News (US:NWS)2024-08-08 20:17Financial Performance - Fourth quarter revenues were $2.58 billion, a 6% increase compared to $2.43 billion in the prior year, driven by growth in Digital Real Estate Services, Book Publishing, and Dow Jones segments[1]. - Net income for the quarter was $71 million, a $103 million improvement compared to a net loss of $(32) million in the prior year[5]. - Full year total revenues reached $10.09 billion, a 2% increase compared to $9.88 billion in the prior year[7]. - Full year net income was $354 million, a 89% increase compared to $187 million in the prior year[8]. - Total revenues for the three months ended June 30, 2024, were $2,577 million, an increase from $2,433 million for the same period in 2023, representing a growth of 5.9%[49]. - Net income attributable to News Corporation stockholders for the fiscal year ended June 30, 2024, was $266 million, compared to $149 million for the previous year, reflecting an increase of 78.5%[49]. - The company reported adjusted EPS of $0.09 for the three months ended June 30, 2024, compared to a loss of $0.01 for the same period in 2023[49]. - The company reported net cash provided by operating activities of $1,098 million for the fiscal year ended June 30, 2024, compared to $1,092 million for the previous year, a slight increase of 0.5%[52]. - The company reported a total adjusted net income of $403 million for the fiscal year ended June 30, 2024, compared to $283 million in the previous year, reflecting a 42% increase[81]. Segment Performance - Total Segment EBITDA for the fourth quarter was $380 million, an 11% increase from $341 million in the prior year, primarily due to strong contributions from Book Publishing and REA Group[5]. - Book Publishing revenues grew 15% in the quarter, with Segment EBITDA increasing by $41 million, driven by higher physical and digital book sales[1]. - REA Group reported revenues of $305 million, a 37% increase compared to the prior year, primarily due to strong Australian residential performance[1]. - Digital revenues at Dow Jones represented 81% of total revenues in the fourth quarter, up from 79% in the prior year, with circulation and subscription revenues increasing by $17 million, or 4%[22]. - Total average subscriptions to Dow Jones' consumer products grew by 11% to over 5.8 million, with digital-only subscriptions increasing by 16% to over 5.2 million[23]. - For the fourth quarter, digital-only subscriptions to The Wall Street Journal increased by 11% to 3.8 million, representing 89% of total subscriptions[24]. - Fiscal 2024 full year revenues for Book Publishing increased by $114 million, or 6%, driven by improved returns and higher digital book sales[31]. - Segment EBITDA for Book Publishing increased by $102 million, or 61%, primarily due to higher revenues and lower manufacturing costs[32]. - Fiscal 2024 full year revenues for News Media decreased by $80 million, or 4%, with advertising revenues down by $73 million, or 8%[36]. Subscriber Growth - Foxtel Group ended the fiscal year with over 3.2 million total paying streaming subscribers, reflecting strong performance in Kayo and BINGE[1]. - As of June 30, 2024, total paid streaming subscribers reached 4,776,000, an increase from 4,723,000 in the prior year, with Kayo and BINGE contributing significantly to this growth[19]. Cash and Assets - Cash and cash equivalents as of June 30, 2024, were $1,960 million, up from $1,833 million as of June 30, 2023, indicating a year-over-year increase of 6.9%[51]. - Total assets decreased to $16,684 million as of June 30, 2024, from $16,921 million a year earlier, a decline of 1.4%[51]. - Total current liabilities decreased to $3,055 million as of June 30, 2024, from $3,165 million a year earlier, a reduction of 3.5%[51]. - The company’s total equity increased to $9,011 million as of June 30, 2024, compared to $8,945 million in the previous year, reflecting a growth of 0.7%[51]. Strategic Initiatives - The company announced a landmark multi-year global partnership with OpenAI, expected to enhance its capabilities in the AI age[1]. - News Corporation's strategic focus includes potential acquisitions and investments to enhance its business performance, as indicated in its forward-looking statements[46]. - The company plans to continue focusing on market expansion and new product development to drive future growth[81]. Currency Impact - Fiscal 2024 full year revenues declined by $25 million, or 1%, primarily due to a $52 million negative impact from foreign currency fluctuations, while adjusted revenues increased by 1%[20]. - The impact of foreign currency fluctuations added $37 million to revenues for the fiscal year 2024[62]. - The impact of foreign currency fluctuations on total revenues was $15 million for the three months ended June 30, 2024[69].