What changed in this filing

/stocks — the workspaceLOADING

Item 8. Financial Statements and Supplementary Data

2025-08-06 compared with 2024-08-13 · 543 added, 542 removed, 1494 unchanged (42% of the section changed)

4 unchanged sentences

Reports of Independent Registered Public Accounting Firm (PCAOB ID:

Consolidated Statements of Operations for the F iscal Y ears E nded June 30, 202 4 , 202 3 and 202 2

Consolidated Statements of Operations for the F iscal Y ears E nded June 30, 202 5 , 202 4 a nd 2 023

Consolidated Statements of Comprehensive Income (Loss) for the F iscal Y ears E nded June 30, 202 5 , 202 4 and 20 23

4 unchanged sentences

Management’s Report on Internal Control Over Financial Reporting for June 30, 2025

Management of News Corporation is responsible for establishing and maintaining adequate internal control over financial reporting as defined in Rules 13a-15(f) and 15d-15(f) under the Securities Exchange Act of 1934, as amended, and for the assessment of the effectiveness of internal control over financial reporting.

News Corporation’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with accounting principles generally accepted in the United States of America.

The Company’s internal control over financial reporting includes those policies and procedures that:

3 unchanged sentences

• provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of assets that could have a material effect on the consolidated financial statements.

Internal control over financial reporting includes the controls themselves, monitoring and internal auditing practices and actions taken to correct deficiencies as identified.

Because of its inherent limitations, internal control over financial reporting, no matter how well designed, may not prevent or detect misstatements.

Accordingly, even effective internal control over financial reporting can provide only reasonable assurance with respect to financial statement preparation.

Also, the assessment of the effectiveness of internal control over financial reporting was made as of a specific date.

1 unchanged sentence

Management, including the Company’s principal executive officer and principal financial officer, conducted an assessment of the effectiveness of News Corporation’s internal control over financial reporting as of June 30, 2025, based on criteria for effective internal control over financial reporting described in the 2013 “Internal Control—Integrated Framework” issued by the Committee of Sponsoring Organizations of the Treadway Commission.

Management’s assessment included an evaluation of the design of News Corporation’s internal control over financial reporting and testing of the operational effectiveness of its internal control over financial reporting.

Based on this assessment and those criteria, management determined that, as of June 30, 2025, News Corporation maintained effective internal control over financial reporting.

Management reviewed the results of its assessment with the Audit Committee of News Corporation’s Board of Directors.

Based on this assessment, management did not identify any material weakness in the Company’s internal control over financial reporting, and management determined that, as of June 30, 2024, News Corporation maintained effective internal control over financial reporting.

Ernst & Young LLP, the independent registered public accounting firm who audited and reported on the Consolidated Financial Statements of News Corporation included in the Annual Report on Form 10-K for the fiscal year ended June 30, 2025, has audited the Company’s internal control over financial reporting.

49 unchanged sentences

Valuation of Goodwill

Description of the Matter As reflected in the Company’s consolidated financial statements, at June 30, 2024, the Company’s goodwill was $5,186 million.

As disclosed in Note 8 to the consolidated financial statements, goodwill is tested for impairment at least annually or more frequently if indicators of impairment require the performance of an interim impairment assessment.

Auditing management’s impairment test of goodwill was complex and highly judgmental due to the significant measurement uncertainty in determining the fair values of the reporting units.

In particular, the fair value estimates of the reporting units were sensitive to changes in significant assumptions such as discount rates, projected revenue growth rates earnings before interest, taxes, depreciation, and amortization (“EBITDA”) margins, and comparable company earnings multiples.

Description of the Matter As of June 30, 2025, the Company’s goodwill was $4,373 million.

As disclosed in Note 8 to the consolidated financial statements, goodwill is tested for impairment annually in the fourth quarter or earlier if events occur or circumstances change that would more likely than not reduce the fair values below their carrying amounts.

Auditing the Company’s annual goodwill impairment test was complex due to the significant judgment in estimating the fair value of a reporting unit when a quantitative assessment of fair value is performed.

In particular, the fair value estimates were sensitive to changes in significant assumptions such as the discount rate, projected revenue growth rate, and earnings before interest, taxes, depreciation, and amortization (“EBITDA”) margin.

All of these assumptions are affected by expected future market or economic conditions.

How We Addressed the Matter in Our Audit We obtained an understanding, evaluated the design and tested the operating effectiveness of controls over the Company’s goodwill impairment assessment process.

How We Addressed the Matter in Our Audit We obtained an understanding, evaluated the design and tested the operating effectiveness of controls over the Company’s goodwill quantitative impairment assessment process.

For example, we tested controls over management’s review of the significant assumptions and methodologies used in estimating the fair values of the reporting units.

We also tested management’s controls to validate that the data used in the valuation models was complete and accurate.

To test the fair values of the reporting units, our audit procedures included, among others, assessing methodologies and testing the completeness and accuracy of the underlying data used by the Company.

We performed sensitivity analyses over the significant assumptions to evaluate the change in the fair value of the reporting units resulting from changes in the assumptions.

Our testing procedures over the significant assumptions included, among others, comparing projected revenue growth rates and EBITDA margins to historical trends, while also considering changes in the Company’s business model.

We also involved an internal valuation professional to assist in evaluating the Company’s models, valuation methodology, and significant assumptions used in the fair value estimates.

To test the estimated fair value of a reporting unit when a quantitative impairment assessment was performed, our audit procedures included, among others, assessing methodologies and testing the completeness and accuracy of the underlying data used by the Company.

We performed sensitivity analyses over the significant assumptions identified to evaluate the change in the fair value of a reporting unit resulting from changes in the assumptions.

Our testing procedures over the significant assumptions included, among others, comparing projected revenue growth rates and EBITDA margins to historical trends, current industry and economic trends, while also considering changes in the Company’s business model.

We also involved our internal valuation specialists to assist in evaluating the Company’s models, valuation methodology, and significant assumptions used in the fair value estimates.

In addition, we tested management’s reconciliation of the fair value of the reporting units to the market capitalization of the Company.

25 unchanged sentences

6 ( 15 ) ( 6 ) ( 127 )

Interest expense, net ( 85 ) ( 100 ) ( 99 )

Interest income (expense), net 3 ( 18 ) ( 49 )

21 111 ( 59 ) 3

Income before income tax expense 546 330 812

Income tax expense 19 ( 192 ) ( 143 ) ( 52 )

Income before income tax expense from continuing operations 923 585 380

Income tax expense from continuing operations 19 ( 275 ) ( 206 ) ( 152 )

Net income from continuing operations 648 379 228

Net income (loss) from discontinued operations, net of tax 692 ( 25 ) ( 41 )

Net income 1,340 354 187

Net income attributable to noncontrolling interests ( 88 ) ( 38 ) ( 137 )

Net income attributable to noncontrolling interests from continuing operations ( 168 ) ( 110 ) ( 65 )

Net loss attributable to noncontrolling interests from discontinued operations 8 22 27

Net income attributable to News Corporation stockholders $ 1,180 $ 266 $ 149

Net income attributable to News Corporation stockholders per share:

Net income (loss) attributable to News Corporation stockholders per share:

Continuing operations

$ 0.85 $ 0.47 $ 0.28

Discontinued operations

1.23 — ( 0.02 )

$ 2.08 $ 0.47 $ 0.26

Continuing operations

$ 0.84 $ 0.47 $ 0.28

Discontinued operations

1.23 ( 0.01 ) ( 0.02 )

$ 2.07 $ 0.46 $ 0.26

The accompanying notes are an integral part of these audited consolidated financial statements.

6 unchanged sentences

Other comprehensive (loss) income:

Foreign currency translation adjustments

Foreign currency translation adjustments (a)

( 294 ) ( 13 ) —

Net change in the fair value of cash flow hedges (a)

Benefit plan adjustments, net (b)

Net change in the fair value of cash flow hedges (b)

( 13 ) ( 11 ) 12

Benefit plan adjustments, net (c)

( 18 ) 19 ( 7 )

Other comprehensive (loss) income ( 325 ) ( 5 ) 5

1 unchanged sentence

Net income attributable to noncontrolling interests ( 160 ) ( 88 ) ( 38 )

Other comprehensive loss attributable to noncontrolling interests (c)

Other comprehensive loss attributable to noncontrolling interests (d)

Comprehensive income attributable to News Corporation stockholders $ 888 $ 262 $ 172

(a) Net of income tax expense (benefit) of $( 4 ) million, $ 4 million and $ 7 million for the fiscal years ended June 30, 2024, 2023 and 2022, respectively.

(a) Primarily relates to the disposition of Foxtel for the fiscal year ended June 30, 2025.

(b) Net of income tax expense (benefit) of $( 4 ) million, $( 4 ) million and $ 4 million for the fiscal years ended June 30, 2025, 2024 and 2023, respectively.

(c) Net of income tax expense (benefit) of $( 7 ) million, $ 6 million and $( 2 ) million for the fiscal years ended June 30, 2025, 2024 and 2023, respectively.

(d) Primarily consists of foreign currency translation adjustments.

The accompanying notes are an integral part of these audited consolidated financial statements.

9 unchanged sentences

Other current assets 519 474

Current assets of discontinued operations

Total current assets 4,811 4,372

7 unchanged sentences

Other non-current assets 21 1,000 957

Non-current assets of discontinued operations

Total assets $ 15,504 $ 16,684

6 unchanged sentences

Other current liabilities 21 714 772

Current liabilities of discontinued operations

Total current liabilities 2,608 3,055

5 unchanged sentences

Other non-current liabilities 492 472

Non-current liabilities of discontinued operations

Commitments and contingencies 16

18 unchanged sentences

Net income $ 1,340 $ 354 $ 187

Adjustments to reconcile net income to net cash provided by operating activities:

Net (income) loss from discontinued operations, net of tax ( 692 ) 25 41

Net income from continuing operations 648 379 228

Adjustments to reconcile net income from continuing operations to net cash provided by operating activities from continuing operations:

Depreciation and amortization 459 440 415

8 unchanged sentences

Accounts payable and other liabilities ( 64 ) ( 81 ) 80

Net cash provided by operating activities 1,098 1,092 1,354

Net cash provided by operating activities from continuing operations 978 897 777

Investing activities:

5 unchanged sentences

Other, net ( 23 ) — ( 22 )

Net cash used in investing activities ( 524 ) ( 574 ) ( 2,076 )

Net cash used in investing activities from continuing operations ( 406 ) ( 410 ) ( 423 )

Financing activities:

4 unchanged sentences

Other, net ( 47 ) ( 63 ) ( 43 )

Net cash (used in) provided by financing activities ( 441 ) ( 501 ) 404

Net change in cash and cash equivalents 133 17 ( 318 )

Cash and cash equivalents, beginning of year 1,833 1,822 2,236

Effect of exchange rate changes on cash and cash equivalents ( 6 ) ( 6 ) ( 96 )

Cash and cash equivalents, end of year $ 1,960 $ 1,833 $ 1,822

Net cash used in financing activities from continuing operations ( 524 ) ( 483 ) ( 525 )

Cash flows from discontinued operations:

Net cash provided by operating activities from discontinued operations 156 201 314

Net cash provided by (used in) investing activities from discontinued operations 253 ( 114 ) ( 151 )

Net cash (used in) provided by financing activities from discontinued operations ( 39 ) 42 24

Net cash provided by discontinued operations 370 129 187

Net change in cash and cash equivalents, including discontinued operations 418 133 16

Effect of exchange rate changes on cash and cash equivalents, including discontinued operations 25 ( 6 ) ( 5 )

Cash and cash equivalents, including discontinued operations, beginning of year 1,960 1,833 1,822

Cash and cash equivalents, including discontinued operations, end of year 2,403 1,960 1,833

Cash and cash equivalents at end of period of discontinued operations — ( 88 ) ( 72 )

Cash and cash equivalents $ 2,403 $ 1,872 $ 1,761

The accompanying notes are an integral part of these audited consolidated financial statements.

