8-K: News Corp Continues $1 Billion Stock Repurchase Program, Disclosing Daily Buy-Back Activity to ASX

News Corporation discloses its daily stock repurchase activity to the Australian Securities Exchange (ASX) as part of its ongoing $1 billion stock repurchase program.

Summary

• News Corporation is executing a stock repurchase program, authorized to buy back up to $1 billion of its Class A and Class B common stock.
• The company is required to disclose daily buy-back transactions to the ASX.
• As of the latest notification, News Corporation has repurchased approximately $675,486,266.22 worth of Class A and Class B shares.
• The buy-backs are conducted through Morgan Stanley & Co. LLC.
• The company repurchased 12,327 Class A shares for $348,577.98 and 6,173 Class B shares for $202,028.09 on May 20, 2025.
• The highest price paid for Class A shares was $30.69 on February 19, 2025, and the lowest price paid was $14.88 on September 29, 2022.
• The highest price paid for Class B shares was $35.25 on February 19, 2025, and the lowest price paid was $15.17 on September 29, 2022.

Sentiment

Score: 7

Explanation: The sentiment is moderately positive as the company is continuing its share repurchase program, which is generally viewed favorably by investors. However, the document also includes standard disclaimers about forward-looking statements and potential risks.

Positives

• The stock repurchase program aims to enhance shareholder value.
• The company is transparently disclosing its buy-back activities to the ASX.
• The repurchase program demonstrates confidence in the company's future prospects.

Risks

• The company's actual repurchase activity may vary based on market conditions, stock price, and other factors.
• Changes in securities laws or alternative investment opportunities could impact the repurchase program.
• Forward-looking statements regarding the repurchase program are subject to uncertainties.

Future Outlook

The company intends to repurchase shares from time to time, subject to market conditions and other factors.

Management Comments

• The company intends to repurchase, from time to time, in the open market or otherwise, a combination of the Company's Class A common stock and Class B common stock.
• The reason for buy-back is to enhance shareholder value.

Industry Context

Stock repurchase programs are a common method for companies to return capital to shareholders, potentially increasing earnings per share and signaling management's confidence in the company's future.

Comparison to Industry Standards

• Many large media companies, such as Disney (DIS) and Comcast (CMCSA), have also engaged in share repurchase programs to manage their capital structure and enhance shareholder returns.
• The size of News Corp's repurchase program is comparable to those of its peers, reflecting a similar approach to capital allocation.
• The daily disclosure to the ASX is specific to companies listed on that exchange and provides a high level of transparency.

Stakeholder Impact

• Shareholders may benefit from the increased earnings per share and potential stock price appreciation resulting from the buy-back program.
• The buy-back program has no immediate impact on employees, customers, suppliers, or creditors.

Next Steps

• News Corporation will continue to repurchase shares and disclose these transactions to the ASX on a daily basis.
• The company will also provide updates on the repurchase program in its quarterly and annual reports.

Key Dates

Keywords

stock repurchase, News Corporation, ASX, share buy-back, Class A common stock, Class B common stock, Morgan Stanley, shareholder value