron's subscriptions reached 5.9M (+10% YoY). REA Group (Australia) and Realtor.com drive Digital Real Estate growth. Q2 FY2025 (continuing operations ex-Foxtel): revenue +5%, net income +58%, Total Segment EBITDA +20%. AI licensing — OpenAI ($250M+ over 5 years) and Meta (~$50M/year) — is an emerging high-margin revenue line.

Forward Estimates

  • FY2026E adj. EPS: ~$0.97 (+9% vs FY2025 ~$0.89)
  • Digital Real Estate (Q2 FY2025): Revenue +17% to $473M; EBITDA +25% to $155M
  • Dow Jones digital subs: 5.9M (+10% YoY); total 6.4M (+8%)
  • AI licensing: OpenAI deal ~$250M/5yr + Meta ~$50M/yr; additional deals in negotiation
  • $1B share buyback: ongoing
  • Analyst avg. price target: ~$35.57 (Strong Buy consensus, 9 analysts; ~48% upside from ~$24)

Deeper Financial Analysis

The fundamental tier adds 9 additional research dimensions for $NWS.

Revenue Breakdown
Segment revenue, geographic mix, product-line contribution margins, and cohort dynamics.
Financial Trends
Quarter-over-quarter momentum, leading indicators, and inflection point analysis.
Balance Sheet
Debt structure, liquidity runway, dilution risk, and working capital dynamics.
Capital Allocation
Buyback cadence, M&A appetite, dividend policy, and reinvestment priorities.
Returns on Capital (ROIC)
Multi-year ROIC vs. WACC, marginal returns on reinvestment, sales-to-invested-capital efficiency, and moat spread.
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