3 unchanged sentences

Common Stock Class B

Common Stock Additional

Capital Accumulated

Deficit Accumulated

Comprehensive

Loss Total News

Equity Noncontrolling

Interests Total

Common Stock Additional Paid-in Capital

Accumulated Deficit

Accumulated Other Comprehensive Loss

Total News Corporation Equity

Noncontrolling Interests

Shares Amount Shares Amount

1 unchanged sentence

Net income — — — — — 149 — 149 38 187

Other comprehensive loss — — — — — — ( 329 ) ( 329 ) ( 97 ) ( 426 )

Other comprehensive income (loss) — — — — — — 23 23 ( 18 ) 5

Dividends — — — — ( 116 ) — — ( 116 ) ( 58 ) ( 174 )

4 unchanged sentences

Net income — — — — — 266 — 266 88 354

Other comprehensive income (loss) — — — — — — 23 23 ( 18 ) 5

Other comprehensive loss — — — — — — ( 4 ) ( 4 ) ( 1 ) ( 5 )

Dividends — — — — ( 114 ) — — ( 114 ) ( 58 ) ( 172 )

3 unchanged sentences

Net income — — — — — 1,180 — 1,180 160 1,340

Other comprehensive loss — — — — — — ( 4 ) ( 4 ) ( 1 ) ( 5 )

Other comprehensive loss — — — — — — ( 292 ) (a)

( 292 ) ( 33 ) ( 325 )

Dividends — — — — ( 114 ) — — ( 114 ) ( 71 ) ( 185 )

Share repurchases ( 4 ) — ( 1 ) — ( 113 ) ( 37 ) — ( 150 ) — ( 150 )

Other 2 — — — 25 — — 25 ( 19 ) 6

Other 2 — — — 31 ( 1 ) — 30 ( 332 ) (a)

Balance, June 30, 2025 377 $ 4 189 $ 2 $ 11,058 $ ( 747 ) $ ( 1,543 ) $ 8,774 $ 615 $ 9,389

(a) Primarily relates to the disposition of Foxtel.

The accompanying notes are an integral part of these audited consolidated financial statements.

3 unchanged sentences

News Corporation (together with its subsidiaries, “News Corporation,” “News Corp,” the “Company,” “we” or “us”) is a global diversified media and information services company comprised of businesses across a range of media, including:

digital real estate services, subscription video services in Australia, news and information services and book publishing.

information services and news, digital real estate services and book publishing.

As described below, on April 2, 2025, the Company completed the sale of the Foxtel Group (“Foxtel”).

The assets and liabilities, results of operations and cash flows of Foxtel have been classified as discontinued operations for all periods presented.

Furthermore, upon reclassification of Foxtel’s results, the Subscription Video Services segment ceased to be a reportable segment, and the residual results of the segment were aggregated into the News Media segment.

Unless indicated otherwise, the information in the notes to the Consolidated Financial Statements relates to the Company’s continuing operations.

See Note 3—Discontinued Operations.

Basis of Presentation

3 unchanged sentences

The Company maintains a 52-53 week fiscal year ending on the Sunday closest to June 30 in each year.

Fiscal 2024, fiscal 2023 and fiscal 2022 included 52, 52 and 53 weeks, respectively.

All references to the fiscal years ended June 30, 2024, 2023 and 2022 relate to the fiscal years ended June 30, 2024, July 2, 2023 and July 3, 2022, respectively.

Fiscal 2025, fiscal 2024 and fiscal 2023 each included 52 weeks.

All references to the fiscal years ended June 30, 2025, 2024 and 2023 relate to the fiscal years ended June 29, 2025, June 30, 2024 and July 2, 2023, respectively.

For convenience purposes, the Company continues to date its consolidated financial statements as of June 30.

Certain reclassifications have been made to the prior period consolidated financial statements to conform to the current fiscal year presentation.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

1 unchanged sentence

The Consolidated Financial Statements include the accounts of all majority-owned and controlled subsidiaries.

All significant intercompany accounts and transactions have been eliminated in consolidation, including the intercompany portion of transactions with equity method investees.

All significant intercompany accounts and transactions except those pertaining to Foxtel that are expected to continue after the sale have been eliminated in consolidation, including the intercompany portion of transactions with equity method investees.

In addition, the Company evaluates its relationships with other entities to identify whether they are variable interest entities (“VIEs”) as defined by ASC 810-10, Consolidation (“ASC 810-10”) , and whether the Company is the primary beneficiary.

30 unchanged sentences

Inventory, Net

Inventory primarily consists of programming rights, books and newsprint.

In accordance with ASC 920, programming rights and the related liabilities are recorded at the gross amount of the liabilities when the license period has begun, the cost of the program is determinable and the program is accepted and available for airing.

Programming costs are amortized based on the expected pattern of consumption over the license period or expected useful life of each program.

The pattern of consumption is based primarily on consumer viewership information as well as other factors.

The Company regularly reviews its programming assets for events or changes in circumstances that would indicate that the fair value of the programming asset may be less than its unamortized cost.

Changes in circumstances may result in a write-down of the asset to fair value.

The Company’s programming rights are substantially all monetized as a film group.

The amortization expense of programming costs, which is reflected within Operating expenses in the Statements of Operations, was $ 256 million for the fiscal year ended June 30, 2024.

Approximately $ 124 million, $ 42 million and $ 19 million of the unamortized programming costs as of June 30, 2024 are expected to be amortized in each of the fiscal years ending June 30, 2025, 2026 and 2027, respectively.

Inventory primarily consists of books and newsprint.

Inventory for books and newsprint are valued at the lower of cost or net realizable value.

Cost for non-programming inventory is determined by the weighted average cost method.

Cost for inventory is determined by the weighted average cost method.

The Company records a reserve for excess and obsolete inventory based upon a calculation using the historical usage rates, sales patterns of its products and specifically identified obsolete inventory.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Investments in and advances to equity investments or joint ventures in which the Company has significant influence, but is not the primary beneficiary, and has less than a controlling voting interest, are accounted for using the equity method.

3 unchanged sentences

The difference between the Company’s investment and its share of the fair value of the underlying net tangible assets of the investee upon acquisition is first allocated to either finite-lived intangibles, indefinite-lived intangibles or other assets and liabilities and the balance is attributed to goodwill.

The Company follows ASC 350 which requires that equity method finite-lived intangibles be amortized over their estimated useful life.

The Company follows ASC 350, Intangibles—Goodwill and Other (“ASC 350”) which requires that equity method finite-lived intangibles be amortized over their estimated useful life.

Such amortization is reflected in Equity (losses) earnings of affiliates in the Statements of Operations.

Indefinite-lived intangibles and goodwill are not amortized.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Investments in which the Company is presumed not to have significant influence (generally less than a 20% ownership interest) or does not have the ability to exercise significant influence are accounted for in accordance with ASC 825-10, Recognition and Measurement of Financial Assets and Financial Liabilities (“ASC 825-10”).

12 unchanged sentences

On an ongoing basis, the Company assesses whether the financial instruments used in hedging transactions continue to be highly effective.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The Company determines the fair values of its derivatives using standard valuation models.

The notional amounts of the derivative financial instruments do not necessarily represent amounts exchanged by the parties and, therefore, are not a direct measure of the Company’s exposure to the financial risks.

The amounts exchanged are calculated by reference to the notional amounts and by other terms of the derivatives, such as interest rates and foreign currency exchange rates.

The amounts exchanged are calculated by reference to the notional amounts and by other terms of the derivatives, such as interest rates.

The Company does not view the fair values of its derivatives in isolation, but rather in relation to the fair values or cash flows of the underlying hedged transactions or other exposures.

9 unchanged sentences

Amounts recorded in Accumulated other comprehensive loss are recognized in the Statements of Operations when the hedged forecasted transaction impacts income or if the forecasted transaction is no longer expected to occur.

Fair Value Hedges

Fair value hedges are used to mitigate the Company’s exposure to changes in the fair value of a recognized asset or liability, or an identified portion thereof, that is attributable to a particular risk and could affect income or expenses.

The hedged item is adjusted for gains and losses attributable to the risk being hedged and the derivative is remeasured to fair value.

The Company records the changes in the fair value of these items in the Statements of Operations.

Economic Hedges

Derivatives not designated as accounting hedge relationships or for which hedge accounting has been discontinued are referred to as economic hedges.

Economic hedges are those derivatives which the Company uses to mitigate its exposure to variability in the cash flows of a forecasted transaction or the fair value of a recognized asset or liability, but which do not qualify or were not designated for hedge accounting in accordance with ASC 815.

When a derivative is determined not to be highly effective as a hedge or the underlying hedged transaction is no longer probable, the Company discontinues hedge accounting prospectively.

The economic hedges are adjusted to fair value each period in Other, net in the Statements of Operations.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Property, Plant and Equipment

6 unchanged sentences

Refer to Note 7—Property, Plant and Equipment for further detail.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

ASC 360, Property, Plant, and Equipment and ASC 350 require the Company to periodically review the carrying amounts of its long-lived assets, including property, plant and equipment and finite-lived intangible assets, to determine whether current events or circumstances indicate that such carrying amounts may not be recoverable.

19 unchanged sentences

A lease is classified as an operating lease if it does not meet any one of these criteria.

The Company’s operating leases primarily consist of real estate, including office space, warehouse space and printing facilities, and satellite transponders for purposes of providing its subscription video services to consumers and its finance leases consist of satellite transponders.

The Company’s operating leases primarily consist of real estate, including office space, warehouse space and printing facilities.

The Company does no t have any finance leases.

For operating leases, minimum lease payments, including minimum scheduled rent increases, are recognized as rent expense on a straight-line basis over the applicable lease terms.

2 unchanged sentences

See Note 10—Leases.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Royalty Advances to Authors

5 unchanged sentences

Based on this information, the portion of any advance that the Company believes is not recoverable is expensed.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Business Combinations

2 unchanged sentences

The excess purchase price over the fair value of net tangible and identifiable intangible assets acquired is recorded as goodwill and is assigned to the reporting unit that is expected to benefit from the business combination as of the acquisition date.

Refer to Note 4—Acquisitions, Disposals and Other Transactions for further detail.

Goodwill and Intangible Assets

1 unchanged sentence

Goodwill is recorded as the difference between the cost of acquiring entities or businesses and amounts assigned to their tangible and identifiable intangible net assets.

In accordance with ASC 350, the Company’s goodwill and indefinite-lived intangible assets are tested annually during the fourth quarter for impairment or earlier if events occur or circumstances change that would more likely than not reduce the fair values below their carrying amounts.

In accordance with ASC 350, the Company’s goodwill and indefinite-lived intangible assets are tested for impairment annually during the fourth quarter or earlier if events occur or circumstances change that would more likely than not reduce the fair values below their carrying amounts.

Intangible assets with finite lives are amortized over their estimated useful lives.

2 unchanged sentences

Reporting units are determined based on an evaluation of the Company’s operating segments and the components making up those operating segments.

For purposes of its goodwill impairment review, the Company has identified REA Group, Move, Inc.

(“Move”), the Foxtel Group, Australian News Channel (“ANC”), Dow Jones, HarperCollins, the Australian newspapers, the U.K.

newspapers, Talk in the U.K., the New York Post , Storyful Limited (“Storyful”) and Wireless Group plc (“Wireless Group”) as its reporting units.

For purposes of its goodwill impairment review, the Company has identified Dow Jones, REA Group, Move, Inc.

(“Move”), HarperCollins, the Australian newspapers, the U.K.

newspapers, Wireless Group plc (“Wireless Group”), the New York Post , Australian News Channel (“ANC”) and Storyful Limited (“Storyful”) as its reporting units.

The Company also performs impairment reviews on its indefinite-lived intangible assets, including trademarks and tradenames, newspaper mastheads, publishing imprints and radio broadcast licenses.

7 unchanged sentences

If the Company concludes that the fair value of the reporting unit or the indefinite-lived intangible asset is less than its carrying value, an impairment will be recognized for the amount by which the carrying amount exceeds its fair value.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The methods used to estimate the fair value measurements of the Company’s reporting units and indefinite-lived intangible assets include those based on the income approach (including the discounted cash flow and relief-from-royalty methods) and those based on the market approach (primarily the guideline public company method).

6 unchanged sentences

See Note 8—Goodwill and Other Intangible Assets.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Loans and borrowings are initially recognized at the fair value of the consideration received.

6 unchanged sentences

The Company provides defined benefit pension, postretirement healthcare and defined contribution benefits to the Company’s eligible employees and retirees.

The Company accounts for its defined benefit pension, postretirement healthcare and defined contribution plans in accordance with ASC 715.

The Company accounts for its defined benefit pension, postretirement healthcare and defined contribution plans in accordance with ASC 715, Compensation—Retirement Benefits (“ASC 715”).

The expense recognized by the Company is determined using certain assumptions, including the discount rate, expected long-term rate of return of pension assets and mortality rates, among others.

14 unchanged sentences

The resulting fair value measurements of the assets are considered to be Level 3 measurements.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Treasury Stock

1 unchanged sentence

Upon the retirement of treasury stock, the Company allocates the value of treasury shares between common stock, additional paid-in capital and accumulated deficit.

All shares repurchased to date under the current stock repurchase program have been retired.

All shares repurchased to date under the 2021 Repurchase Program have been retired.

