News Corporation (ASX: NWS) is turning heads with its latest financial performance. The global media giant posted revenue of US$2.36 billion for the second quarter of fiscal 2026, marking a solid 6 per cent increase from the prior year.
Figure 1: News Corporation corporate logo [News Corporation]
The Company’s profitability climbed even faster, with Total Segment EBITDA reaching US$521 million, up 9 per cent year-on-year. Chief Executive Robert Thomson emphasised the momentum across Dow Jones and Digital Real Estate Services, both delivering double-digit profit growth during the quarter.
Dow Jones Powers News Corp Revenue Growth with 8% Jump
News Corporation saw its Dow Jones segment deliver US$648 million in revenue for the quarter. This represents an 8 per cent increase compared to the same period last year. The growth came from multiple revenue streams within the division.
Risk & Compliance revenues surged 20 per cent to US$96 million during the quarter. Digital circulation revenues also contributed to the upward trajectory. Dow Jones achieved record digital advertising revenues, with digital channels now representing 82 per cent of total segment revenues.
Figure 2: Digital and total subscription growth across Dow Jones consumer products in Q2 FY2026 [News Corporation]
News Corp revenue growth results show that the Wall Street Journal added 502,000 net subscriptions year-on-year. Total subscriptions reached 4.7 million, with digital-only subscriptions climbing 13 per cent to 4.3 million. Segment EBITDA margins approached 30 per cent, reaching record levels for the division.
Digital Real Estate Services Segment Shows Momentum
The Digital Real Estate Services segment generated US$511 million in revenue during the quarter. This marked an 8 per cent increase from the prior year period. Both REA Group and Move contributed to the segment’s performance.
News Corp FY2026 Q2 results reveal that the REA Group revenues climbed 7 per cent to US$368 million. Australian residential price increases and add-on product growth drove the result. Sydney listings increased 7 per cent while Melbourne rose 4 per cent, despite a 3 per cent national decline.
Move, which operates Realtor.com, posted US$143 million in revenue for the quarter. The 10 per cent increase reflected higher sales of premium offerings. Lead volume jumped 13 per cent compared to the prior year. Monthly unique users reached 62 million, up 1 per cent year-on-year.
Book Publishing Hits Quarterly Record Despite Write-Off
News Corp revenue growth extended to its Book Publishing segment, which recorded US$633 million for the quarter. This represented a 6 per cent increase and a quarterly record for the division. Recent acquisitions contributed US$15 million to the total.
Christian Publishing performed strongly during the period. Physical book sales showed strength across multiple frontlist titles. Popular releases included “Wicked: The Official Visual Companion” and “How to Test Negative for Stupid.”
Figure 3: Generic representation of book publishing and reading activity [Freepik]
Segment EBITDA declined 2 per cent to US$99 million. News Corp FY2026 Q2 results included a US$16 million one-time write-off related to inventory at HarperCollins’ international operations. Without this charge, profitability would have shown improvement aligned with revenue gains.
News Media Segment Holds Steady Amid Market Shifts
The News Media segment delivered US$570 million in revenue, flat compared to the prior year. Higher circulation and subscription revenues offset declining advertising income. Digital revenues represented 43 per cent of the segment total.
Circulation revenues increased 4 per cent, benefiting from cover price increases in the UK and Australia. Digital subscriber growth continued across properties. The Times and Sunday Times reached 659,000 digital subscribers, up from 616,000 last year.
Advertising revenues fell 6 per cent during the quarter. Print advertising weakness drove the decline. News Corp FY2026 Q2 results explain that the segment EBITDA decreased 5 per cent to US$70 million, reflecting lower contribution from News Corp Australia and investment in the California Post launch.
News Corp Financial Results FY2026 Show Improved Cash Flow
News Corporation generated US$316 million in operating cash flow from continuing operations during the six-month period. This marked a US$38 million improvement from the prior year. Higher Total Segment EBITDA drove the increase.
News Corp FY2026 Q2 results demonstrate that the free cash flow reached US$136 million for the half, up from US$121 million last year. The Company maintained its share buyback programme at over four times the prior rate. Capital expenditures totalled US$180 million for the period.
Figure 4: Reconciliation of net income to Total Segment EBITDA, highlighting non-cash and one-off items [News Corporation]
Net income from continuing operations for the quarter was US$242 million. This represented a 21 per cent decrease from US$306 million last year. The decline reflected the absence of a US$87 million gain from REA Group’s PropertyGuru sale in the prior period.
Strategic Initiatives Position Company for Future Growth
News Corp revenue growth prospects gained support from expanded partnerships during the quarter. The Company extended its Bloomberg partnership to include AI rights for Dow Jones content. Management emphasised the premium value of provenance in AI applications.
Thomson highlighted growing recognition among technology companies regarding quality content. The Company is progressing with additional AI licensing negotiations. These deals position News Corp to monetise its intellectual property in emerging channels.
The Company declared a semi-annual dividend of US$0.10 per share. The payment date is set for 8 April 2026. News Corporation will host a Dow Jones investor briefing on 16 March in New York City.
Share Price Performance and Market Positioning
News Corporation shares closed at $39.395 on recent trading. The stock has a market capitalisation of $22.50 billion. The 52-week range spans from $37.460 to $57.160 per share.
Figure 5: News Corporation share price performance on the ASX over the past year [ASX]
Furthermore, News Corp FY2026 Q2 results show adjusted earnings per share for the quarter reached US$0.40. This compares to US$0.33 in the prior year period. Reported EPS from continuing operations was US$0.34, down from US$0.40 last year due to the PropertyGuru gain absence.
Final Thoughts
News Corp financial results FY2026 demonstrate balanced performance across diversified operations. The 6 per cent revenue increase and 9 per cent EBITDA growth reflect operational momentum. Dow Jones delivered particularly strong results with accelerating growth.
Digital transformation continues to advance across all segments. The Company’s content assets position it well for AI licensing opportunities. Management’s confidence appears reflected in the accelerated buyback programme and stable dividend policy.
FAQ
Q1. What was News Corp revenue growth in the second quarter of fiscal 2026?
Ans. News Corporation reported revenue of US$2.36 billion for the second quarter, representing a 6 per cent increase compared to US$2.24 billion in the prior year period.
Q2. Which segment showed the strongest performance for News Corp financial results FY2026?
Ans. Dow Jones delivered the strongest performance with 8 per cent revenue growth and 10 per cent Segment EBITDA growth, achieving record digital advertising revenues and near-30 per cent margins.
Q3. How many Wall Street Journal subscriptions does News Corp have?
Ans. The Wall Street Journal reached 4.7 million total subscriptions, with digital-only subscriptions growing 13 per cent to 4.3 million, representing 92 per cent of total subscriptions.
Q4. What is News Corp’s dividend for fiscal 2026?
Ans. The Company declared a semi-annual cash dividend of US$0.10 per share for Class A and Class B Common Stock, payable on 8 April 2026 to shareholders of record as of 11 March 2026.
