8-K: News Corp Continues $2B Stock Buyback Program

News Corporation reports daily share repurchases under its ongoing $2 billion stock buyback programs, aiming to enhance shareholder value.

Summary

• News Corporation is actively repurchasing its Class A and Class B common stock under two authorized programs totaling US$2 billion.
• The 2021 Repurchase Program authorized up to US$1 billion, and an additional US$1 billion was authorized under the 2025 Repurchase Program as of July 15, 2025.
• As of September 24, 2025, the company bought back 53,756 Class A shares for US$1,638,257.10 and 23,399 Class B shares for US$788,951.10 on that day.
• Cumulatively, under the 2021 Repurchase Program, approximately US$779,878,391 worth of Class A and Class B shares have been purchased.
• The remaining authorization for repurchases totals approximately US$1,220,121,609 (US$220,121,609 from 2021 program + US$1,000,000,000 from 2025 program).
• The buy-back is conducted in the open market or otherwise, through Goldman Sachs & Co. LLC, and is intended to enhance shareholder value.

Sentiment

Score: 8

Explanation: The filing indicates a strong, ongoing commitment to returning capital to shareholders through a substantial share repurchase program, including a recent additional US$1 billion authorization. This signals management's confidence in the company's valuation and financial health, which is generally positive for investors.

Positives

• Ongoing commitment to shareholder value enhancement through share repurchases.
• Significant remaining authorization of approximately US$1.22 billion across both repurchase programs.
• The recent authorization of an additional US$1 billion program in July 2025 demonstrates continued confidence and capital allocation strategy.

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.
• General risks, uncertainties, and other factors described in the Company's other SEC filings.

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, the market price of its stock, applicable securities laws, and alternative investment opportunities, under the existing US$2 billion authorization.

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.
• These statements are based on management's current expectations and beliefs and are subject to uncertainty and changes in circumstances.
• The reason for buy-back is to enhance shareholder value.

Industry Context

Share repurchase programs are a common capital allocation strategy among mature media and information services companies like News Corporation, often used to return capital to shareholders, improve earnings per share, and signal management's confidence in the company's valuation. This ongoing program aligns with broader industry practices for companies with strong cash flows and limited immediate high-return investment opportunities.

Comparison to Industry Standards

• News Corporation's US$2 billion repurchase authorization is substantial, reflecting a significant commitment to shareholder returns, comparable to similar programs by large-cap media conglomerates such as Paramount Global or Warner Bros. Discovery, which also utilize buybacks to manage capital and support stock prices.
• The use of Goldman Sachs & Co. LLC as a broker for the buyback is standard practice for large public companies executing open-market repurchases, ensuring efficient execution and compliance.
• The stated reason "to enhance shareholder value" is a common and widely accepted justification for share buybacks across industries, indicating a focus on improving per-share metrics and potentially reducing the cost of capital.

Stakeholder Impact

• Shareholders: Potential for increased earnings per share, improved stock valuation, and enhanced shareholder returns due to reduced share count.
• Employees: No direct impact mentioned in this filing.
• Customers: No direct impact mentioned in this filing.
• Suppliers: No direct impact mentioned in this filing.
• Creditors: No direct impact mentioned in this filing, as the buyback is funded by existing capital and does not indicate increased leverage.

Next Steps

• Continued execution of the Class A and Class B common stock repurchase programs.
• Daily disclosure of buy-back transactions to the Australian Securities Exchange (ASX).
• Disclosure of information concerning the Repurchase Programs in the Company's quarterly and annual reports.

Key Dates

Recommendation

The ongoing and recently expanded US$2 billion share repurchase program signals strong management confidence in News Corporation's intrinsic value and commitment to enhancing shareholder returns. With a significant portion of the authorization remaining, the company is actively deploying capital to reduce share count, which can lead to improved earnings per share and potentially support stock price appreciation. This proactive capital allocation strategy makes the stock an attractive 'buy' for investors seeking companies committed to returning value.

Keywords

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