See Note 12—Stockholders' Equity.

1 unchanged sentence

Circulation and Subscription Revenues

Circulation and subscription revenues include subscription and single-copy sales of digital and print news products, information services subscription revenues and pay television broadcast and streaming subscription revenues.

Circulation and subscription revenues include subscription and single-copy sales of digital and print news products and information services subscription revenues.

Circulation revenues are based on the number of copies of the printed news products (through home-delivery subscriptions and single-copy sales) and/or digital subscriptions sold, and the associated rates charged to the customers.

Single-copy revenue is recognized at a point in time on the date the news products are sold to distribution outlets, net of provisions for related returns.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Revenues from home delivery and digital subscriptions are recognized over the subscription term as the news products and/or digital subscriptions are delivered.

2 unchanged sentences

Such amounts are recognized as revenue as the associated subscription is delivered.

Revenue generated from subscriptions to receive pay television broadcast, streaming, broadband and phone services for residential and commercial subscribers is recognized over time on a monthly basis as the services are provided.

Payment is generally received monthly in advance of providing services, and is deferred upon receipt.

Such amounts are recognized as revenue as the related services are provided.

Advertising Revenues

19 unchanged sentences

Payments are generally due monthly over the subscription term.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The Company also provides certain leads to agents and brokers at no upfront cost with the Company receiving a portion of the agent sales commission at the time a home transaction is closed.

2 unchanged sentences

Other revenues are recognized when the related services are performed or the product has been delivered.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Contracts with Multiple Performance Obligations

The Company has certain revenue contracts which contain multiple performance obligations such as print and digital advertising bundles, digital and print newspaper subscription bundles and bundled video service subscriptions.

The Company has certain revenue contracts which contain multiple performance obligations such as print and digital advertising bundles and digital and print newspaper subscription bundles.

Revenues derived from sales contracts that contain multiple products and services are allocated based on the relative standalone selling price of each performance obligation to be delivered.

15 unchanged sentences

Based on this information, the Company reserves a percentage of each dollar of product sales that provide the customer with the right of return.

Subscriber Acquisition Costs

Costs related to the acquisition of subscription video service customers primarily consist of amounts paid for third-party customer acquisitions, which consist of the cost of commissions paid to authorized retailers and dealers for subscribers added through their respective distribution channels, and the cost of hardware and installation subsidies for subscribers.

All costs, including hardware, installation and commissions, are expensed upon activation, except where legal ownership of the equipment is retained by the Company, in which case the cost of the equipment and direct and indirect installation costs are capitalized and depreciated over the respective useful life.

Advertising Expenses

3 unchanged sentences

Costs incurred for shipping and handling are reflected in Operating expenses in the Statements of Operations.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Translation of Foreign Currencies

3 unchanged sentences

Gains and losses from foreign currency transactions are generally included in income for the period.

The Company accounts for income taxes in accordance with ASC 740.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The Company accounts for income taxes in accordance with ASC 740, Income Taxes (“ASC 740”).

ASC 740 requires an asset and liability approach for financial accounting and reporting for income taxes.

13 unchanged sentences

Recently Issued Accounting Pronouncements

In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280):

In November 2023, the Financial Accounting Standards Board (“FASB”) issued ASU 2023-07, Segment Reporting (Topic 280):

Improvements to Reportable Segment Disclosures (“ASU 2023-07”).

The amendments in ASU 2023-07 expand public entities’ segment disclosures by requiring disclosure of significant segment expenses that are regularly provided to the chief operating decision maker and included within each reported measure of segment profit or loss, an amount and description of other segment items and expanded interim disclosures that align with those required annually, among other provisions.

ASU 2023-07 requires the amendments to be applied retrospectively and is effective for the Company for annual reporting periods beginning on July 1, 2024 and interim reporting periods beginning on July 1, 2025, with early adoption permitted.

The Company is currently evaluating the impact ASU 2023-07 will have on its consolidated financial statements.

The Company adopted ASU 2023-07 on a retrospective basis as of June 30, 2025.

Refer to Note 20—Segment Information for further discussion.

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740):

Improvements to Income Tax Disclosures (“ASU 2023-09”).

The amendments in ASU 2023-09 require a disaggregated approach to disclosure of material categories in effective tax rate reconciliations as well as disclosure of income taxes paid by specific domestic and foreign jurisdictions.

The amendments in ASU 2023-09 require disaggregated disclosure of material categories in effective tax rate reconciliations as well as disclosure of income taxes paid by specific domestic and foreign jurisdictions.

Additionally, the amendments eliminate certain disclosures currently required under Topic 740.

ASU 2023-09 is effective for the Company for annual reporting periods beginning on July 1, 2025, with early adoption permitted.

ASU 2023-09 is effective for the Company’s annual reporting periods beginning on July 1, 2025, with early adoption permitted.

The Company is currently evaluating the impact ASU 2023-09 will have on its consolidated financial statements.

In November 2024, the FASB issued ASU 2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40):

Disaggregation of Income Statement Expenses (“ASU 2024-03”).

The amendments in ASU 2024-03 require public entities to disclose specified information about certain costs and expenses.

ASU 2024-03 is effective for the Company’s annual reporting periods beginning on July 1, 2027 and interim reporting periods beginning on July 1, 2028, with early adoption permitted.

The Company is currently evaluating the impact ASU 2024-03 will have on its consolidated financial statements.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

In July 2025, the FASB issued ASU 2025-05 , Financial Instruments—Credit Losses (Topic 326):

Measurement of Credit Losses for Accounts Receivable and Contract Assets (“ASU 2025-05”).

The amendments in ASU 2025-05 provide entities with a practical expedient to simplify the estimation of expected credit losses on current accounts receivable and current contract assets that arise from transactions accounted for under ASC 606, Revenue from Contracts with Customers (“ASC 606”) by allowing the assumption that current conditions as of the balance sheet date will not change during the remaining life of the asset.

ASU 2025-05 is effective for the Company for its annual reporting periods beginning July 1, 2026, and interim reporting periods within those annual reporting periods, with early adoption permitted.

The Company is currently evaluating the impact ASU 2025-05 will have on its consolidated financial statements.

DISCONTINUED OPERATIONS

During the second quarter of fiscal 2025, the Company entered into a definitive agreement to sell Foxtel to DAZN Group Limited (“DAZN”), a global sports streaming platform, and the transaction closed on April 2, 2025.

Under the terms of the agreement, all amounts outstanding under Foxtel’s shareholder loans with News Corp (approximately $ 380 million) were repaid in full in cash at closing.

Foxtel’s third-party borrowings transferred with the business, and News Corp received a minority equity interest in DAZN of approximately 6 %, recorded at $ 648 million, and holds one seat on its Board of Directors.

See Note 6—Investments.

Telstra Group Ltd also sold its minority interest in Foxtel.

The Company recorded a pre-tax gain of $ 716 million within Net income (loss) from discontinued operations, net of tax, in the fiscal year ended June 30, 2025 as a result of the sale.

The assets and liabilities, results of operations and cash flows of Foxtel have been classified as discontinued operations for all periods presented in accordance with ASC 205-20, Discontinued Operations (“ASC 205-20”), as the disposition reflects a strategic shift that has, and will have, a major effect on the Company’s operations and financial results.

Upon reclassification of Foxtel’s results, the Company determined that the Subscription Video Services segment was no longer a reportable segment, and the residual results of the segment were aggregated into the News Media segment.

News Media segment results have been recast to reflect this change for all periods presented.

See Note 20—Segment Information.

In all periods presented, transactions between Foxtel and the continuing operations of the Company that are not expected to continue after the sale are eliminated, whereas those expected to continue are no longer eliminated.

The following table summarizes the results of operations from the discontinued operations of Foxtel for the fiscal years ended June 30, 2025, 2024 and 2023:

For the fiscal years ended June 30,

2025 2024 2023

(in millions)

Revenues $ 1,393 $ 1,908 $ 1,928

Operating expenses ( 940 ) ( 1,285 ) ( 1,259 )

Selling, general and administrative ( 236 ) ( 325 ) ( 338 )

Depreciation and amortization (a)

( 156 ) ( 294 ) ( 299 )

Impairment and restructuring charges ( 2 ) ( 5 ) ( 29 )

Interest expense, net ( 51 ) ( 67 ) ( 51 )

Other, net (b)

Income (loss) before income tax (expense) benefit 729 ( 39 ) ( 50 )

Income tax (expense) benefit ( 37 ) 14 9

Net income (loss) 692 ( 25 ) ( 41 )

Net loss attributable to noncontrolling interests 8 22 27

Net income (loss) attributable to News Corporation stockholders $ 700 $ ( 3 ) $ ( 14 )

(a) Depreciation and amortization is not recognized for long-lived assets subsequent to their classification as held for sale.

(b) For fiscal 2025, Other, net primarily consists of the $ 716 million pre-tax gain on the sale of Foxtel.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The following table summarizes the major classes of assets and liabilities of Foxtel classified as discontinued operations as of June 30, 2024:

June 30, 2024

(in millions)

Current assets:

Cash and cash equivalents $ 88

Receivables, net 83

Inventory, net 30

Other current assets 139

Total current assets 340

Non-current assets:

Investments 1

Property, plant and equipment, net 642

Operating lease right-of-use assets 153

Intangible assets, net 374

Other non-current assets 213

Total non-current assets $ 2,233

Total assets $ 2,573

Current liabilities:

Accounts payable $ 60

Accrued expenses 245

Deferred revenue 68

Current borrowings 45

Other current liabilities 133

Total current liabilities

Non-current liabilities:

Borrowings 762

Deferred income tax liabilities, net 98

Operating lease liabilities 115

Other non-current liabilities 20

Total non-current liabilities $ 995

Total liabilities $ 1,546

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Disaggregated Revenue

1 unchanged sentence

For the fiscal year ended June 30, 2025

Dow Jones Book

Dow Jones Digital Real Estate Services

Book Publishing

News Media Other

Total Revenues

(in millions)

7 unchanged sentences

For the fiscal year ended June 30, 2024

Dow Jones Book

Dow Jones Digital Real Estate Services

Book Publishing

News Media Other

Total Revenues

(in millions)

8 unchanged sentences

For the fiscal year ended June 30, 2023

Dow Jones Book

Dow Jones Digital Real Estate Services

Book Publishing

News Media Other

Total Revenues

(in millions)

20 unchanged sentences

(a) For the fiscal years ended June 30, 2025 and 2024, the Company recognized approximately $ 451 million and $ 504 million, respectively, of revenue which was included in the opening deferred revenue balance.

Contract assets were immaterial for disclosure as of June 30, 2024 and 2023.

The Company had contract assets of $ 53 million and $ 7 million as of June 30, 2025 and 2024, respectively.

Other Revenue Disclosures

4 unchanged sentences

The remaining transaction price related to unsatisfied performance obligations as of June 30, 2025 was approximately $ 1,138 million, of which approximately $ 442 million is expected to be recognized during fiscal 2026, $ 295 million is expected to be recognized in fiscal 2027 and $ 125 million is expected to be recognized in fiscal 2028, with the remainder to be recognized thereafter.

These amounts do not include (i) contracts with an expected duration of one year or less, (ii) contracts for which variable consideration is determined based on the customer’s subsequent sale or usage and (iii) variable consideration allocated to performance obligations accounted for under the series guidance that meets the allocation objective under ASC 606, Revenue from Contracts with Customers .

ACQUISITIONS, DISPOSALS AND OTHER TRANSACTIONS

In February 2022, the Company acquired the Oil Price Information Service business and related assets (“OPIS”) from S&P Global Inc.

(“S&P”) and IHS Markit Ltd.

for $ 1.15 billion in cash, subject to customary purchase price adjustments.

OPIS is a global industry standard for benchmark and reference pricing and news and analytics for the oil, natural gas liquids and biofuels industries.

The business also provides pricing and news and analytics for the coal, mining and metals end markets and insights and analytics in renewables and carbon pricing.

The acquisition enables Dow Jones to become a leading provider of energy and renewables information and furthers its goal of building the leading global business news and information platform for professionals.

OPIS is a subsidiary of Dow Jones, and its results are included in the Dow Jones segment.

As a result of the acquisition, the Company recorded net tangible liabilities of approximately $ 1 million primarily related to deferred revenue and accounts receivable and $ 620 million of identifiable intangible assets, consisting primarily of $ 528 million of customer relationships with a useful life of 20 years, $ 54 million in tradenames, including $ 48 million related to the OPIS tradename with an indefinite life, and $ 38 million related to technology with a weighted average useful life of six years .

