News Corporation (ASX: NWS), the multinational media powerhouse, announced an authoritative update on May 29, 2025, regarding its ongoing share buyback program designed to enhance shareholder value. This strategic repurchase initiative targets up to an aggregate of US\(1 billion of the Company’s Nasdaq-listed Class A and Class B common stocks in the open market. As of the latest announcement, News Corp has already acquired approximately US\)678.3 million worth of shares, translating to about 21.94 million securities bought back just recently, a significant liquidity deployment signal to investors.
The buyback program is executed without the need for shareholder approval and is free from foreign participation restrictions. Market dynamics and share price will continue to dictate the timing and volume of repurchases. Recent trading highlighted prices paid ranging from a low of US\(14.88 to a peak price of US\)30.69, demonstrating the company’s flexible market engagement strategy.
From a financial perspective, analyzing News Corp’s fiscal year 2024 performance puts the buyback into perspective. The company generated a total revenue of approximately \(10.085 billion and net income of \)266 million, resulting in a modest net profit margin of 2.64%. Their capital structure is marked by a debt to equity ratio of 2.69, indicating leverage usage that supports this aggressive share repurchase program. Total assets stood robust at \(16.68 billion against liabilities of \)7.67 billion, underscoring a solid balance sheet capable of sustaining shareholder returns and strategic investments.
Historical earnings call transcripts emphasized a consistent focus on enhancing shareholder value through disciplined capital management and market-responsive buyback activities. The ongoing buyback aligns well with previous management commentary on strengthening capital efficiency and returning excess cash to shareholders amid a favorable market backdrop.
This buyback program signals News Corp’s commitment to shareholder value enhancement amidst an environment of economic uncertainty and competitive media industry dynamics. By deploying capital strategically, News Corp aims to optimize its capital structure and deliver long-term value to its investors.
For investors seeking detailed insights into media industry capital strategies and News Corporation’s financial maneuvering, this buyback announcement provides a clear signal of disciplined financial stewardship.
Source Document: https://sec.gov/Archives/edgar/data/1564708/000156470825000290/appendix3cclassa05282025.htm
Tags: NWS, News Corporation, Q2 2025, share buyback program, capital structure, shareholder value enhancement