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

News Corporation announced further share repurchases of its Class A and Class B common stock under its ongoing US$2 billion buyback authorization.

Summary

• News Corporation is executing its stock repurchase programs, authorized for an aggregate of up to US$2 billion for its Class A and Class B common stock.
• The 2021 Repurchase Program authorized US$1 billion as of September 21, 2021, and an additional US$1 billion was authorized under the 2025 Repurchase Program as of July 15, 2025.
• On October 3, 2025, the company bought back a total of 84,456 shares (58,843 Class A and 25,613 Class B) for a total consideration of US$2,505,492.15.
• The highest price paid for Class A shares on October 3, 2025, was US$28.85, and the lowest was US$28.25.
• The highest price paid for Class B shares on October 3, 2025, was US$32.65, and the lowest was US$32.04.
• To date, approximately US$796,925,594 has been spent under the 2021 Repurchase Program.
• The remaining authorization under the 2021 Repurchase Program is US$203,074,406, and the full US$1 billion remains under the 2025 Repurchase Program, totaling US$1,203,074,406 available for future repurchases.

Sentiment

Score: 7

Explanation: The filing indicates continued execution of a significant share repurchase program, which is generally viewed positively by investors as it signals management confidence and a commitment to returning capital to shareholders, potentially supporting stock price and earnings per share.

Positives

• The ongoing share repurchase program demonstrates management's commitment to enhancing shareholder value.
• The company has a substantial remaining authorization of US$1,203,074,406 across its two programs, indicating continued potential for capital returns to shareholders.
• Repurchases can reduce the number of outstanding shares, potentially increasing earnings per share and supporting stock price.

Risks

• Actual results may vary materially from forward-looking statements due to changes in the market price of the company's stock.
• General market conditions could impact the effectiveness and execution of the repurchase programs.
• Applicable securities laws and alternative investment opportunities may influence the company's ability or decision to continue repurchases.
• Other risks, uncertainties, and factors described in the company's SEC filings could affect future outcomes.

Future Outlook

The company intends to continue repurchasing its Class A and Class B common stock from time to time in the open market or otherwise, subject to market conditions, stock price, and other factors, with the primary goal of enhancing shareholder value.

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

News Corporation's ongoing share repurchase program reflects a common capital allocation strategy among mature companies in the media and information services sector, aiming to return value to shareholders and optimize capital structure amidst evolving industry dynamics.

Comparison to Industry Standards

• NA

Stakeholder Impact

• Shareholders: Potential for increased earnings per share and stock price appreciation due to reduced share count, enhancing shareholder value.
• Investors: Provides transparency on the company's capital allocation strategy and ongoing commitment to returning capital.

Next Steps

• The company is authorized to continue acquiring Class A and Class B common stock under the remaining US$1,203,074,406 of its repurchase programs.
• Further daily buy-back notifications will be provided to the ASX as repurchases occur.

Key Dates

Recommendation

The ongoing and substantial share repurchase program signals strong management confidence in the company's valuation and future prospects. By actively reducing the share count, News Corporation is demonstrating a commitment to enhancing shareholder value, which can lead to improved earnings per share and a more favorable stock price over time. This consistent capital return strategy makes the stock attractive for investors seeking companies that prioritize shareholder returns.

Keywords

News Corporation, stock buyback, share repurchase, NWSA, NWS, media, publishing, information services, capital allocation, shareholder value