In accordance with ASC 350, the excess of the total consideration over the fair values of the net tangible and intangible assets of $ 538 million was recorded as goodwill on the transaction.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

REA Group Sale of Malaysia and Thailand Businesses

In August 2021, REA Group acquired an 18 % interest ( 16.6 % on a diluted basis) in PropertyGuru Pte.

Ltd., now PropertyGuru Group Ltd.

(“PropertyGuru”), a leading digital property technology company operating marketplaces in Southeast Asia, in exchange for all shares of REA Group’s entities in Malaysia and Thailand.

The transaction was completed after REA Group entered into an agreement to sell its 27 % interest in its existing venture with 99.co.

The transaction creates a leading digital real estate services company in Southeast Asia, new opportunities for collaboration and access to a deeper pool of expertise, technology and investment in the region.

REA Group received one seat on the board of directors of PropertyGuru as part of the transaction.

In March 2022, PropertyGuru completed its merger with Bridgetown 2 Holdings Limited.

As a result of the merger and subsequent investments made in connection with the transaction, REA Group’s ownership interest in PropertyGuru was 17.5 % and a gain of approximately $ 15 million was recorded in Other, net.

Base Chemicals

In June 2022, the Company acquired the Base Chemicals (rebranded Chemical Market Analytics, “CMA”) business from S&P for $ 295 million in cash, subject to customary purchase price adjustments.

CMA provides pricing data, insights, analysis and forecasting for key base chemicals through its leading Market Advisory and World Analysis services.

The acquisition enables Dow Jones to become a leading provider of base chemicals information and furthers its goal of building the leading global business news and information platform for professionals.

CMA is operated by Dow Jones, and its results are included in the Dow Jones segment.

As a result of the acquisition, the Company recorded net tangible liabilities of approximately $ 22 million primarily related to deferred revenue and accounts receivable and $ 189 million of identifiable intangible assets, consisting primarily of $ 145 million of customer relationships with a useful life of 20 years, $ 31 million related to technology with a weighted average useful life of 14 years and $ 13 million in tradenames with a useful life of 20 years.

In accordance with ASC 350, the excess of the total consideration over the fair values of the net tangible and intangible assets of $ 121 million was recorded as goodwill on the transaction.

In June 2022, the Company acquired UpNest, Inc.

(rebranded RealChoice TM Selling) for closing cash consideration of approximately $ 45 million, subject to customary purchase price adjustments, and up to $ 15 million in future cash consideration based upon the achievement of certain performance objectives over the next two years .

The Company recorded an $ 8 million liability related to the contingent consideration, representing the estimated fair value.

RealChoice TM Selling is a real estate agent marketplace that matches home sellers and buyers with top local agents who compete for their business.

The RealChoice TM Selling acquisition helps Realtor.com ® further expand its services and support for home sellers and listing agents and brokers.

RealChoice TM Selling is a subsidiary of Move, and its results are included within the Digital Real Estate Services segment.

As a result of the acquisition, the Company recorded approximately $ 16 million of identifiable intangible assets, consisting primarily of customer relationships and technology platforms.

In accordance with ASC 350, the excess of the total consideration over the fair values of the net tangible and intangible assets of approximately $ 40 million was recorded as goodwill on the transaction.

RESTRUCTURING PROGRAMS

1 unchanged sentence

Fiscal 2025 Restructuring

The restructuring charges in fiscal 2024 primarily related to employee termination benefits, including those recorded in the first half of the fiscal year resulting from actions taken by the Company’s businesses in response to the headcount reduction initiative announced in February 2023.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The restructuring charges in fiscal 2025 primarily related to employee termination benefits.

Fiscal 2024 Restructuring

The restructuring charges in fiscal 2023 primarily related to employee termination benefits resulting from actions taken by the Company’s businesses in response to the headcount reductions announced in February 2023.

Fiscal 2023 Restructuring

The restructuring charges in fiscal 2022 primarily related to employee termination benefits.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Changes in restructuring program liabilities were as follows:

One-time employee termination benefits

(in millions)

1 unchanged sentence

( 86 ) ( 9 ) ( 95 )

( 3 ) — ( 3 )

Balance, June 30, 2023 $ 48 $ 41 $ 89

( 106 ) ( 12 ) ( 118 )

( 1 ) — ( 1 )

Balance, June 30, 2024 $ 24 $ 35 $ 59

11 unchanged sentences

Total Investments

(a) Equity method investments are primarily comprised of REA Group’s ownership interest in PropertyGuru.

(b) Equity and other securities are primarily comprised of Nexxen International, Ltd.

(formerly Tremor International Ltd.), certain investments in China, the Company’s investment in ARN Media Limited, which operates a portfolio of Australian radio media assets, and Dow Jones’ investment in an artificial intelligence-focused data analytics company.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

$ 1,016 $ 429

(a) Equity method investments include News UK’s joint venture with DMG Media.

In December 2024, REA Group’s interest in PropertyGuru was acquired by a third party.

A gain of approximately $ 87 million was recognized on the sale and recorded in Other, net.

See Note 21—Additional Financial Information.

(b) Equity and other securities are primarily comprised of the Company’s interest in DAZN, certain investments in China, Nexxen International, Ltd., REA Group’s investment in Athena Home Loans and RipJar Ltd., an artificial intelligence-focused data analytics company.

During fiscal 2025, the Company received an equity interest in DAZN of approximately 6 %, recorded at $ 648 million, in connection with the sale of Foxtel.

Refer to Note 3—Discontinued Operations for further discussion.

The Company has equity securities with quoted prices in active markets as well as equity securities without readily determinable fair market values.

Equity securities without readily determinable fair market values are valued at cost, less any impairment, plus or minus changes in fair value resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The components comprising total gains and losses on equity securities are set forth below:

2 unchanged sentences

(in millions)

Total losses recognized on equity securities

Total gains (losses) recognized on equity securities

$ 21 $ ( 13 ) $ ( 9 )

Net gains (losses) recognized on equity securities sold or impaired — — 2

Unrealized losses recognized on equity securities held at end of period

Unrealized gains (losses) recognized on equity securities held at end of period

$ 21 $ ( 13 ) $ ( 11 )

3 unchanged sentences

PROPERTY, PLANT AND EQUIPMENT

Lives As of June 30,

Original Useful Lives

As of June 30,

(in millions)

2 unchanged sentences

Buildings and leaseholds 3 to 50 years

Digital set top units and installations 5 to 10 years

Machinery and equipment 2 to 20 years

Capitalized software 2 to 15 years

Finance lease right-of-use assets 15 years

Construction in progress 113 86

8 unchanged sentences

Fixed Asset Impairments

During the fiscal year ended June 30, 2024, the Company recognized non-cash impairment charges of $ 22 million at the News Media segment related to the write-down of fixed assets associated with the combination of certain United Kingdom (“U.K.”) printing operations with those of a third party.

During the fiscal year ended June 30, 2022, the Company recognized non-cash impairment charges of $ 15 million related to the write-down of fixed assets associated with the shutdown and sale of certain U.S.

printing facilities at the Dow Jones segment.

During the fiscal year ended June 30, 2024, the Company recognized non-cash impairment charges of $ 22 million at the News Media segment related to the write-down of fixed assets associated with the combination of News UK’s printing operations with those of DMG Media.

NEWS CORPORATION

1 unchanged sentence

GOODWILL AND OTHER INTANGIBLE ASSETS

The carrying values of the Company’s intangible assets and related accumulated amortization for the fiscal years ended June 30, 2024 and June 30, 2023 were as follows:

The net carrying values of the Company’s intangible assets for the fiscal years ended June 30, 2025 and June 30, 2024 were as follows:

As of June 30,

7 unchanged sentences

Intangible Assets Subject to Amortization

Publishing rights (a)

Customer relationships (b)

Publishing rights

Customer relationships

Total intangible assets subject to amortization, net 1,000 1,065

Total Intangible assets, net $ 1,930 $ 1,948

(a) Net of accumulated amortization of $ 373 million and $ 341 million as of June 30, 2024 and 2023, respectively.

The useful lives of publishing rights range from 3 to 30 years primarily based on the weighted-average remaining contractual terms of the underlying publishing contracts and the Company’s estimates of the period within those terms that the asset is expected to generate a majority of its future cash flows.

(b) Net of accumulated amortization of $ 956 million and $ 846 million as of June 30, 2024 and 2023, respectively.

The useful lives of customer relationships range from 3 to 25 years.

The useful lives of these assets are estimated by applying historical attrition rates and determining the resulting period over which a majority of the accumulated undiscounted cash flows related to the customer relationships are expected to be generated.

The useful lives of other intangible assets range from 3 to 25 years.

The useful lives represent the periods over which these intangible assets are expected to contribute directly or indirectly to the Company’s future cash flows.

Information related to amortizable intangible assets and related accumulated amortization for the fiscal years ended June 30, 2025 and June 30, 2024 is summarized below:

As of June 30,

Accumulated Amortization

(in millions)

Publishing rights (a)

3 to 30 years

$ 677 $ 410 $ 267 $ 658 $ 373 $ 285

Customer relationships (b)

3 to 25 years

1,373 665 708 1,357 607 750

3 to 15 years

125 100 25 125 95 30

$ 2,175 $ 1,175 $ 1,000 $ 2,140 $ 1,075 $ 1,065

(a) The useful lives of publishing rights are primarily based on the weighted-average remaining contractual terms of the underlying publishing contracts and the Company’s estimates of the period within those terms that the asset is expected to generate a majority of its future cash flows.

(b) The useful lives of customer relationships are estimated by applying historical attrition rates and determining the resulting period over which a majority of the accumulated undiscounted cash flows related to the customer relationships are expected to be generated.

(c) The useful lives of other intangible assets represent the periods over which these intangible assets are expected to contribute directly or indirectly to the Company’s future cash flows.

Amortization expense related to amortizable intangible assets was $ 98 million, $ 99 million and $ 106 million for the fiscal years ended June 30, 2025, 2024 and 2023, respectively.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Based on the current amount of amortizable intangible assets, the estimated amortization expense for each of the succeeding five fiscal years is as follows:

2025—$ 151 million;

2026—$ 148 million;

2027—$ 143 million;

2028—$ 129 million;

and 2029—$ 94 million.

As of June 30, 2025

(in millions)

Fiscal 2026 $ 97

Fiscal 2027 92

Fiscal 2028 88

Fiscal 2029 83

Fiscal 2030 79

The changes in the carrying value of goodwill, by segment, are as follows:

Services Subscription

Video Services Dow Jones Book

Publishing News Media Total

Dow Jones Digital Real Estate Services

Book Publishing

News Media Total Goodwill

(in millions)

Balance, June 30, 2023 $ 2,195 $ 1,542 $ 413 $ 141 $ 4,291

Impairments — — — ( 9 ) ( 9 )

Foreign exchange and other — 2 ( 7 ) ( 1 ) ( 6 )

1 unchanged sentence

44 ( 8 ) 16 — 52

Impairments — ( 9 ) — — — ( 9 )

Foreign exchange and other — ( 21 ) 2 4 ( 15 )

Balance, June 30, 2025 $ 2,239 $ 1,575 $ 424 $ 135 $ 4,373

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The carrying amount of goodwill as of June 30, 2024 and 2023 reflected accumulated impairments of $ 4.9 billion and $ 4.8 billion, respectively, principally relating to impairments at the Dow Jones and News Media segments that were recognized prior to the Company’s separation of its businesses from Twenty-First Century Fox, Inc.

The carrying amount of goodwill as of June 30, 2025 and 2024 both reflected accumulated impairments of $ 3.9 billion principally relating to impairments at the Dow Jones and News Media segments that were recognized prior to the Company’s separation of its businesses from Twenty-First Century Fox, Inc.

(“21st Century Fox”) on June 28, 2013 (the “Separation”).

Annual Impairment Assessments

In accordance with ASC 350, the Company’s goodwill and indefinite-lived intangible assets are tested annually in the fourth quarter for impairment or earlier if events occur or circumstances change that would more likely than not reduce the fair values below their carrying amounts.

In accordance with ASC 350, the Company’s goodwill and indefinite-lived intangible assets are tested for impairment annually in the fourth quarter or earlier if events occur or circumstances change that would more likely than not reduce the fair values below their carrying amounts.

See Note 2—Summary of Significant Accounting Policies.

The performance of the Company’s annual impairment analysis resulted in impairments of $ 18 million to an indefinite-lived intangible asset and goodwill in fiscal 2024.

Significant unobservable inputs utilized in the income approach valuation method were discount rates (ranging from 8.0 % to 18.5 %), long-term growth rates (ranging from 1.0 % to 3.5 %) and royalty rates (ranging from 0.25 % to 7.0 %).

