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

News Corporation announced ongoing share repurchases under its combined $2 billion program, buying back Class A and Class B common stock to enhance shareholder value.

Summary

• News Corporation is continuing its stock repurchase programs for both Class A and Class B common stock.
• The company has two authorized programs: an initial US$1 billion program from September 21, 2021 (the 2021 Repurchase Program), and an additional US$1 billion authorized as of July 15, 2025 (the 2025 Repurchase Program), totaling US$2 billion in aggregate authorization.
• As of October 17, 2025, the company repurchased 70,004 Class A shares for US$1,819,347.96 and 30,471 Class B shares for US$898,988.96.
• Cumulatively, approximately US$823,951,553 worth of Class A and Class B shares have been purchased under the 2021 Repurchase Program.
• The repurchases are conducted from time to time in the open market or otherwise, with Goldman Sachs & Co. LLC acting as the broker, and are intended to enhance shareholder value.

Sentiment

Score: 7

Explanation: The ongoing and substantial share repurchase program indicates management's confidence in the company's valuation and commitment to returning capital to shareholders, which is generally viewed positively by the market.

Positives

• Ongoing commitment to return capital to shareholders through active share repurchases.
• A substantial aggregate authorization of US$2 billion for buybacks, comprising US$1 billion from 2021 and an additional US$1 billion from 2025.
• The stated reason for the buyback is to enhance shareholder value, indicating management's confidence in the company's valuation.

Risks

• Actual results of the repurchase program may vary materially from expectations due to changes in the market price of the Company's stock.
• General market conditions could impact the effectiveness or execution of the program.
• Applicable securities laws and alternative investment opportunities may influence repurchase decisions.
• Other risks, uncertainties, and factors described in the Company's SEC filings could affect the program's outcome.

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. These repurchases are subject to market conditions, the market price of the Company's stock, 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 the buy-back is to enhance shareholder value.

Industry Context

Share repurchase programs are a common capital allocation strategy for mature companies, particularly in the media and publishing sectors, to return value to shareholders. This ongoing program signals management's confidence in the company's valuation and financial health, aligning with broader industry trends where companies use buybacks to optimize capital structure and support stock prices.

Comparison to Industry Standards

• Many large media and publishing companies, such as Paramount Global (PARA) or Warner Bros. Discovery (WBD), regularly utilize share repurchase programs as a means of capital return and to support their stock price.
• News Corporation's US$2 billion aggregate program is substantial and comparable in scale to similar capital return initiatives by its peers, reflecting a common strategy to enhance shareholder value when management believes the stock is undervalued or to offset dilution from equity compensation.

Stakeholder Impact

• Shareholders: Potential for increased earnings per share and stock price appreciation due to a reduced share count, thereby enhancing shareholder value.
• Investors: Provides a signal of management's confidence in the company's financial position and a commitment to capital return, which can positively influence investor sentiment.

Next Steps

• The Company will continue to provide daily disclosures to the Australian Securities Exchange (ASX) regarding transactions under the Repurchase Programs.
• Information concerning the Repurchase Programs will also be disclosed in the Company's quarterly and annual reports filed with the SEC.

Key Dates

Recommendation

The ongoing share repurchase program is a positive signal of management's confidence and commitment to shareholder value. However, without additional financial performance data or strategic updates, a 'hold' recommendation is appropriate as the filing primarily details an expected capital allocation activity rather than new growth drivers or significant operational changes that would warrant a 'buy' or 'strong buy' rating.

Keywords

News Corporation, stock repurchase, share buyback, Class A common stock, Class B common stock, shareholder value, capital return, media, publishing