News Corp Reports Strong Fiscal 2024 Fourth Quarter and Full Year Financial Results
Intellectia.AI Updated: 2024-08-12
News Corp Reports Strong Fiscal 2024 Fourth Quarter and Full Year Financial Results
News Corporation (NASDAQ: NWS, NWSA, ASX: NWS, NWSLV) today announced its financial results for the fourth quarter and fiscal year ended June 30, 2024.
Key Financial Metrics
| Metric | Q4 FY2024 | Q4 FY2023 | YoY Change | Q3 FY2024 | QoQ Change | Consensus Estimate |
|---|---|---|---|---|---|---|
| Revenue | $2.58 Billion | $2.43 Billion | +6% | $2.55 Billion | +1% | $2.57 Billion |
| Net Income | $71 Million | $(32) Million | N/A | $64 Million | +10% | N/A |
| EPS (Reported) | $0.09 | $(0.01) | N/A | $0.07 | +29% | $0.08 |
| Adjusted EPS | $0.17 | $0.14 | +21% | $0.16 | +6% | $0.15 |
Interpretation: News Corp demonstrated robust financial performance in Q4 FY2024 with a significant year-over-year increase in revenue and EPS. Both revenue and EPS exceeded analyst consensus estimates, indicating strong operational execution and market position.
Revenue Breakdown by Segment
| Segment | Q4 FY2024 Revenue | Q4 FY2023 Revenue | YoY Change |
|---|---|---|---|
| Digital Real Estate Services | $305 Million | $223 Million | +37% |
| Subscription Video Services | $506 Million | $501 Million | +1% |
| Dow Jones | $520 Million | $500 Million | +4% |
| Book Publishing | $506 Million | $440 Million | +15% |
| News Media | $468 Million | $494 Million | -5% |
Interpretation: Strong growth was seen in Digital Real Estate Services and Book Publishing, driven by higher demand and improved sales channels. The News Media segment faced challenges, mainly due to declining print volumes and the expiration of content licensing deals.
Operational Data
| Metric | Q4 FY2024 | Q4 FY2023 | YoY Change |
|---|---|---|---|
| Foxtel Group Streaming Subscribers | 3.2 Million | 2.8 Million | +14% |
| Dow Jones Total Subscriptions | 5.8 Million | 5.2 Million | +11% |
Comments from Company Officers
Robert Thomson, Chief Executive: "Fiscal 2024 was an outstanding year for News Corp, bolstered by significant gains across our core segments. Our partnership with OpenAI marks an era of transforming journalism through AI. We also express our gratitude for the global effort in the release of Evan Gershkovich."
Dividends and Share Repurchase Program
The company has declared a semi-annual cash dividend of $0.10 per share for Class A and Class B Common Stock, payable on October 9, 2024, to shareholders of record as of September 11, 2024.
Forward Guidance
News Corp did not provide specific forward guidance but noted its confidence in the long-term prospects and continued review of its portfolio to maximize shareholder returns.
Stock Price Movement
Following the earnings release, News Corp's stock price increased by 2.89%.
Conclusion: News Corp showcased an impressive financial performance in FY2024, driven mainly by strong results in Digital Real Estate Services and Book Publishing segments, along with solid operational metrics like the growth in streaming subscribers. The company remains optimistic about its future, supported by strategic partnerships and continuous portfolio evaluation.
