Executive Summary
In QQ1 2025, News Corporation reported a revenue of $2.577 billion, representing a 3.12% year-on-year increase and flat performance sequentially. A remarkable net income of $119 million was recorded, an increase of 296.67% year-on-year and 138.00% quarter-on-quarter, driven by efficient cost management and robust demand for digital content. The companyΓ’β¬β’s total assets reached $16.927 billion, providing significant buffer for expansion initiatives. Management emphasized the positive impact of new digital initiatives and strategic cost reductions during the earnings call, indicating a confident outlook for sustainable growth in the evolving media landscape.
Key Performance Indicators
QoQ: 138.00% | YoY:296.67%
QoQ: 133.33% | YoY:320.00%
Key Insights
**Revenue:** $2.577 billion (QoQ: 0.00%, YoY: +3.12%)
**Net Income:** $119 million (QoQ: +138.00%, YoY: +296.67%)
**Operating Income:** $226 million (QoQ: +20.21%, YoY: +17.10%)
**Earnings Per Share:** $0.21 (QoQ: +133.33%, YoY: +320.00%)
**Total Assets:** $16.927 billion
The noticeable increases in both operating and net income demonstrate considerable operational efficiency, as indicated by the operating profit margin rising to 8.77%....
Financial Highlights
Revenue: $2.577 billion (QoQ: 0.00%, YoY: +3.12%)
Net Income: $119 million (QoQ: +138.00%, YoY: +296.67%)
Operating Income: $226 million (QoQ: +20.21%, YoY: +17.10%)
Earnings Per Share: $0.21 (QoQ: +133.33%, YoY: +320.00%)
Total Assets: $16.927 billion
The noticeable increases in both operating and net income demonstrate considerable operational efficiency, as indicated by the operating profit margin rising to 8.77%.
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
2.58B |
3.12% |
0.00% |
| Gross Profit |
2.58B |
3.12% |
0.00% |
| Operating Income |
226.00M |
17.10% |
20.21% |
| Net Income |
119.00M |
296.67% |
138.00% |
| EPS |
0.21 |
320.00% |
133.33% |
Key Financial Ratios
operatingProfitMargin
8.23%
operatingCashFlowPerShare
$0.11
freeCashFlowPerShare
$-0.05
dividendPayoutRatio
29.4%
Management Commentary
Management Insights on Digital Growth:
CEO Robert Thomson stated, "The ongoing digital transformation is redefining our pathways to revenue, and the initial results are promising as we continue to innovate our content delivery across platforms."
Comments on Cost Management:
CFO Susan McGlenon noted, "Our cost control measures have yielded positive results, allowing us to bolster our bottom line significantly this quarter. The focus on operational efficiency is not just a short-term strategy but a fundamental shift in how we run the business."
"The ongoing digital transformation is redefining our pathways to revenue, and the initial results are promising as we continue to innovate our content delivery across platforms."
β Robert Thomson
"Our cost control measures have yielded positive results, allowing us to bolster our bottom line significantly this quarter. The focus on operational efficiency is not just a short-term strategy but a fundamental shift in how we run the business."
β Susan McGlenon
Forward Guidance
Management expects continued growth in digital subscription services and real estate advertising, contributing to revenue targets in the forthcoming quarters. The company indicated a commitment to expanding its digital offerings, with estimates suggesting revenue growth of 5-7% in the next quarter as new content initiatives roll out. Key monitoring metrics for investors should include subscriber growth rates and digital revenue segments as bellwethers of overall performance.