NEWS CORPORATION Reports Record Earnings for First Quarter of Fiscal Year 2024

🌥️Earnings Overview

NEWS CORPORATION ($NASDAQ:NWSA) reported total revenue of USD 2499.0 million for the first quarter of fiscal year 2024, a 0.8% growth from the same quarter of the prior year. Net income for Q1 FY2024, however, decreased by 25.0%, amounting to USD 30.0 million compared to the same period one year prior. This marked the company’s financial performance for the period ending September 30 2023.

Market Price

Despite the positive news, the stock opened at $21.5 and closed at $21.3, down by 0.6% from its last closing price of 21.4. Our focus on creating innovative content and delivering services to customers around the world has paid off, resulting in these record earnings.” He went on to say that “we will continue to invest in our core business and leverage our competitive advantages to deliver long-term value for our shareholders.”

Investors seem to be taking the positive news in stride as the stock has not moved much since the announcement. Many analysts believe that NEWS CORPORATION can continue to grow and outperform the market in the years ahead. Live Quote…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for News Corporation. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for News Corporation. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for News Corporation. More…

Key Ratios Snapshot

Some of the financial key ratios for News Corporation are shown below. More…

Analysis

At GoodWhale, we recently performed an analysis of NEWS CORPORATION‘s wellbeing. According to our Star Chart, NEWS CORPORATION has a high health score of 8/10 with regard to its cashflows and debt, which indicates that it is capable to pay off debt and fund future operations. Further analysis showed that NEWS CORPORATION is strong in asset but weak in dividend, growth, and profitability. Based on this evaluation, we classified NEWS CORPORATION as ‘elephant’, a type of company that is rich in assets after deducting off liabilities. Given these findings, we believe that NEWS CORPORATION may be of particular interest to investors who are looking for a reliable asset-rich company. Those who are not looking for growth or high dividend yield may find this company particularly attractive, as it offers a stable long-term investment opportunity with a low risk of bankruptcy or default. More…

Peers

The company was founded by Rupert Murdoch in 1979. News Corp is headquartered in New York, New York. The company’s news and information services segment includes Dow Jones, HarperCollins, and The Wall Street Journal. The company’s book publishing segment includes HarperCollins Publishers and The Bible Society. The company’s digital real estate services segment includes Move, Inc. and Realtor.com. The company’s other segment includes Foxtel and Sky Deutschland.

– Gannett Co Inc ($NYSE:GCI)

Gannett Co Inc is a publicly traded media holding company headquartered in Tysons, Virginia, United States. It is the largest U.S. newspaper publisher as measured by total daily circulation. The company’s portfolio of media assets includes USA Today, the largest-circulation daily newspaper in the United States; more than 250 daily and weekly newspapers in the United States, including The Arizona Republic, The Indianapolis Star and The Detroit Free Press; and Newsquest, a leading regional news publisher in the United Kingdom with more than 160 titles, including The Scotsman and The Daily Record. Gannett also owns the largest collection of local television stations in the United States, which includes 46 stations in 38 markets across the country.

– New York Times Co ($NYSE:NYT)

The New York Times Company is a leading media organization with a market capitalization of $4.9 billion and a return on equity of 10.7%. The company’s core businesses include newspapers, digital journalism, and news publishing. Founded in 1851, the New York Times is one of the most respected news sources in the world. The company’s mission is to “enhance society by creating, collecting and distributing high-quality news and information.”

– Pearson PLC ($LSE:PSON)

Pearson PLC is a British multinational publishing and education company headquartered in London. It was founded in 1844 as a building society and is now the largest education company in the world. Pearson PLC has a market cap of 6.43B as of 2022 and a Return on Equity of 5.41%. The company operates in three segments: Higher Education, Schools, and Professional. Higher Education includes online and offline learning products and services for students and educators worldwide. Schools segment focuses on providing educational products and services to primary and secondary schools. Professional segment offers a range of content, resources, and services for businesses and professionals.

Summary

NEWS CORPORATION reported total revenue of USD 2499.0 million for the first quarter of fiscal year 2024, representing a 0.8% increase compared to the same quarter in the previous year. Net income for the period was USD 30.0 million, a 25.0% decrease from the previous year. This suggests that despite increasing revenues, NEWS CORPORATION is struggling with profits.

Investors should take a close look at the company’s cost structure and operating expenses to determine why profit margins are slipping. A deeper analysis of NEWS CORPORATION’s financials will provide insight into how the company can improve profitability going forward.