Significant unobservable inputs utilized in the market approach valuation method were EBITDA and revenue multiples from guideline public companies operating in similar industries (ranging from 5.5x to 11.8x and 2.0x to 2.8x, respectively) and control premiums (ranging from 5.0 % to 10.0 %).

The performance of the Company’s annual impairment analysis resulted in no impairments of indefinite-lived intangible assets or goodwill in fiscal 2025.

The Company utilized the qualitative assessment for certain of its reporting units and indefinite-lived intangible assets.

The qualitative tests performed considered various factors since the performance of the last quantitative test, including, but not limited to, macroeconomic conditions, industry and company-specific trends and parent company share price performance.

Significant unobservable inputs utilized in the income approach valuation method for quantitative assessments were discount rates (ranging from 8.0 % to 17.0 %), long-term growth rates (ranging from 2.0 % to 3.0 %) and royalty rates (ranging from 0.25 % to 5.0 %).

Significant unobservable inputs utilized in the market approach valuation method for quantitative assessments were EBITDA and revenue multiples from guideline public companies operating in similar industries (ranging from 5.0x to 10.0x and 2.0x to 2.8x, respectively) and control premiums (ranging from 5.0 % to 10.0 %).

Significant increases (decreases) in royalty rates, growth rates, control premiums and multiples, assuming no change in discount rates, would result in a significantly higher (lower) fair value measurement.

Significant decreases (increases) in discount rates, assuming no changes in royalty rates, growth rates, control premiums and multiples, would result in a significantly higher (lower) fair value measurement.

The performance of the Company’s annual impairment analysis resulted in impairments of $ 25 million to indefinite-lived intangible assets and no impairments to goodwill in fiscal 2023.

Significant unobservable inputs utilized in the income approach valuation method were discount rates (ranging from 8.5 % to 18.0 %), long-term growth rates (ranging from 1.0 % to 3.5 %) and royalty rates (ranging from 0.25 % to 7.0 %).

Significant unobservable inputs utilized in the market approach valuation method were EBITDA and revenue multiples from guideline public companies operating in similar industries (ranging from 6.0x to 11.5x and 2.0x to 2.8x, respectively) and control premiums (ranging from 5.0 % to 10.0 %).

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The performance of the Company’s annual impairment analysis resulted in impairments of $ 18 million to an indefinite-lived intangible asset and goodwill in fiscal 2024.

Significant unobservable inputs utilized in the income approach valuation method for quantitative assessments were discount rates (ranging from 8.0 % to 18.5 %), long-term growth rates (ranging from 1.0 % to 3.5 %) and royalty rates (ranging from 0.25 % to 7.0 %).

Significant unobservable inputs utilized in the market approach valuation method for quantitative assessments were EBITDA and revenue multiples from guideline public companies operating in similar industries (ranging from 5.5x to 11.8x and 2.0x to 2.8x, respectively) and control premiums (ranging from 5.0 % to 10.0 %).

The performance of the Company’s annual impairment analysis resulted in no impairments to goodwill and indefinite-lived intangible assets in fiscal 2022.

Significant unobservable inputs utilized in the income approach valuation method were discount rates (ranging from 8.0 % to 19.0 %), long-term growth rates (ranging from 1.0 % to 3.0 %) and royalty rates (ranging from 0.25 % to 7.0 %).

Significant unobservable inputs utilized in the market approach valuation method were EBITDA and revenue multiples from guideline public companies operating in similar industries (ranging from 2.5x to 10.0x and 1.3x to 1.8x, respectively) and control premiums (ranging from 5.0 % to 10.0 %).

The performance of the Company’s annual impairment analysis resulted in impairments of $ 2 million to indefinite-lived intangible assets and no impairments to goodwill in fiscal 2023.

Significant unobservable inputs utilized in the income approach valuation method for quantitative assessments were discount rates (ranging from 8.5 % to 18.0 %), long-term growth rates (ranging from 1.0 % to 3.5 %) and royalty rates (ranging from 0.25 % to 7.0 %).

Significant unobservable inputs utilized in the market approach valuation method for quantitative assessments were EBITDA and revenue multiples from guideline public companies operating in similar industries (ranging from 6.0x to 11.5x and 2.0x to 2.8x, respectively) and control premiums (ranging from 5.0 % to 10.0 %).

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The Company’s total borrowings consist of the following:

8 unchanged sentences

2021 Senior notes 3.875 % May 15, 2029 993 991

Foxtel Group (b)

2024 Foxtel credit facility — tranche 1 (c)(d)

7.35 % Aug 1, 2026 434 —

2024 Foxtel credit facility — USD portion — tranche 2 (e)

8.59 % Aug 1, 2027 49 —

2024 Foxtel credit facility — tranche 3 (d)

7.50 % Aug 1, 2027 208 —

2017 Working capital facility (c)

7.35 % Aug 1, 2026 — —

Telstra facility 12.16 % Dec 22, 2027 93 100

2019 Credit facility (f)

— % May 31, 2024 — 320

2019 Term loan facility (f)

— % Nov 22, 2024 — 167

2012 US private placement—USD portion—tranche 3 (f)

— % Jul 25, 2024 — 149

REA Group (b)

2024 REA credit facility — tranche 1 (g)

5.95 % Sep 15, 2028 — —

2024 REA credit facility — tranche 2 (g)

5.65 % Sep 16, 2025 79 —

2024 Subsidiary facility (g)

5.82 % Sep 28, 2025 55 —

2022 Credit facility - tranche 1 (f)

— % Sep 16, 2024 — 211

2022 Credit facility - tranche 2 (f)

2024 REA credit facility — tranche 1 (c)

5.10 % Sep 15, 2028 — —

Finance Leases

Finance lease liability

2024 REA credit facility — tranche 2 (d)

2024 Subsidiary facility (e)

Total borrowings 1,962 2,102

current portion (h)

( 54 ) ( 27 )

current portion (f)

Long-term borrowings 1,937 2,093

2 unchanged sentences

See Note 11—Financial Instruments and Fair Value Measurements.

(b) These borrowings were incurred by certain subsidiaries of NXE Australia Pty Limited (the “Foxtel Group” and together with such subsidiaries, the “Foxtel Debt Group”) and REA Group and certain of its subsidiaries (REA Group and certain of its subsidiaries, the “REA Debt Group”), consolidated but non wholly-owned subsidiaries of News Corp, and are only guaranteed by the Foxtel Group and REA Group and their respective subsidiaries, as applicable, and are non-recourse to News Corp.

(c) As of June 30, 2024, the Foxtel Debt Group had total undrawn commitments of A$ 200 million available under these facilities.

(d) The Company entered into A$ 610 million of interest rate swap derivatives to fix the floating rate interest components of tranche 1 and tranche 3 of its 2024 Foxtel Credit Facility (described below) at approximately 4.30 %.

For the three months ended June 30, 2024, the Company was paying interest at an effective interest rate of 7.26 % and 7.30 % for tranche 1 and tranche 3, respectively.

See Note 11—Financial Instruments and Fair Value Measurements.

(e) The Company entered into a cross-currency interest rate swap derivative to fix the floating rate interest component of tranche 2 of its 2024 Foxtel Credit Facility at 4.38 %.

For the three months ended June 30, 2024, the Company was paying interest at an effective interest rate of 7.64 %.

See Note 11—Financial Instruments and Fair Value Measurements.

(f) These borrowings were repaid during the fiscal year ended June 30, 2024 using proceeds from the 2024 Foxtel Credit Facility and 2024 REA Credit Facility (described below), as applicable.

(g) As of June 30, 2024, REA Group had total undrawn commitments of A$ 481 million available under these facilities.

(h) The Company classifies the current portion of long term debt as non-current liabilities on the Balance Sheets when it has the intent and ability to refinance the obligation on a long-term basis, in accordance with ASC 470-50.

$ 21 million and $ 27 million relate to the current portion of finance lease liabilities as of June 30, 2024 and 2023, respectively, with the remainder as of June 30, 2024 consisting of required principal repayments on the 2022 Term Loan A and 2024 Foxtel Credit Facility — tranches 2 and 3.

(b) These borrowings were incurred by REA Group and certain of its subsidiaries (REA Group and certain of its subsidiaries, the “REA Debt Group”), consolidated but non wholly-owned subsidiaries of News Corp, and are only guaranteed by the REA Debt Group and are non-recourse to News Corp.

(d) This facility was terminated by REA Group during the fiscal year ended June 30, 2025, with the amount outstanding repaid using proceeds from the sale of REA Group’s interest in PropertyGuru.

See Note 6—Investments.

(e) This facility was terminated by REA Group during the fiscal year ended June 30, 2025, with the amount outstanding repaid using capacity available under the 2024 REA Credit Facility.

(f) The current portion of long term debt relates to required principal repayments on the 2022 Term Loan A.

NEWS CORPORATION

1 unchanged sentence

News Corporation Borrowings

As of June 30, 2024, the Company had (i) borrowings of $ 1,968 million, consisting of its outstanding 2021 Senior Notes, 2022 Senior Notes (collectively, the “Senior Notes”) and Term A Loans and (ii) $ 750 million of undrawn commitments available under the Revolving Facility.

As of June 30, 2025, News Corporation had (i) borrowings of $ 1,962 million, including the current portion, consisting of its outstanding 2021 Senior Notes, 2022 Senior Notes (collectively, the “Senior Notes”) and Term A Loans, and (ii) $ 750 million of undrawn commitments available under the Revolving Facility.

The Senior Notes are the senior unsecured obligations of the Company and rank equally in right of payment with the Company’s other senior debt, including borrowings under its Term A and Revolving Facilities (as defined below).

13 unchanged sentences

In addition, the 2022 Credit Agreement requires the Company to maintain an adjusted operating income net leverage ratio of not more than 3.0 to 1.0, subject to certain adjustments following a material acquisition, and a net interest coverage ratio of not less than 3.0 to 1.0.

Foxtel Group Borrowings

As of June 30, 2024, the Foxtel Debt Group had (i) borrowings of approximately $ 784 million, including the amounts outstanding under the 2024 Foxtel Credit Facility (described below), the A$ 40 million 2017 Working Capital Facility and the Telstra Facility (described below) and (ii) total undrawn commitments of A$ 200 million available under the 2024 Foxtel Credit Facility and 2017 Working Capital Facility.

REA Group Debt

As of June 30, 2025, REA Group had A$ 400 million of undrawn commitments available under its unsecured syndicated credit facility (the “2024 REA Credit Facility”).

During the fiscal year ended June 30, 2025, REA Group (i) terminated its A$ 83 million 2024 Subsidiary Facility and repaid the amount outstanding using capacity available under the 2024 REA Credit Facility and (ii) terminated its A$ 200 million 2024 REA Credit Facility—tranche 2 and repaid the amount outstanding using proceeds from the sale of REA Group’s interest in PropertyGuru.

REA Group is a consolidated but non wholly-owned subsidiary of News Corp, and its indebtedness is only guaranteed by REA Group and certain of its subsidiaries and is non-recourse to News Corp.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

During the fiscal year ended June 30, 2024, the Foxtel Group refinanced its A$ 610 million 2019 revolving credit facility, A$ 250 million term loan facility and tranche 3 of its 2012 U.S.

private placement senior unsecured notes with the proceeds of a new A$ 1.2 billion syndicated credit facility (the “2024 Foxtel Credit Facility”).

The 2024 Foxtel Credit Facility consists of three sub-facilities:

(i) an A$ 817.5 million three year revolving credit facility (the “2024 Foxtel Credit Facility — tranche 1”), (ii) a US$ 48.7 million four year term loan facility (the “2024 Foxtel Credit Facility — tranche 2”) and (iii) an A$ 311.0 million four year term loan facility (the “2024 Foxtel Credit Facility — tranche 3”).

In addition, the Foxtel Group amended its 2017 Working Capital Facility to extend the maturity to August 2026 and modify the pricing.

Depending on the Foxtel Group’s net leverage ratio, (i) borrowings under the 2024 Foxtel Credit Facility — tranche 1 and 2017 Working Capital Facility bear interest at a rate of the Australian BBSY plus a margin of between 2.35 % and 3.60 %;

(ii) borrowings under the 2024 Foxtel Credit Facility — tranche 2 bear interest at a rate based on a Term SOFR formula, as set forth in the 2024 Foxtel Credit Agreement, plus a margin of between 2.50 % and 3.75 %;

and (iii) borrowings under the 2024 Foxtel Credit Facility — tranche 3 bear interest at a rate of the Australian BBSY plus a margin of between 2.50 % and 3.75 %.

Borrowings under the 2024 REA Credit Facility—tranche 1 accrue interest at a rate of the Australian BBSY plus a margin of between 1.45 % and 2.35 %, depending on REA Group’s net leverage ratio.

