News Corporation delivered exceptional fourth quarter results that underscore a fundamental shift in the company’s earnings profile. Net income from continuing operations surged 167% to $230 million, representing the highest profitability on record for a single quarter. Revenue growth accelerated to 11% year-on-year at $2.34 billion, while total segment EBITDA expanded 31% to $423 million, demonstrating strong operational leverage across the business.
The acceleration was driven by consistent contributions from News Corp’s core growth engines. Digital Real Estate Services showed particular strength, with REA Group delivering 21% revenue growth driven by robust Australian residential market performance featuring double-digit growth in yield and listing volumes, while Move (Realtor.com) grew revenues 13% through premium offerings and product innovation. Dow Jones reported 20% segment EBITDA growth from higher content licensing, digital circulation and a 10% increase in digital advertising revenues. Book Publishing contributed 15% revenue growth supported by a strong frontlist, higher backlist sales and accelerated digital revenues.
The fourth quarter strength flowed through to full year performance and cash generation. For fiscal 2026, revenues rose 7% to $9.03 billion, net income from continuing operations increased 15% to $743 million and total segment EBITDA was up 15% to $1.63 billion. Operating cash flow climbed 26% to $1.24 billion, while free cash flow reached $811 million, up 42% from the prior year. This cash generation reflects not only exceptional earnings but also the company’s improved working capital management.
The results signal a media conglomerate increasingly dependent on digital and real estate services for growth and profitability, a meaningful shift from traditional news and publishing. The 31% EBITDA growth in a single quarter combined with 26% operating cash flow growth demonstrates strong execution across digital platforms, customer acquisition and pricing initiatives. For investors, the generation of $811 million in annual free cash flow represents substantial financial flexibility for capital deployment, whether through strategic acquisitions, share buybacks or balance sheet optimization.
Investors should carefully monitor whether News Corp can sustain this fourth quarter momentum through fiscal 2027, particularly given cyclicality in real estate markets and advertising demand. REA Group’s outperformance in Australian residential and Dow Jones’ digital subscription and content licensing trajectory will be critical indicators of organic growth. This announcement is price sensitive and has been flagged as material by the ASX.
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About News Corporation Limited (ASX: NWS)
News Corporation Limited is a global media and information services company that creates and distributes content and data products through newspapers, digital platforms, broadcast services, and online channels operating in the United States, United Kingdom, Australia, and other international markets. The company operates through five main segments: Digital Real Estate Services (including its 61%-owned interest in REA Group), Dow Jones, Book Publishing (HarperCollins), News Media (operating mastheads including The Wall Street Journal, The Times, The Australian), and other businesses including Storyful and sports media. It generates revenues from news publishing, financial information services, property listings, book publishing, and digital media subscriptions.
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