Financial Data and Key Metrics Changes - Revenue for the first quarter of fiscal 2026 rose 2% year-over-year to $2.14 billion, while total segment EBITDA increased by 5% to $340 million [4][19] - Net income from continuing operations was $150 million, slightly up from $149 million last year, and adjusted EPS rose from $0.20 to $0.22 [4][20] - Total segment EBITDA was negatively impacted by a $13 million write-off related to a book distributor closure [19] Business Line Data and Key Metrics Changes - Dow Jones segment revenue increased by 6% to $586 million, with digital revenues accounting for 84% of this segment [20][21] - Digital real estate services reported revenues of $479 million, up 5% year-over-year, with segment EBITDA rising 13% to $158 million [25] - Book publishing segment revenue declined by 2% to $534 million, with EBITDA down 28% to $58 million, impacted by a $13 million write-off [28] Market Data and Key Metrics Changes - Digital revenues have almost doubled to 62% of total revenues since fiscal 2018, with Dow Jones and digital real estate accounting for 49% of revenue and 84% of EBITDA in fiscal 2025 [18] - Digital advertising revenues represented 68% of total advertising revenues for the quarter, a new record [9] Company Strategy and Development Direction - The company is focusing on maximizing shareholder value through accelerated share buybacks, with a current repurchase rate of approximately $2.5 million per day [17] - The strategy includes expanding partnerships in AI and digital content, while also addressing piracy issues in the industry [6][5] - The company aims to enhance its digital offerings and maintain a strong position in the professional information business [9][22] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the recovery in the housing market, driven by lower interest rates, which is expected to boost revenues in digital real estate [10][31] - The book publishing segment is anticipated to improve in the coming months, with recent trends showing a rebound in orders [16][31] - Management remains confident in the growth potential of Dow Jones and digital real estate, despite ongoing macroeconomic uncertainties [18][30] Other Important Information - The company has made strategic acquisitions, such as EcoMovement, to enhance its data offerings in the professional information sector [9][22] - The digital real estate segment is targeting growth in new homes, rentals, and premium offerings, which collectively accounted for 22% of revenues this quarter [10][26] Q&A Session Summary Question: Concerns about sustaining double-digit revenue growth at Realtor - Management highlighted the focus on growth areas such as sellers, new homes, and rentals, indicating a positive outlook for revenue growth despite current market conditions [33] Question: On the accelerated share repurchase program - Management confirmed the buyback rate has increased significantly and expressed willingness to further increase it if deemed optimal [35] Question: Impact of the Factiva dispute settlement on revenues - Management noted improved performance in Dow Jones, with a 16% increase in Risk and Compliance revenues, and mentioned new customer acquisitions [37] Question: Future simplification of the business structure - Management indicated openness to structural changes and emphasized the importance of maximizing shareholder returns [39] Question: Growth potential in Risk and Compliance - Management expressed optimism about continued growth in Risk and Compliance, driven by regulatory demands and new business opportunities [41] Question: Trajectory of the news media business - Management noted slight revenue growth and significant improvements in EBITDA, driven by cost efficiencies and strong advertising performance at the New York Post [42]

Core Insights - The segment profits of the group that publishes The Wall Street Journal, MarketWatch, and Barron's increased by 10% [1] Financial Performance - The group reported a 10% rise in segment profits, indicating strong financial performance in its publishing operations [1]

Group 1 - News Corp exceeded Wall Street revenue estimates for the first quarter [1] - Growth was primarily driven by the Dow Jones and digital real estate services segments [1]

