8-K: News Corp Continues Share Buy-Backs, Nears 2021 Program Cap

News Corporation announced daily updates on its Class A and Class B common stock repurchase programs, nearing the completion of its 2021 authorization while continuing under its 2025 program.

Summary

• News Corporation reported daily buy-back activities for its Class A (NWSA) and Class B (NWS) common stock on December 30, 2025.
• The company repurchased 70,004 Class A shares for US$1,847,293.55 and 30,471 Class B shares for US$914,632.77 on December 30, 2025.
• Total shares bought back on December 30, 2025, amounted to 100,475 for a combined consideration of US$2,761,926.32.
• The company has two active repurchase programs: a US$1 billion program authorized on September 21, 2021 (2021 Repurchase Program), and an additional US$1 billion program authorized on July 15, 2025 (2025 Repurchase Program).
• To date, approximately US$961,478,146 worth of Class A and Class B shares have been purchased under the 2021 Repurchase Program.
• The remaining authorization for share repurchases totals approximately US$1,038,521,854, comprising the full US$1 billion from the 2025 program and the remaining US$38,521,854 from the 2021 program.
• The buy-backs are conducted in the open market or otherwise, through Goldman Sachs & Co. LLC, and are intended to enhance shareholder value.

Sentiment

Score: 7

Explanation: The sentiment is positive as the company is actively executing its share repurchase program, which typically enhances shareholder value and signals management's confidence. The substantial remaining authorization further supports this positive outlook.

Positives

• The ongoing share repurchase program demonstrates management's commitment to returning capital to shareholders and enhancing shareholder value.
• The company has significant remaining authorization of approximately US$1.04 billion across its two programs, indicating continued potential for share price support and EPS accretion.
• The consistent execution of buy-backs, as evidenced by daily notifications, suggests a disciplined approach to capital management.

Negatives

• No specific negatives were identified in the filing regarding the buy-back program itself.

Risks

• Actual results of the repurchase program may vary materially due to changes in the market price of the company's stock, general market conditions, applicable securities laws, and alternative investment opportunities.
• The company's ability to execute the buy-back is subject to various factors, including those described in its filings with the Securities and Exchange Commission.

Future Outlook

The company intends to continue repurchasing Class A and Class B common stock from time to time, in the open market or otherwise, subject to market conditions, the market price of its stock, and other factors. The forward-looking statements are based on management's current expectations and beliefs.

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 buy-back is to enhance shareholder value."

Industry Context

Share repurchase programs are a common strategy employed by mature companies with strong cash flows to return value to shareholders, reduce share count, and potentially boost earnings per share. News Corporation operates in the media and information services industry, where capital allocation strategies like buy-backs can signal financial stability and confidence in future prospects, especially in a dynamic market.

Comparison to Industry Standards

• News Corporation's ongoing share repurchase program aligns with common practices among large, established media and information companies that utilize excess capital to enhance shareholder returns.
• Companies like Comcast (CMCSA) and The Walt Disney Company (DIS) have historically engaged in significant share buy-backs, reflecting a similar strategy of capital return when organic growth opportunities or M&A targets are not prioritized.
• The authorization of US$2 billion in total buy-backs, with over US$1 billion remaining, represents a substantial commitment relative to News Corp's market capitalization, indicating a strong focus on shareholder value creation, comparable to peers with robust balance sheets.

Stakeholder Impact

• Shareholders: Potential for increased earnings per share (EPS) and enhanced shareholder value due to a reduced share count. The ongoing buy-back can also provide support for the stock price.
• Employees: No direct impact mentioned in the filing.
• Customers: No direct impact mentioned in the filing.
• Suppliers: No direct impact mentioned in the filing.
• Creditors: No direct impact mentioned in the filing, as buy-backs are typically funded by existing cash or debt that is already accounted for.

Next Steps

• The company will continue to repurchase Class A and Class B common stock under its authorized programs.
• Further daily disclosures of buy-back transactions will be provided to the Australian Securities Exchange (ASX) as required.
• Information concerning the repurchase programs will also be disclosed in the company's quarterly and annual reports.

Key Dates

Recommendation

The ongoing share repurchase program is a positive signal, demonstrating management's commitment to shareholder value and potentially supporting the stock price. However, as this is a continuation of an existing program and not a new, unexpected event, it primarily reinforces a 'hold' position for investors who already believe in the company's fundamentals. The buy-back itself doesn't fundamentally alter the company's operational outlook but rather optimizes capital structure.

Keywords

News Corporation, Share Repurchase, Stock Buyback, NWSA, NWS, Capital Management, Shareholder Value, SEC Filing, 8-K, ASX Notification