Financial analysis of News Corp

News Corp (NWS.US) — FY2025 Annual Report

News Corp closed fiscal 2025 with revenue of roughly $8.45 billion and net income attributable to stockholders of $1.18 billion, a striking jump from the $266 million reported a year earlier. Much of that increase appears tied to the divestiture of Foxtel, which contributed $692 million of income from discontinued operations, so the headline profit figure may overstate the underlying operating momentum. Even setting that aside, continuing operations improved meaningfully, with net income from continuing operations rising to $648 million from $379 million.

On the revenue side, top-line growth of about 2.4% seems modest, but the composition is telling. Digital Real Estate Services and Dow Jones both continued to expand, with real estate revenue reaching $1.41 billion, while the traditional News Media segment contracted for a third consecutive year to $2.17 billion. Advertising revenue continued its gradual decline to $1.37 billion, whereas circulation and subscription revenue grew to just over $3.0 billion — a shift that could reflect the company's ongoing pivot toward recurring, subscription-based income. Operating expenses declined even as revenue rose, and the sharp drop in News Media operating costs suggests active restructuring in the legacy print business. The net margin expansion to nearly 14% appears largely attributable to the discontinued operations gain rather than a fundamental margin reset.