Tranche 1 carries a commitment fee of 40 % of the applicable margin on any undrawn balance.

Tranches 2 and 3 of the 2024 Foxtel Credit Facility amortize on a proportionate basis in an aggregate annual amount equal to A$ 35 million in each of the first two years following closing and A$ 40 million in each of the two years thereafter.

The agreements governing the Foxtel Debt Group’s external borrowings contain customary affirmative and negative covenants and events of default, with customary exceptions, including specified non-financial covenants and financial covenants calculated in accordance with Australian International Financial Reporting Standards.

Subject to certain exceptions, these covenants restrict or prohibit members of the Foxtel Debt Group from, among other things, undertaking certain transactions, disposing of certain properties or assets (including subsidiary stock), merging or consolidating with any other person, making financial accommodation available, giving guarantees, entering into certain other financing arrangements, creating or permitting certain liens, engaging in transactions with affiliates, making repayments of certain other loans, undergoing fundamental business changes and making restricted payments.

In addition, the agreements require the Foxtel Debt Group to maintain a ratio of net debt to Earnings Before Interest, Tax, Depreciation and Amortization (“EBITDA”), as adjusted under the applicable agreements, of not more than 3.25 to 1.0.

The agreements also require the Foxtel Debt Group to maintain a net interest coverage ratio of not less than 3.5 to 1.0.

There are no assets pledged as collateral for any of the borrowings.

The Foxtel Debt Group also has an A$ 170 million subordinated shareholder loan facility with Telstra Corporation Limited (the “Telstra Facility”), which owns a 35 % interest in the Foxtel Group.

Borrowings under the Telstra Facility can be used to finance cable transmission costs due to Telstra under a services arrangement between the Foxtel Group and Telstra and bear interest at a variable rate of the Australian BBSY plus a margin of 7.75 %.

The terms of the Telstra Facility allow for the capitalization of accrued interest to the principal outstanding.

The Company excludes borrowings under this facility from the Statements of Cash Flows as they are non-cash.

REA Group Debt

As of June 30, 2024, REA Group had (i) borrowings of approximately $ 134 million, consisting of amounts outstanding under the 2024 REA Credit Facility and 2024 Subsidiary Facility (each as defined below) and (ii) A$ 481 million of undrawn commitments available under the 2024 REA Credit Facility and the 2024 Subsidiary Facility.

During the fiscal year ended June 30, 2024, REA Group entered into a new unsecured syndicated credit facility (the “2024 REA Credit Facility”) which replaced the 2022 Credit Facility and consists of two sub-facilities:

(i) a five-year A$ 400 million revolving loan facility (the “2024 REA Credit Facility—tranche 1”) which was used to refinance tranche 1 of the 2022 Credit Facility and (ii) an A$ 200 million revolving loan facility representing the continuation of tranche 2 of the 2022 Credit Facility (the “2024 REA Credit Facility—tranche 2”).

REA Group may request increases in the amount of the 2024 REA Credit Facility up to a maximum amount of A$ 500 million, subject to the terms and limitations set forth in the syndicated facility agreement.

Borrowings under the 2024 REA Credit Facility — tranche 1 accrue interest at a rate of the Australian BBSY plus a margin of between 1.45 % and 2.35 %, depending on REA Group’s net leverage ratio.

Borrowings under the 2024 REA Credit Facility — tranche 2 continue to accrue interest at a rate of the Australian BBSY plus a margin of between 1.15 % and 2.25 %, depending on REA Group’s net leverage ratio.

Both tranches carry a commitment fee of 40 % of the applicable margin on any undrawn balance.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The syndicated facility agreement governing the 2024 REA Credit Facility requires REA Group to maintain (i) a net leverage ratio of not more than 3.5 to 1.0 and (ii) an interest coverage ratio of not less than 3.0 to 1.0.

1 unchanged sentence

Subject to certain exceptions, these covenants restrict or prohibit REA Group and its subsidiaries from, among other things, incurring or guaranteeing debt, disposing of certain properties or assets, merging or consolidating with any other person, making financial accommodation available, entering into certain other financing arrangements, creating or permitting certain liens, engaging in non-arms’ length transactions with affiliates, undergoing fundamental business changes and making restricted payments.

During the fiscal year ended June 30, 2024, REA Group also entered into an A$ 83 million unsecured bilateral revolving credit facility (the “2024 Subsidiary Facility”).

Proceeds of the 2024 Subsidiary Facility were used to refinance an existing facility at one of its subsidiaries and to fund its business of providing short-term financing to real estate agents and vendors.

Borrowings under the 2024 Subsidiary Facility accrue interest at a rate of the Australian BBSY plus a margin of 1.40 % and undrawn balances carry a commitment fee of 40 % of the applicable margin.

The facility agreement governing the 2024 Subsidiary Facility permits the lender to cancel its commitment and declare all outstanding amounts immediately due and payable after a consultation period in specified circumstances, including if certain key operating measures of its subsidiary fall below the budgeted amount for two consecutive quarters.

The agreement also contains certain other customary affirmative and negative covenants and events of default that are similar to those governing the 2024 REA Credit Facility.

The Company’s borrowings and those of its consolidated subsidiaries contain customary representations, covenants and events of default, including those discussed above.

2 unchanged sentences

Future Maturities

The following table summarizes the Company’s debt maturities, excluding debt issuance costs and finance lease liabilities, as of June 30, 2024:

The following table summarizes the Company’s debt maturities, excluding debt issuance costs, as of June 30, 2025:

As of June 30, 2025

6 unchanged sentences

Summary of Leases

The Company's operating leases primarily consist of real estate, including office space, warehouse space and printing facilities, and satellite transponders.

The Company’s finance leases consist of certain satellite transponders.

The Company’s operating leases generally include options to extend the lease term or terminate the lease.

The Company’s operating leases primarily consist of real estate, including office space, warehouse space and printing facilities, and generally include options to extend the lease term or terminate the lease.

Such options do not impact the Company’s lease term assessment until the Company is reasonably certain that the option will be exercised.

3 unchanged sentences

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The total lease cost for operating and finance leases included in the Statements of Operations was as follows:

The total lease cost for operating leases included in the Statements of Operations was as follows:

For the fiscal years ended June 30,

3 unchanged sentences

Operating lease costs Operating expenses 10 10 9

Finance lease costs Depreciation and amortization 24 25 27

Finance lease costs Interest expense, net 1 2 3

Short term lease costs Operating expenses 23 21 16

1 unchanged sentence

Total lease costs $ 166 $ 159 $ 157

Additional information related to the Company’s operating and finance leases under ASC 842, Leases :

As of June 30, 2024 As of June 30, 2023

Operating Leases Finance Leases Operating Leases Finance Leases

Weighted-average remaining lease term 13.1 years 1.1 years 13.7 years 1.8 years

Additional information related to the Company’s operating leases under ASC 842, Leases :

As of June 30,

Weighted-average remaining lease term 13.5 years 14.1 years

Weighted-average incremental borrowing rate 5.32 % 5.28 %

2 unchanged sentences

(in millions)

Operating lease liabilities

Cash paid - Operating lease liabilities

$ 138 $ 134 $ 132

Finance lease liabilities - principal

Finance lease liabilities - interest

Operating lease right-of-use assets obtained in exchange for operating lease liabilities 33 13 238

1 unchanged sentence

As of June 30, 2025

Operating Leases Finance Leases

Operating Leases

(in millions)

8 unchanged sentences

Present value of minimum payments $ 978

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS

3 unchanged sentences

The Company could value assets and liabilities included in this level using dealer and broker quotations, certain pricing models, bid prices, quoted prices for similar assets and liabilities in active markets or other inputs that are observable or can be corroborated by observable market data.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

• Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

2 unchanged sentences

The following table summarizes those assets and liabilities measured at fair value on a recurring basis:

June 30, 2024 June 30, 2023

As of June 30, 2025 As of June 30, 2024

(in millions)

Interest rate derivatives—cash flow hedges $ — $ 12 $ — $ 12 $ — $ 28 $ — $ 28

Foreign currency derivatives - cash flow hedges — — — — — 2 — 2

Cross-currency interest rate derivatives - fair value hedges — — — — — 9 — 9

Cross-currency interest rate derivatives (a)

— — — — — 37 — 37

Equity and other securities

1 unchanged sentence

Total assets $ 67 $ 62 $ 814 $ 943 $ 53 $ 67 $ 122 $ 242

Interest rate derivatives - cash flow hedges $ — $ — $ — $ — $ — $ — $ — $ —

Cross-currency interest rate derivatives - fair value hedges — — — — — ( 1 ) — ( 1 )

Cross currency interest rate derivatives - cash flow hedges

— ( 2 ) — ( 2 ) — — — —

Cross-currency interest rate derivatives (a)

— — — — — ( 2 ) — ( 2 )

Total liabilities $ — $ ( 2 ) $ — $ ( 2 ) $ — $ ( 3 ) $ — $ ( 3 )

(a) These cross-currency interest rate derivatives were initially designated as cash flow hedges.

Hedge accounting for these derivatives was discontinued as of December 31, 2020.

Equity and Other Securities

The fair values of equity and other securities with quoted prices in active markets are determined based on the closing price at the end of each reporting period.

These securities are classified as Level 1 in the fair value hierarchy outlined above.

The fair values of equity and other securities with quoted prices in active markets, which are classified as Level 1 in the fair value hierarchy outlined above, and those that rely on significant observable inputs other than quoted prices in active markets, which are classified as Level 2 in the fair value hierarchy outlined above, are determined based on the closing price at the end of each reporting period.

The fair values of equity and other securities without readily determinable fair market values are determined based on cost, less any impairment, plus or minus changes in fair value resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer.

These securities are classified as Level 3 in the fair value hierarchy outlined above.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

A rollforward of the Company’s equity and other securities classified as Level 3 is as follows:

7 unchanged sentences

Balance—end of year $ 814 $ 122

(a) The additions for the fiscal year ended June 30, 2023 primarily relate to Dow Jones’ investment in an artificial intelligence-focused data analytics company.

(a) The additions for the fiscal year ended June 30, 2025 primarily relate to the $ 648 million investment in DAZN in connection with the sale of Foxtel.

Refer to Note 3—Discontinued Operations for further discussion.

Derivative Instruments

1 unchanged sentence

When deemed appropriate, the Company uses derivative instruments to mitigate the potential impact of these market risks.

The primary market risks managed by the Company through the use of derivative instruments include:

• foreign currency exchange rate risk:

arising primarily through Foxtel Debt Group borrowings denominated in United States (“U.S.”) dollars, payments for customer premise equipment, certain programming rights, product development costs and inventory purchases;

• interest rate risk:

arising from fixed and floating rate Foxtel Debt Group and News Corporation borrowings.

During the fiscal year ended June 30, 2024, in connection with the 2024 Foxtel Credit Facility, the Company entered into (i) a cross-currency interest rate swap derivative with a notional amount of $ 49 million to exchange the U.S.

dollar-denominated floating rate interest component of its 2024 Foxtel Credit Facility — Tranche 2 for an Australian dollar-denominated fixed rate of 4.375 % and (ii) interest rate swap derivatives with notional amounts totaling A$ 610 million to exchange the floating rate interest component of the remaining tranches to fixed rates ranging from 4.248 % to 4.338 %.

These cross-currency interest rate swap and interest rate swap derivatives are accounted for as cash flow hedges under ASC 815.

During the fiscal year ended June 30, 2024, the Company settled its hedges and derivatives related to the 2019 Credit facility and the 2012 U.S.

private placement - USD portion - tranche 3.

A gain of $ 5 million was recognized in Other, net related to the settlement of cross-currency interest rate swap derivatives for which hedge accounting was previously discontinued, and a gain of $ 7 million was recognized within Interest expense, net related to the remaining net derivative gains in Accumulated other comprehensive loss.

The primary market risk managed by the Company through the use of derivative instruments relates to interest rate risk arising from floating rate News Corporation borrowings.

The Company formally designates qualifying derivatives as hedge relationships and applies hedge accounting when considered appropriate.

8 unchanged sentences

Interest rate derivatives—cash flow hedges Other current assets $ 7 $ 14

Foreign currency derivatives - cash flow hedges Other current assets — 2

Cross-currency interest rate derivatives (a)

Other current assets — 1

Interest rate derivatives—cash flow hedges Other non-current assets 5 14

Cross-currency interest rate derivatives - fair value hedges Other non-current assets — 9

Cross-currency interest rate derivatives (a)

Other non-current assets — 36

Cross-currency interest rate derivatives - fair value hedges Other current liabilities ( 1 )

Cross-currency interest rate derivatives (a)

Other current liabilities — ( 2 )

Cross currency interest rate derivatives - cash flow hedges Other non-current liabilities ( 2 ) —

(a) These cross-currency interest rate derivatives were initially designated as cash flow hedges.

