8-K: News Corp Continues $2 Billion Share Buyback Program

News Corporation announced ongoing share repurchase activities for both Class A and Class B common stock under its existing $2 billion authorization.

Summary

• News Corporation operates two stock repurchase programs, the 2021 Repurchase Program and the 2025 Repurchase Program, each authorizing up to $1 billion for an aggregate of $2 billion.
• The programs target the company's Nasdaq-listed Class A and Class B common stock, with no ASX-listed CDIs being repurchased.
• As of September 25, 2025, approximately $782,292,747 worth of Class A and Class B shares have been purchased under the 2021 Repurchase Program.
• On September 25, 2025, 53,756 Class A shares were bought back for a total consideration of $1,628,064.97, with prices ranging from $30.12 to $30.43.
• On September 25, 2025, 23,399 Class B shares were bought back for a total consideration of $786,290.64, with prices ranging from $33.44 to $33.76.
• To date, a total of 24,218,263 Class A shares have been bought back for $516,357,565.
• To date, a total of 11,874,789 Class B shares have been bought back for $263,520,826.
• The primary reason for the buy-back is to enhance shareholder value.

Sentiment

Score: 8

Explanation: The ongoing and substantial share repurchase program, including the recent authorization of an additional $1 billion, is a strong positive signal for shareholders. It indicates management's commitment to returning capital and enhancing shareholder value, reflecting confidence in the company's financial position and future prospects.

Positives

• The ongoing share repurchase programs, with a substantial aggregate authorization of $2 billion, demonstrate the company's commitment to returning capital to shareholders.
• Repurchases are intended to enhance shareholder value, signaling management's confidence in the company's financial health and future prospects.
• The consistent execution of buybacks can support earnings per share and potentially stabilize or increase stock price.

Risks

• Actual results of repurchases may vary materially from forward-looking statements due to changes in the market price of the company's stock.
• General market conditions, applicable securities laws, and alternative investment opportunities could impact the effectiveness and execution of the buyback programs.
• Other risks, uncertainties, and factors described in the company's filings with the Securities and Exchange Commission could affect outcomes.

Future Outlook

The Company intends to repurchase, from time to time, in the open market or otherwise, a combination of its Class A common stock and Class B common stock, subject to market conditions and the market price of the Company's stock, as well as other factors.

Management Comments

• Management's current expectations and beliefs support the intent to repurchase Class A and Class B common stock.
• The company intends to repurchase shares from time to time, in the open market or otherwise, subject to market conditions and other factors.

Industry Context

Share buybacks are a standard corporate finance tool used by mature companies to return capital to shareholders, improve earnings per share, and signal management confidence. This action aligns with broader industry practices for companies with stable cash flows and a focus on optimizing capital structure.

Stakeholder Impact

• Shareholders: Potential for increased share price due to reduced share count, improved earnings per share, and enhanced shareholder value.
• Investors: Provides insight into the company's capital allocation strategy and management's confidence in the company's valuation.

Next Steps

• Continue repurchasing Class A and Class B common stock under the authorized programs.
• Provide daily disclosures to the Australian Securities Exchange (ASX) for transactions under the Repurchase Programs.
• Disclose information concerning the Repurchase Programs in the company's quarterly and annual reports.

Key Dates

Recommendation

The ongoing and substantial share repurchase programs, totaling $2 billion, signal management's confidence in the company's valuation and commitment to returning capital to shareholders. This action is typically accretive to earnings per share and can support stock price stability, making it a favorable factor for a 'buy' recommendation, especially for long-term investors.

Keywords

News Corporation, NWSA, NWS, stock repurchase, share buyback, capital return, shareholder value, Class A common stock, Class B common stock