News Corp. (NWSA) Up 1.2% Since Last Earnings Report: Can It Continue?

Core Viewpoint - News Corporation reported strong second-quarter fiscal 2024 earnings, with significant year-over-year growth in earnings per share and revenues, driven by robust performance in Digital Real Estate Services and other segments [2][3]. Financial Performance - Earnings per share for Q2 fiscal 2024 were 26 cents, exceeding the Zacks Consensus Estimate by 30% and increasing 85.7% year over year [2]. - Revenues reached $2.59 billion, a 3% increase year over year, surpassing the consensus mark by 0.29% [2]. - Total EBITDA rose 16% to $473 million, aided by revenue growth and cost savings from a 5% headcount reduction initiative [3]. Segment Performance - Digital Real Estate Services: Revenues increased 9% to $419 million, driven by strong performance at REA Group, although Move experienced a 13% decline in revenues [4][5]. - Subscription Video Services: Revenues were $470 million, up 2% year over year, primarily due to higher revenues from Kayo and BINGE [6]. - Dow Jones: Revenues grew 4% to $584 million, with digital revenues accounting for 78% of total revenues [7][8]. - Book Publishing: Revenues increased 4% to $550 million, driven by digital book sales [9]. - News Media: Revenues dipped 3% to $563 million, primarily due to lower advertising revenues [10][11]. Key Metrics - Digital sales in Book Publishing rose 15% year over year, representing 21% of Consumer revenues [9]. - Average monthly unique users for Realtor.com remained flat at 66 million, with a 7% decline in lead volume [4]. - Total average subscriptions to Dow Jones' consumer products exceeded 5.4 million, a 10% increase year over year [8]. Financial Position - As of the end of the quarter, News Corporation had cash and cash equivalents of $1.724 billion and borrowings of $2.984 billion [13].