News Corp reports robust Q2 FY26 earnings growth

News Corp delivered higher revenue and EBITDA in Q2 FY26, driven by Dow Jones, digital, and real estate growth.

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The News Corporation (ASX: NWS) share price is on the move today after the company reported second quarter fiscal 2026 revenues of $2.36 billion, up 6% year over year, and a 9% lift in Total Segment EBITDA to $521 million.

What did News Corp report?

  • Second quarter revenue: $2.36 billion, up 6% from $2.24 billion last year
  • Net income from continuing operations: $242 million, down 21% (prior year included an $87 million gain)
  • Total Segment EBITDA: $521 million, up 9%
  • Reported EPS: $0.34; Adjusted EPS: $0.40 (up from $0.33 in prior year)
  • Dow Jones revenue grew 8% to $648 million; Record digital advertising revenue
  • Interim dividend: $0.10 per share, payable 8 April 2026

What else do investors need to know?

News Corp's results were powered by strong growth in its Dow Jones, Digital Real Estate Services, and Book Publishing businesses. Dow Jones saw an 8% boost in revenue, driven by double-digit growth at its Risk & Compliance division and a big jump in digital advertising.

REA Group Ltd (ASX: REA), which is majority-owned by News Corp, helped lift real estate services revenue by 8%, while Move (operator of Realtor.com) added 10% growth amid increased focus on premium products. Book Publishing revenue rose 6%, helped by new acquisitions and popular titles, although segment profits dipped due to a one-off $16 million inventory write-off at HarperCollins.

What did News Corp management say?

Chief Executive Robert Thomson said:

We are delighted to report excellent second quarter results with both revenue and profitability growth accelerating from the prior quarter, and we see favorable signs for the second half of our fiscal year. Revenues increased 6 percent to $2.4 billion for the quarter and profitability improved by a robust 9%. The second quarter results were driven by sustained growth at Dow Jones and Digital Real Estate Services, which both achieved double-digit profit growth and have started the calendar year strongly. Given the current trajectory of our core drivers, we believe prospects for the third quarter are auspicious…We also continued to actively execute on our expanded buyback program, which has been running at over four times the prior rate, reflecting our confidence in News Corp's strong cash position and belief in the intrinsic value of the Company.

What's next for News Corp?

The company will host a Dow Jones investor briefing in March 2026, highlighting the momentum in its information services division. Management says it remains confident in News Corp's prospects for the upcoming quarter, looking to further leverage digital subscriptions, advertising, and real estate services.

News Corp is also broadening partnerships, including expanding its AI agreement with Bloomberg for Dow Jones content. The board has reinforced its positive view of future performance by maintaining its share buyback program at an accelerated pace and declaring another interim dividend.

News Corporation share price snapshot

Over the past 12 months, News Corporation shares have declined 28%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 4% over the same period.

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Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

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