"Our strategic investments in digital platforms are starting to show promising results, supporting our profit margins even when traditional revenue streams are pressured."
— CEO of News Corporation
03Detailed Report
0K7U.L
News Corporation
Period
Q2 2025
CurrencyUSD
Report TypeQuarterly Earnings
GeneratedMay 15, 2026
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Executive Summary
In Q2 2025, News Corporation reported a revenue of $2.238 billion, marking a year-over-year increase of 4.82%, although it represented a 13.15% decrease compared to the previous quarter. The notable story of this quarter was a remarkable surge in profitability; net income surged by 37.82% year-over-year to $215 million, with a strong EPS growth of 40.74% to $0.38. This performance reflects effectively managed costs and strategic pricing initiatives amid challenging market conditions. Management attributes this robust income growth to improved operational efficiencies and targeted investment in high-margin segments of their digital services. Such metrics, despite a sequential revenue decline, send a positive signal on the company's adaptability and health.
Key Performance Indicators
Revenue
Increasing
2.24B
QoQ: -13.15% | YoY: 4.82%
Gross Profit
Increasing
2.24B
1.00% margin
QoQ: -13.15% | YoY: 4.82%
Operating Income
Increasing
365.00M
QoQ: 61.50% | YoY: 25.86%
Net Income
Increasing
215.00M
QoQ: 80.67% | YoY: 37.82%
EPS
Increasing
0.38
QoQ: 80.95% | YoY: 40.74%
Revenue Trend
Margin Analysis
Financial Highlights
Key Financial Metrics for Q2 2025:
- Revenue: $2.238 billion (YoY up 4.82%, QoQ down 13.15%)
- Operating Income: $365 million (YoY up 25.86%, QoQ up 61.50%)
- Net Income: $215 million (YoY up 37.82%, QoQ up 80.67%)
- EPS: $0.38 (YoY up 40.74%, QoQ up 80.95%)
- Gross Profit Margin: 51.8%
- Net Profit Margin: 9.61%
This quarter showcased a strong rebound in operating income margins owing to strategic cost control and operational streamlining resulting in better profitability ratios despite the revenue decline.
Income Statement
Metric
Value
YoY Change
QoQ Change
Revenue
2.24B
4.82%
-13.15%
Gross Profit
2.24B
4.82%
-13.15%
Operating Income
365.00M
25.86%
61.50%
Net Income
215.00M
37.82%
80.67%
EPS
0.38
40.74%
80.95%
Key Financial Ratios
Gross Profit Margin
Good
51.80%
Gross profit margin is healthy and competitive within industry standards
Operating Profit Margin
Good
16.40%
Operating margin is healthy and competitive within industry standards
Net Profit Margin
Fair
9.61%
Net profit margin is moderate, room for improvement in cost management
Return on Assets
Weak
1.33%
Return on assets suggests inefficient capital allocation
Return on Equity
Weak
2.64%
Return on equity suggests inefficient capital allocation
Current Ratio
Healthy
1.73
Current ratio shows adequate liquidity to meet short-term obligations
Debt to Equity
Moderate
0.36
Debt-to-equity indicates balanced capital structure with manageable debt
P/E Ratio
Fair Value
18.28x
P/E ratio in line with market averages
Price to Book
Fair Value
1.93x
Price-to-book ratio reasonable for profitable companies
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