Hedge accounting for these derivatives was discontinued as of December 31, 2020.

Cash Flow Hedges

The Company utilizes a combination of interest rate derivatives, foreign currency derivatives and cross-currency interest rate derivatives to mitigate currency exchange rate risk and interest rate risk in relation to future interest and principal payments and payments for customer premise equipment, certain programming rights, product development costs and inventory purchases.

The total notional value of interest rate swap derivatives designated for hedging was approximately $ 484 million and A$ 610 million as of June 30, 2024 for News Corporation and Foxtel Debt Group borrowings, respectively.

The maximum hedged term over which the Company is hedging exposure to variability in interest payments is to July 2027.

The Company utilizes interest rate derivatives to mitigate interest rate risk in relation to future interest payments.

The total notional value of interest rate swap derivatives designated for hedging was approximately $ 475 million as of June 30, 2025 for News Corporation borrowings.

The maximum hedged term over which the Company is hedging exposure to variability in interest payments is to March 2027.

As of June 30, 2025, the Company estimates that approximately $ 8 million of net derivative gains related to its interest rate swap derivative cash flow hedges included in Accumulated other comprehensive loss will be reclassified into the Statements of Operations within the next twelve months.

The total notional value of foreign currency contract derivatives designated for hedging was $ 79 million as of June 30, 2024.

The maximum hedged term over which the Company is hedging exposure to foreign currency fluctuations is less than one year.

As of June 30, 2024, the Company estimates that no net derivative losses related to its foreign currency contract derivative cash flow hedges included in Accumulated other comprehensive loss will be reclassified into the Statements of Operations within the next twelve months.

The total notional value of cross-currency interest rate swap derivatives designated for hedging was approximately $ 49 million as of June 30, 2024.

The maximum hedged term over which the Company is hedging exposure to variability in interest and principal payments is to July 2027.

As of June 30, 2024, the Company estimates that no net derivative gains related to its cross-currency interest rate swap derivative cash flow hedges included in Accumulated other comprehensive loss will be reclassified into the Statements of Operations within the next twelve months.

The following tables present the impact that changes in the fair values had on Accumulated other comprehensive loss and the Statements of Operations during the fiscal years ended June 30, 2024, 2023 and 2022 for both derivatives designated as cash flow hedges that continue to be highly effective and derivatives initially designated as cash flow hedges but for which hedge accounting was discontinued as of December 31, 2020:

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Gains (losses) recognized in Accumulated other comprehensive loss for the fiscal years ended June 30, 2025, 2024 and 2023, by derivative instrument:

4 unchanged sentences

$ ( 3 ) $ 10 $ 29

Foreign currency derivatives—cash flow hedges

Cross-currency interest rate derivatives—cash flow hedges

$ 11 $ 29 $ 32

(Gains) losses reclassified from Accumulated other comprehensive loss into the Statements of Operations for the fiscal years ended June 30, 2025, 2024 and 2023, by derivative instrument:

5 unchanged sentences

Interest expense, net $ ( 13 ) $ ( 17 ) $ ( 9 )

Foreign currency derivatives - cash flow hedges

Operating expenses ( 2 ) — —

Cross-currency interest rate derivatives - cash flow hedges

Interest expense, net ( 1 ) — —

Cross-currency interest rate derivatives (a)

Interest expense, net — ( 1 ) ( 4 )

$ ( 26 ) $ ( 13 ) $ ( 6 )

(a) These cross-currency interest rate derivatives were initially designated as cash flow hedges.

Hedge accounting for these derivatives was discontinued as of December 31, 2020.

The amounts recognized in Other, net in the Statements of Operations resulting from the changes in fair value of cross-currency interest rate derivatives that were discontinued as cash flow hedges due to hedge ineffectiveness as of December 31, 2020 were gains of approximately $ 3 million, $ 4 million and $ 25 million for the fiscal years ended June 30, 2024, 2023 and 2022, respectively.

Nonrecurring Fair Value Measurements

In addition to assets and liabilities that are remeasured at fair value on a recurring basis, the Company has certain assets, primarily goodwill, intangible assets, equity method investments and property, plant and equipment, that are not required to be remeasured to fair value at the end of each reporting period.

In addition to assets and liabilities that are remeasured at fair value on a recurring basis, the Company has certain assets, primarily goodwill, intangible assets, property, plant and equipment, investments in equity securities without readily determinable fair values and equity method investments that are not required to be remeasured to fair value at the end of each reporting period.

On an ongoing basis, the Company monitors whether events occur or circumstances change that would more likely than not reduce the fair values of these assets below their carrying amounts.

4 unchanged sentences

The 2022 Senior Notes and the 2021 Senior Notes are classified as Level 2 and the remaining borrowings are classified as Level 3 in the fair value hierarchy.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

STOCKHOLDERS' EQUITY

1 unchanged sentence

The Company’s authorized capital stock consists of 1,500,000,000 shares of Class A Common Stock, par value $ 0.01 per share, 750,000,000 shares of Class B Common Stock, par value $ 0.01 per share, 25,000,000 shares of Series Common Stock, par value $ 0.01 per share, and 25,000,000 shares of Preferred Stock, par value $ 0.01 per share.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Common Stock and Preferred Stock

9 unchanged sentences

Voting Rights —Holders of the Company’s Class A Common Stock are entitled to vote only in the limited circumstances set forth in the Company’s Restated Certificate of Incorporation (the “Charter”).

Holders of the Company’s Class B Common Stock are entitled to one vote for each share held of record on all matters submitted to a vote of the stockholders.

Holders of the Company’s Class B Common Stock are generally entitled to one vote for each share held of record on all matters submitted to a vote of the stockholders.

Liquidation Rights —In the event of a liquidation or dissolution of the Company, holders of Class A Common Stock and Class B Common Stock shall be entitled to receive all of the remaining assets of the Company available for distribution to its stockholders, ratably in proportion to the number of shares held by Class A Common Stock holders and Class B Common Stock holders, respectively.

2 unchanged sentences

Stock Repurchases

The Board of Directors has authorized a stock repurchase program to purchase up to $ 1 billion in the aggregate of the Company’s outstanding Class A Common Stock and Class B Common Stock (the “Repurchase Program”).

The manner, timing, number and share price of any repurchases will be determined by the Company at its discretion and will depend upon such factors as the market price of the stock, general market conditions, applicable securities laws, alternative investment opportunities and other factors.

The Repurchase Program has no time limit and may be modified, suspended or discontinued at any time.

On September 22, 2021, the Company announced a stock repurchase program authorizing the Company to purchase up to $ 1 billion in the aggregate of the Company’s outstanding Class A Common Stock and Class B Common Stock (the “2021 Repurchase Program”).

As of June 30, 2025, the remaining authorized amount under the 2021 Repurchase Program was approximately $ 310 million.

11 unchanged sentences

5.3 $ 150 5.0 $ 117 14.2 $ 240

On July 15, 2025, the Company announced a new stock repurchase program authorizing the Company to purchase up to $ 1 billion in the aggregate of the Company’s outstanding Class A Common Stock and Class B Common Stock (the “2025 Repurchase Program” and, together with the 2021 Repurchase Program, the “Stock Repurchase Programs”), which is in addition to the remaining authorized amount under the 2021 Repurchase Program.

The manner, timing, number and share price of any repurchases under the Stock Repurchase Programs will be determined by the Company at its discretion and will depend upon such factors as the market price of the stock, general market conditions, applicable securities laws, alternative investment opportunities and other factors.

The Stock Repurchase Programs have no time limit and may be modified, suspended or discontinued at any time.

Stockholders Agreement

16 unchanged sentences

The total intrinsic value of all outstanding awards was approximately $ 232 million as of June 30, 2025.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The tax benefit recognized on PSUs and RSUs for participants that vested during the applicable fiscal year was $ 13 million, $ 14 million and $ 11 million for the fiscal years ended June 30, 2025, 2024 and 2023, respectively.

2 unchanged sentences

Cash-settled awards are marked-to-market at the end of each reporting period.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Performance Stock Units

7 unchanged sentences

During fiscal 2025, 2024 and 2023, certain participants in the 2013 LTIP received grants of PSUs which have a three-year performance measurement period.

The number of shares that will be issued upon vesting of these PSUs can range from 0 % to 200 % of the target award, subject to three -year performance conditions based on a combination of cumulative business-unit-specific revenue, EBITDA (as defined in Note 9—Borrowings) and free cash flow, or the Company’s cumulative earnings per share, cumulative free cash flow and three -year total stockholder return relative to the individual companies that comprise the Standard and Poor’s 1500 Media Index.

The number of shares that will be issued upon vesting of these PSUs can range from 0 % to 200 % of the target award, subject to three-year performance conditions based on a combination of cumulative business-unit-specific revenue, EBITDA and free cash flow, or the Company’s cumulative earnings per share, cumulative free cash flow and three-year total stockholder return relative to the individual companies that comprise the S&P 1500 Media Index.

Vesting of the awards is generally subject to the participants’ continued service with the Company through the applicable vesting date.

The following table summarizes information related to grants of PSUs during the fiscal years ended June 30, 2025, 2024 and 2023:

20 unchanged sentences

(a) Settlement value represents cash paid (for cash-settled PSUs) or the fair value of PSU awards at the time of vesting (for stock-settled PSUs) and does not include statutory tax withholdings.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Restricted Stock Units

3 unchanged sentences

Each RSU is entitled to receive dividend equivalents for each regular cash dividend on the Class A Common Stock paid by the Company during the award period, subject to the same terms and conditions as apply to the underlying award.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

During fiscal 2025, 2024 and 2023, certain participants in the 2013 LTIP received grants of time-vested RSUs.

Vesting of the awards is subject to the participants’ continued service with the Company through the applicable vesting date.

These RSUs have graded vesting primarily over three years .

Vesting of the awards is generally subject to the participants’ continued service with the Company through the applicable vesting date.

These RSUs generally have graded vesting, primarily over three years .

The following table summarizes information related to grants of RSUs during the fiscal years ended June 30, 2025, 2024 and 2023:

18 unchanged sentences

(a) Settlement value represents cash paid (for cash-settled RSUs) or the fair value of RSU awards at the time of vesting (for stock-settled RSUs) and does not include statutory tax withholdings.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The following table summarizes the activity related to the target PSUs and RSUs granted to participants that will be settled in shares of the Company (PSUs and RSUs in thousands):

Fiscal 2025 Fiscal 2024 Fiscal 2023

Number of shares

Weighted average grant-date fair value

Number of shares

Weighted average grant-date fair value

Number of shares

Weighted average grant-date fair value

PSUs and RSUs

12 unchanged sentences

For fiscal 2023, includes 0.1 million of target PSUs and 0.6 million RSUs cancelled.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

EARNINGS (LOSS) PER SHARE

3 unchanged sentences

(in millions, except per share amounts)

Net income from continuing operations $ 648 $ 379 $ 228

Net income (loss) from discontinued operations, net of tax 692 ( 25 ) ( 41 )

Net income 1,340 354 187

Net income attributable to noncontrolling interests ( 88 ) ( 38 ) ( 137 )

Net income attributable to noncontrolling interests from continuing operations ( 168 ) ( 110 ) ( 65 )

Net loss attributable to noncontrolling interests from discontinued operations 8 22 27

Net income attributable to News Corporation stockholders $ 1,180 $ 266 $ 149

2 unchanged sentences

Weighted-average number of shares of common stock outstanding—diluted 569.9 573.5 578.8

Net income attributable to News Corporation stockholders per share—basic $ 0.47 $ 0.26 $ 1.06

Net income attributable to News Corporation stockholders per share—diluted $ 0.46 $ 0.26 $ 1.05

Net income (loss) attributable to News Corporation stockholders per share:

Continuing operations $ 0.85 $ 0.47 $ 0.28

Discontinued operations 1.23 — ( 0.02 )

$ 2.08 $ 0.47 $ 0.26

Continuing operations $ 0.84 $ 0.47 $ 0.28

Discontinued operations 1.23 ( 0.01 ) ( 0.02 )

$ 2.07 $ 0.46 $ 0.26

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

RELATED PARTY TRANSACTIONS

1 unchanged sentence

In the ordinary course of business, the Company enters into transactions with related parties to purchase and/or sell advertising and administrative services.

The Company has also previously entered into transactions with related parties to sell certain broadcast rights.

