8-K: News Corporation Continues $1 Billion Stock Repurchase Program, Discloses Latest Buyback Activity

News Corporation announced the continuation of its $1 billion stock repurchase program, detailing recent buyback transactions for both Class A and Class B common stock.

Summary

• News Corporation is continuing its previously authorized stock repurchase program, allowing for the acquisition of up to an aggregate of US$1 billion of its outstanding Class A and Class B common stock.
• The program involves repurchases from time to time in the open market or otherwise, subject to market conditions and stock price.
• As of June 18, 2025, the company has repurchased approximately US$686,804,846.21 worth of Class A and Class B shares under the program.
• This leaves approximately US$313,195,153.79 remaining under the US$1 billion authorization.
• On June 18, 2025, News Corporation bought back 12,327 shares of Class A common stock for US$345,768.65, with prices ranging from US$27.61 to US$28.26.
• On the same day, 6,173 shares of Class B common stock were repurchased for US$199,026.78, with prices ranging from US$31.84 to US$32.49.
• The total number of Class A common stock on issue is 375,518,773, and Class B common stock on issue is 153,184,907.
• Morgan Stanley & Co. LLC is the broker facilitating the buy-back.

Sentiment

Score: 7

Explanation: The document details the continuation of an ongoing stock repurchase program, which is generally viewed positively by investors as a means of returning capital and enhancing shareholder value. There are no negative surprises or adverse events reported, making the sentiment moderately positive and routine.

Positives

• The stock repurchase program is intended to enhance shareholder value.
• The ongoing buyback demonstrates the company's commitment to returning capital to shareholders.
• The program is active and has already utilized a significant portion of its authorization, indicating consistent capital allocation.

Risks

• Forward-looking statements regarding the intent to repurchase stock are subject to uncertainty and changes in circumstances.
• Actual results of the repurchase program may vary materially due to factors such as changes in the market price of the Company's stock, general market conditions, applicable securities laws, and alternative investment opportunities.
• The Company does not undertake any obligation to publicly update forward-looking statements unless required by law or regulation.

Future Outlook

News Corporation intends to continue repurchasing its Class A and Class B common stock from time to time, subject to market conditions, the market price of its stock, applicable securities laws, and alternative investment opportunities. The company explicitly states it does not undertake any obligation to publicly update these forward-looking statements unless legally required.

Management Comments

• Management's current expectations and beliefs support the intent to repurchase Class A and Class B common stock from time to time.
• The company's strategy for the buy-back is to enhance shareholder value.

Industry Context

Share repurchase programs are a common capital allocation strategy employed by mature companies with strong cash flows. They are often used to return value to shareholders, reduce the number of outstanding shares, and potentially boost earnings per share. News Corporation's ongoing program aligns with this industry trend, indicating a focus on shareholder returns.

Comparison to Industry Standards

• News Corporation's $1 billion share repurchase program is a substantial commitment, comparable to similar capital return initiatives undertaken by other large media and information services companies.
• The use of an 'on-market' or 'other buy-back' mechanism, executed through a major broker like Morgan Stanley & Co. LLC, is standard practice for publicly traded companies conducting buybacks.
• The stated reason 'to enhance shareholder value' is a common objective for such programs across various industries, reflecting a focus on optimizing capital structure and improving per-share metrics.

Stakeholder Impact

• Shareholders: The repurchase program is designed to enhance shareholder value by reducing the number of outstanding shares, potentially increasing earnings per share and supporting stock price.
• Employees, Customers, Suppliers, Creditors: No direct impact on these stakeholders is indicated by the stock repurchase program itself, as it primarily concerns capital allocation.

Next Steps

• News Corporation intends to continue repurchasing Class A and Class B common stock from time to time, subject to market conditions and other factors, until the US$1 billion authorization is fully utilized or the program is otherwise concluded.

Key Dates

Recommendation

Keywords

News Corporation, NWSA, NWS, stock repurchase, share buyback, capital allocation, shareholder value, common stock, Class A common stock, Class B common stock, SEC filing, 8-K, ASX notification