Financial Performance - Total revenue for the first quarter of fiscal 2026 was $2.14 billion, a 2% increase from $2.10 billion in the prior year, driven by growth in Dow Jones and Digital Real Estate Services segments[8]. - Net income from continuing operations was $150 million, a 1% increase compared to $149 million in the prior year, while Total Segment EBITDA rose 5% to $340 million[5]. - Adjusted EPS increased to $0.22 from $0.20 in the prior year, while reported EPS from continuing operations decreased to $0.20 from $0.21[12]. - Total revenues for the three months ended September 30, 2025, were $2,144 million, compared to $2,096 million in the prior year, marking an increase of 2.3%[46]. - Net income attributable to News Corporation stockholders for the same period was $112 million, down from $119 million, a decrease of 5.9%[46]. - The company reported net cash provided by operating activities from continuing operations of $85 million for the three months ended September 30, 2025, compared to $26 million in the prior year, an increase of 226.9%[52]. - Total Segment EBITDA for Q3 2025 was $340 million, a 5% increase from $325 million in Q3 2024[55]. - Adjusted Revenues for Q3 2025 were $2,128 million, up 2% from $2,092 million in Q3 2024[59]. - Adjusted Total Segment EBITDA for Q3 2025 was $347 million, reflecting a 5% increase from $329 million in Q3 2024[61]. - For the three months ended September 30, 2025, net income attributable to News Corporation stockholders from continuing operations was $112 million, with diluted EPS of $0.20, compared to $118 million and $0.21 for the same period in 2024[65]. Revenue Breakdown - Dow Jones revenues increased by 6% to $586 million, supported by a 16% growth in Risk & Compliance revenues[15]. - Digital Real Estate Services revenues rose 5% to $479 million, with Move's revenues increasing 9% to $152 million, marking the highest quarterly growth since Q2 fiscal 2022[20][23]. - Book Publishing segment revenues decreased by 2% to $534 million, impacted by a $13 million write-off of a customer receivable[24][26]. - News Media revenues increased by 1% to $545 million, driven by higher circulation and subscription revenues[27]. - Dow Jones segment reported Adjusted Revenues of $579 million, a 5% increase from $552 million in Q3 2024[61]. - Digital Real Estate Services segment saw Adjusted Revenues rise by 7% to $485 million from $455 million in Q3 2024[61]. - Book Publishing segment's Adjusted Revenues decreased by 4% to $522 million from $546 million in Q3 2024[61]. - News Media segment reported Adjusted Revenues of $542 million, a slight increase of 1% from $539 million in Q3 2024[61]. Cash Flow and Expenditures - Free cash flow improved to $4 million from a negative $49 million in the prior year, primarily due to higher cash provided by operating activities[32]. - Cash and cash equivalents as of September 30, 2025, were $2,198 million, down from $2,403 million at the end of the previous quarter, a decrease of 8.5%[49]. - The company incurred capital expenditures of $81 million for the three months ended September 30, 2025, compared to $75 million in the prior year, an increase of 8.0%[52]. Digital Performance - Digital revenues accounted for 68% of total advertising revenues, with digital-only subscriptions to Dow Jones' consumer products growing 10% to nearly 5.9 million[18][19]. - As of September 30, 2025, News Corp Australia had 1,162,000 closing digital subscribers, up from 1,127,000 the previous year, representing a growth of 3.1%[35]. - The Times and Sunday Times reported 640,000 closing digital subscribers, an increase from 600,000 year-over-year, reflecting a growth of 6.7%[35]. - The Sun's digital offering reached 77 million global monthly unique users in September 2025, down from 80 million in the prior year, a decrease of 3.8%[35]. - New York Post's digital network had 94 million unique users in September 2025, down from 103 million the previous year, a decrease of 8.7%[35]. Currency Impact and Adjustments - The impact of foreign currency fluctuations on revenues was a decrease of $4 million in Q3 2025 compared to the previous year[59]. - Constant currency revenues are used by management to provide a clearer view of the company's core business performance, excluding the effects of foreign currency fluctuations[67][68]. - Impairment and restructuring charges amounted to $19 million, impacting adjusted EPS by $0.03 for the three months ended September 30, 2025[65]. - The company reported a tax impact of $7 million on the above items, resulting in an adjusted net income of $122 million and adjusted EPS of $0.22[65]. - Adjusted EPS for the company is calculated excluding certain non-operational items, providing a clearer view of operational performance[64].

