News Corporation reported its financial results for the second quarter of fiscal 2025, revealing a total revenue of $2.238 billion for the three months ended December 31, 2024, a 5% increase from $2.135 billion in the same period last year. For the six months, revenues rose to $4.334 billion, up 4% from $4.166 billion. The company’s net income for the quarter was $283 million, compared to $183 million in the prior year, while net income for the six months reached $427 million, up from $241 million. The increase in profitability was attributed to higher revenues across several segments, particularly in Digital Real Estate Services and Book Publishing.
The company experienced notable changes in its revenue streams, with Digital Real Estate Services reporting a 13% increase in revenues for the quarter, driven by higher Australian residential revenues at REA Group. The Book Publishing segment also saw an 8% revenue increase, attributed to higher physical and digital book sales. However, the News Media segment faced a decline in revenues, primarily due to the transfer of third-party printing revenue contracts to a joint venture and lower advertising revenues. Overall, the company’s operating expenses decreased slightly, contributing to improved profitability.
Strategically, News Corporation is in the process of selling its Foxtel Group to DAZN Group Limited, a transaction expected to close in the second half of fiscal 2025. This sale has led to the classification of Foxtel’s assets and liabilities as held for sale, impacting the company’s financial reporting. The company also reported restructuring charges of $16 million for the quarter, reflecting ongoing efforts to streamline operations.
Operationally, News Corporation reported a total of 378 million shares of Class A Common Stock and 189 million shares of Class B Common Stock outstanding as of January 31, 2025. The company’s cash and cash equivalents stood at $1.751 billion, with total assets amounting to $16.161 billion. The company’s free cash flow for the six months ended December 31, 2024, was $121 million, an increase from $97 million in the prior year, indicating improved cash generation capabilities.
Looking ahead, News Corporation anticipates continued growth driven by its diversified media and information services. The company remains focused on enhancing its digital offerings and optimizing its operational efficiency. However, it acknowledges potential risks associated with market conditions and the ongoing sale of Foxtel, which may impact future performance.
About NEWS CORP
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