News Corp (NWS) investor relations material

Strategic vision and business pillars

• Focus remains on three core pillars: digital real estate, Dow Jones, and HarperCollins, all showing strong performance and profitability growth, with a 14% increase to $1.4 billion in the last year.

• Forward strategy emphasizes leveraging these pillars for continued growth, stability, and robust free cash flow over the next five years.

• Generative AI is identified as a transformative force, expected to impact every department and drive efficiency, personalization, and customer experience.

• Quality content is seen as a key advantage in the AI era, as AI systems require high-quality, contemporary inputs.

Segment performance and opportunities

• News segment faces both risks and opportunities from AI, especially regarding content integrity and legal liabilities.

• Digital real estate is positioned for growth through enhanced personalization and partnerships, aiming for realtor.com to become the U.S. market leader.

• Dow Jones B2B business now represents over half of segment profitability, with strong growth in Risk & Compliance and energy services.

• HarperCollins sees digital (especially audio) as a major growth driver, with AI expected to further enhance the reading and listening experience.

Investment, efficiency, and capital allocation

• Investment decisions are both top-down and bottom-up, relying on leadership expertise and team insights across segments.

• Recent acquisitions (e.g., OPIS Energy, Crunchyroll) have driven growth and efficiency, with a focus on creative integration.

• Margin improvement is ongoing, with last year’s margin rising from 15% to 16.7%, and further gains expected from digital and backlist offerings.

• AI is central to future efficiency gains, with ideas sourced from operational teams.

• A new $1 billion buyback was authorized, accelerating capital returns while maintaining capacity for strategic M&A.