Core Insights - Investors' share of home purchases increased to 10.8% in Q2 2025, up from 10.7% a year prior, as typical buyers faced affordability challenges [3][12] - Overall home sales declined by 4.2% year-over-year, while investor purchases fell only 2.7%, indicating a growing presence of investors in a shrinking market [3][12] - Investors are paying significant premiums in high-cost areas, with median purchase prices in some states exceeding typical local sales prices by up to 35% [2][4] Investor Activity by Region - In Western and coastal states, investors paid up to 35.1% above the median sale price in Montana, with other states like Utah and California also showing high premiums [2][4] - Conversely, in more affordable states like Michigan and Maryland, investors targeted lower-priced homes, with discounts exceeding 50% below typical sales prices [7][9] - Major metros such as Los Angeles and New York City saw significant premiums paid by investors, reflecting strong rental demand and affordability constraints [5][6] Market Dynamics - The gap between investor purchases and sales widened, with investors buying approximately 41,000 more homes than they sold in the first half of 2025, intensifying competition with typical buyers [12][13] - A clear split in investor strategies is observed, with some focusing on affordability and rental yield, while others are willing to pay premiums in markets with strong rental demand [14] - The concentration of investor activity remains in affordable, high-demand regions, with states like Missouri and Mississippi recording the highest investor buyer shares [10][11]

Core Insights - Elanco Animal Health has received Emergency Use Authorization (EUA) from the FDA for Credelio (lotilaner) to treat New World screwworm (NWS) infestations in dogs, marking the first EUA granted for this purpose in dogs [1][10] - The authorization is a proactive measure in response to confirmed NWS cases detected near the U.S.-Mexico border, allowing veterinarians and pet owners to have a treatment option ready [1][10] Summary by Sections Emergency Use Authorization - The EUA for Credelio is based on a study showing 100% efficacy against NWS larvae within 24 hours of treatment in naturally infested dogs [2] - The study was conducted on a limited population of eleven dogs in Brazil, raising questions about its applicability to the U.S. population [3] Treatment and Prevention - Effective parasite protection is crucial, as NWS infestations begin when female flies lay eggs on open wounds, with one female capable of laying 200-300 eggs at a time [4] - The U.S. Animal Plant Health and Inspection Service (APHIS) recommends protecting pets from wound-causing parasites to prevent NWS infestations [5] Veterinary Insights - Veterinarians emphasize the importance of preventing or rapidly treating wounds to protect pets from NWS, suggesting year-round flea and tick protection as a preventive measure [6] Company Background - Elanco Animal Health is a global leader in animal health, dedicated to innovating products and services for disease prevention and treatment in animals, with a commitment to improving animal health and community impact [9]

Core Viewpoint - News Corporation (NWS) is set to announce its fiscal first-quarter earnings for 2026, with analysts projecting a decline in profit per share compared to the previous year [1][2]. Financial Performance - Analysts expect NWS to report a profit of $0.16 per share on a diluted basis, which represents a 23.8% decrease from $0.21 per share in the same quarter last year [2]. - For the full fiscal year, the expected EPS is $0.79, down 11.2% from $0.89 in fiscal 2025, but is projected to rise to $0.95 in fiscal 2027, reflecting a 20.3% increase from the year-ago quarter [3]. Stock Performance - NWS stock has underperformed the S&P 500 Index, which gained 16.2% over the past 52 weeks, with NWS shares only increasing by 9% during the same period [4]. - The stock also lagged behind the Communication Services Select Sector SPDR ETF, which saw a 27.6% increase [4]. Analyst Ratings - The consensus opinion on NWS stock is bullish, with a "Strong Buy" rating from three out of four analysts, while one analyst recommends a "Hold" [6]. - The average analyst price target for NWS is $39.33, indicating a potential upside of 30.5% from current levels [6].

Core Viewpoint - News Corp CEO Robert Thomson criticized AI companies for prioritizing infrastructure investments over content creation, labeling this as a "fundamental miscalculation" [1][4]. Group 1: Investment in Content vs. Infrastructure - Thomson emphasized that AI businesses must invest significantly in "editorial content," which he considers essential for the functionality of AI systems [1][2]. - He pointed out that without substantial investment in content, AI companies risk undermining the value of their operations [1]. Group 2: Licensing and Legal Strategies - Under Thomson's leadership, News Corp has adopted a "woo or sue" strategy, engaging in licensing agreements with companies that respect copyrights while pursuing legal action against those that do not [2][3]. - News Corp's licensing deal with OpenAI, valued at over $250 million over five years, sets a precedent for future collaborations between media organizations and AI firms [3]. Group 3: Accountability and Rights Protection - Thomson highlighted the importance of transparency and accountability in the AI industry, advocating for news organizations to assert their rights proactively [6][10]. - He urged the media to continuously improve and not adopt a defensive stance, as this is not a winning strategy [8]. Group 4: Legal Landscape and Copyright Issues - A wave of copyright lawsuits has emerged against AI firms, with notable cases involving The New York Times and several other publishers [10][11]. - Thomson argued that creators of AI systems must be held responsible for the outcomes of their technologies, regardless of the complexities involved [9][10].

Core Insights - The median asking rent in New York City reached $3,599 in Q3 2025, marking a 5.4% increase year-over-year and a 20.2% rise compared to pre-pandemic levels [1][3] Rent Trends - Rents increased across all boroughs, with Brooklyn experiencing the highest growth at 6.8%, followed by Manhattan (6.0%), the Bronx (4.9%), and Queens (2.2%) [2] - Smaller apartments (up to two bedrooms) saw a median rent increase of 6.0% year-over-year, while larger units only grew by 1.0% [2] Affordability Challenges - Rent affordability remains a significant issue for New Yorkers, especially with the upcoming mayoral election [3] - Renters could afford to buy homes in nearby markets like Yonkers or Toms River with the same monthly payment as their rent, or even in more affordable cities like Philadelphia or Orlando [3][4] Home Buying Potential - Renters paying the median NYC rent could afford homes priced between $400,000 and $690,000 in various markets nationwide, assuming a 20% down payment and a 30-year fixed mortgage rate of 6.35% [4] - In Yonkers, NY, renters could afford the monthly cost of a typical home priced around $421,000, making it a viable option for transitioning to homeownership [5] Nearby Suburbs - New Jersey suburbs such as Toms River, Brick, Freehold, and Jersey City offer homes typically ranging from the mid-$400,000s to the upper $600,000s, which are affordable for renters with a Manhattan-level budget [6] Out-of-Metro Options - Renters could afford homes in out-of-metro markets like Philadelphia ($286,000), Pittsburgh ($276,000), Orlando ($391,000), and Myrtle Beach ($289,000) [8] - Naples, FL, is noted as the only popular out-of-metro destination that is generally out of reach for most renters due to higher home prices [8] Income Requirements - To afford typical NYC rentals under the "30% income rule," renters would need a gross monthly household income ranging from approximately $10,517 in the Bronx to $15,823 in Manhattan, translating to annual incomes between $126,000 and nearly $190,000 [8][9]

Core Insights - Nearly one in three homes sold in the first half of 2025 were purchased entirely with cash, indicating a strong influence of cash buyers in the housing market [1][2] - The share of all-cash transactions is 32.8%, slightly down from the previous year but still above pre-pandemic levels of 28.6% [2] - Cash buyers dominate at both ends of the market, with two-thirds of homes under $100,000 and over 40% of homes above $1 million being cash purchases [3] Cash Buyer Dynamics - Cash buyers are primarily high-wealth individuals, investors, and those with significant equity, allowing them to act quickly in competitive situations [3][4] - The prevalence of cash buyers varies significantly across states and metropolitan areas, influenced by local market dynamics and buyer demographics [5] Regional Insights - States with the highest cash share include Mississippi (49.6%), Montana (46.0%), and Idaho (45.0%), often reflecting lower home prices or affluent second-home buyers [6] - Major metropolitan areas with high cash shares include Miami (43.0%), San Antonio (39.6%), and Kansas City (39.2%), driven by various factors such as international demand and affordability [7] Year-over-Year Changes - States like West Virginia (+5.3%) and New Mexico (+4.0%) saw significant increases in cash share, while Hawaii (-4.0%) and New Hampshire (-3.7%) experienced declines [9] - Texas metros, particularly, have shown notable year-over-year gains in cash transactions, attributed to in-migration and renewed investor activity [9] Future Outlook - While cash buyers currently hold a competitive advantage, a decline in mortgage rates could shift the balance, potentially bringing more financed buyers back into the market [10][11]