The following table sets forth the net revenue (expense) from related parties included in the Statements of Operations:

10 unchanged sentences

Newspaper Matters.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

COMMITMENTS AND CONTINGENCIES

4 unchanged sentences

Payments Due by Period

Less than 1 year

More than 5 years

(in millions)

1 unchanged sentence

$ 415 $ 437 $ 88 $ 94 $ 1,034

Sports programming rights (b)

3,177 481 1,080 775 841

Programming costs (c)

908 324 407 169 8

Operating leases (d)

Transmission costs (e)

Operating leases (b)

117 208 146 860 1,331

Land and buildings 1,486 143 245 149 949

Plant and machinery 11 5 4 2 —

Finance leases

Transmission costs (e)

Borrowings (f)

Borrowings (c)

25 450 1,000 500 1,975

Interest payments on borrowings (g)

Interest payments on borrowings (d)

81 144 90 51 366

1 unchanged sentence

$ 638 $ 1,239 $ 1,324 $ 1,505 $ 4,706

(a) The Company has commitments under purchase obligations related to minimum subscriber guarantees for license fees, printing contracts, capital projects, marketing agreements, production services and other legally binding commitments.

(b) The Company has sports programming rights commitments with the National Rugby League, Australian Football League and Cricket Australia, as well as certain other broadcast rights which are payable through fiscal 2032.

(d) The Company leases office facilities, warehouse facilities, printing plants, satellite services and equipment.

(a) The Company has commitments under purchase obligations related to technology infrastructure services, marketing agreements, content licensing costs and other legally binding commitments.

(b) The Company leases office facilities, warehouse facilities, printing plants and equipment.

These leases, which are classified as operating leases, are expected to be paid at certain dates through fiscal 2048.

Amounts reflected represent only the Company’s lease obligations for which it has firm commitments.

(e) The Company has contractual commitments for satellite transmission services.

The Company’s satellite transponder services arrangements extend through fiscal 2032 and are accounted for as operating or finance leases, based on the underlying terms of those arrangements.

(f) See Note 9—Borrowings.

(g) Reflects the Company’s expected future interest payments based on borrowings outstanding and interest rates applicable at June 30, 2024.

(d) Reflects the Company’s expected future interest payments based on borrowings outstanding and interest rates applicable at June 30, 2025.

Such rates are subject to change in future periods.

2 unchanged sentences

The Company routinely is involved in various legal proceedings, claims and governmental inspections or investigations, including those discussed below.

The outcome of these matters and claims is subject to significant uncertainty, and the Company often cannot predict what the eventual outcome of pending matters will be or the timing of the ultimate resolution of these matters.

The outcome of these matters and claims is subject to significant uncertainty, and the Company often

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

cannot predict what the eventual outcome of pending matters will be or the timing of the ultimate resolution of these matters.

Fees, expenses, fines, penalties, judgments or settlement costs which might be incurred by the Company in connection with the various proceedings could adversely affect its results of operations and financial condition.

5 unchanged sentences

The Company recognizes gain contingencies when the gain becomes realized or realizable.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

News America Marketing

In May 2020, the Company sold its News America Marketing business.

In the transaction, the Company retained certain liabilities, including those arising from the legal proceeding with Insignia Systems, Inc.

(“Insignia”).

In July 2019, Insignia filed a complaint in the U.S.

District Court for the District of Minnesota against News America Marketing FSI L.L.C., News America Marketing In-Store Services L.L.C.

and News Corporation alleging violations of federal and state antitrust laws and common law business torts.

The complaint sought treble damages, injunctive relief and attorneys’ fees and costs.

In July 2022, the parties agreed to settle the litigation and Insignia’s claims were dismissed with prejudice.

Beginning in August 2024, a number of purported class action complaints have been filed in the U.S.

District Court for the Northern District of Illinois against certain pipe converters, distributors and the Company’s subsidiary, Oil Price Information Service, LLC (“OPIS”), alleging violations of federal and state antitrust laws.

The complaints seek treble damages, injunctive relief and attorneys’ fees and costs.

In May 2025, the Company entered into a settlement which would resolve the complaints.

The settlement received preliminary court approval in July 2025 but remains subject to final approval.

In addition, (i) in January 2025, OPIS received a grand jury subpoena issued by the U.S.

District Court for the Northern District of California, from the U.S.

Department of Justice Antitrust Division, and (ii) in April 2025, OPIS received a civil investigative demand (“CID”) from a state attorney general.

Both the subpoena and the CID call for production of documents related to PVC pipe, including documents relating to the publication of the PVC and Pipe Weekly Report.

OPIS is complying with its obligations under the subpoena and CID.

HarperCollins

15 unchanged sentences

The Company also settled a number of claims through a private compensation scheme which was closed to new claims after April 8, 2013.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

In connection with the Separation, the Company and 21st Century Fox agreed in the Separation and Distribution Agreement that 21st Century Fox would indemnify the Company for payments made after June 28, 2013 arising out of civil claims and investigations relating to the U.K.

11 unchanged sentences

It is possible that these proceedings and any adverse resolution thereof could damage its reputation, impair its ability to conduct its business and adversely affect its results of operations and financial condition.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

RETIREMENT BENEFIT OBLIGATIONS

12 unchanged sentences

Pension Benefits

Domestic Foreign Postretirement

benefits Total

Domestic Foreign Postretirement benefits

2025 2024 2025 2024 2025 2024 2025 2024

9 unchanged sentences

Pension Benefits

Domestic Foreign Postretirement

Benefits Total

Domestic Foreign Postretirement Benefits

As of June 30,

8 unchanged sentences

— — ( 6 ) ( 54 ) — — ( 6 ) ( 54 )

Actuarial (gain) loss (b)

Actuarial (gain) loss

6 ( 4 ) ( 20 ) 3 2 1 ( 12 ) —

15 unchanged sentences

(a) Amounts related to payments made to former employees of the Company in full settlement of their pension benefits.

(b) Actuarial gains for fiscal 2023 for domestic and international pension plans primarily relate to the increase in discount rates used in measuring plan obligations as of June 30, 2023.

Amounts recognized in Accumulated other comprehensive loss consist of:

Pension Benefits

Domestic Foreign Postretirement

Benefits Total

Domestic Foreign Postretirement Benefits

As of June 30,

35 unchanged sentences

Summary of Net Periodic Benefit Costs

The Company recorded $ 28 million, $ 13 million and nil in net periodic benefit costs in the Statements of Operations for the fiscal years ended June 30, 2024, 2023 and 2022, respectively.

The Company recorded $ 10 million, $ 28 million and $ 13 million in net periodic benefit costs in the Statements of Operations for the fiscal years ended June 30, 2025, 2024 and 2023, respectively.

The Company utilizes the full yield-curve approach to estimate the service and interest cost components of net periodic benefit costs for its pension and other postretirement benefit plans.

4 unchanged sentences

Pension Benefits

Postretirement

Postretirement Benefits

For the fiscal years ended June 30,

26 unchanged sentences

Discount rate for service cost

N/A N/A 3.3 % 5.4 % 4.8 % 1.8 % 5.5 % 4.9 % 2.8 %

N/A N/A N/A 5.3 % 5.4 % 4.8 % 5.6 % 5.5 % 4.9 %

Discount rate for interest on PBO

2 unchanged sentences

Rate of increase in future compensation N/A N/A N/A 2.9 % 3.9 % 3.9 % N/A N/A N/A

N/A—not applicable

The following assumed health care cost trend rates as of June 30 were also used in accounting for postretirement benefits:

8 unchanged sentences

Expected Benefit Payments

Pension Benefits Postretirement

Benefits Total

Pension Benefits Postretirement Benefits

Domestic Foreign

13 unchanged sentences

The table below presents the Company’s plan assets by level within the fair value hierarchy, as described in Note 2—Summary of Significant Accounting Policies, as of June 30, 2025 and 2024:

Fair Value Measurements at

Reporting Date Using Fair Value Measurements at

Reporting Date Using

Total Level 1 Level 2 Level 3 NAV Total Level 1 Level 2 Level 3 NAV

Fair Value Measurements at Reporting Date Using

Level 1 Level 2 Level 3 NAV Level 1 Level 2 Level 3 NAV

(in millions)

12 unchanged sentences

The table below sets forth a summary of changes in the fair value of investments reflected as Level 3 assets as of June 30, 2025 and 2024:

Level 3 Investments

(in millions)

43 unchanged sentences

Deferred tax assets and liabilities are established using the enacted statutory tax rates and are adjusted for any changes in such rates in the period of change.

Income before income tax expense was attributable to the following jurisdictions:

Income before income tax expense from continuing operations was attributable to the following jurisdictions:

For the fiscal years ended June 30,

3 unchanged sentences

Foreign 710 437 306

Income before income tax expense $ 546 $ 330 $ 812

Income before income tax expense from continuing operations $ 923 $ 585 $ 380

The significant components of the Company’s income tax expense were as follows:

20 unchanged sentences

Effect of foreign operations (a)

Change in valuation allowance (b)

Change in valuation allowance

Non-deductible goodwill and asset impairments — 1 2

Non-deductible compensation and benefits 1 2 2

Remeasurement of deferred tax assets (c)

R&D tax credits ( 1 ) ( 3 ) ( 2 )

6 unchanged sentences

through the fiscal year ended June 30, 2023.

(b) For the fiscal year ended June 30, 2022, the Company released valuation allowances of $ 156 million, including $ 149 million related to certain foreign deferred tax assets.

(c) For the fiscal year ended June 30, 2022, the Company recorded a benefit of $ 18 million related to the remeasurement of its U.K.

deferred tax assets.

The Company recognized deferred income taxes in the Balance Sheets as follows:

5 unchanged sentences

Net deferred tax assets $ 197 $ 311

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The significant components of the Company’s deferred tax assets and liabilities were as follows:

18 unchanged sentences

Net deferred tax assets $ 197 $ 311

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Significant judgment is applied in determining the ability to realize our deferred tax assets.

6 unchanged sentences

Federal 2026 to 2035 $ 61

Federal Indefinite 249

States Various 516

9 unchanged sentences

The Company recorded a deferred tax asset of $ 222 million and $ 295 million associated with its NOLs (net of approximately $ 77 million and $ 81 million, respectively, of uncertain tax benefits recorded against deferred tax assets) as of June 30, 2025 and 2024, respectively.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Valuation allowances of $ 136 million and $ 134 million have been established to reduce the deferred tax asset associated with the Company’s NOLs to an amount that will more likely than not be realized as of June 30, 2025 and 2024, respectively.

As of June 30, 2024, the Company had approximately $ 2.6 billion and $ 1.6 billion of capital loss carryforwards in Australia and the U.K., respectively, which may be carried forward indefinitely.

As of June 30, 2025, the Company had approximately $ 3.4 billion, $ 1.7 billion and $ 1.1 billion of capital loss carryforwards in Australia, the U.K.

and the U.S., respectively.

The Australia and U.K.

capital losses may be carried forward indefinitely.

capital loss expires in the fiscal year ending June 30, 2030.

The capital loss carryforwards are also subject to review by relevant tax authorities in the jurisdictions to which they relate.

Realization of our capital losses is dependent on generating capital gain taxable income and satisfying certain continuity of ownership and/or business requirements.

The Company recorded a deferred tax asset of $ 1.2 billion as of June 30, 2024 and 2023 for these capital loss carryforwards.

It is more likely than not that the Company will not generate capital gain income in the normal course of business in these jurisdictions, and accordingly, valuation allowances of $ 1.2 billion have been established to reduce the capital loss carryforward deferred tax asset to an amount that will more likely than not be realized as of June 30, 2024 and 2023.

The Company recorded a deferred tax asset of $ 1.7 billion and $ 1.2 billion as of June 30, 2025 and 2024, respectively, for these capital loss carryforwards.

It is more likely than not that the Company will not generate capital gain income in the normal course of business in these jurisdictions, and accordingly, valuation allowances of $ 1.7 billion and $ 1.2 billion and have been established to reduce the capital loss carryforward deferred tax asset to an amount that will more likely than not be realized as of June 30, 2025 and 2024, respectively.

As of June 30, 2025, the Company had approximately $ 105 million of U.S.

6 unchanged sentences

tax credits and state tax credit carryforwards to an amount that will more likely than not be realized as of June 30, 2025.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Uncertain Tax Positions

7 unchanged sentences

Reduction for prior year tax positions ( 4 ) ( 3 ) —

Reduction for current year tax positions ( 1 ) — —

Lapse of the statute of limitations ( 3 ) ( 3 ) ( 2 )

3 unchanged sentences

The Company recognizes interest and penalty charges related to unrecognized tax benefits as income tax expense, which is consistent with the recognition in prior reporting periods.

The Company recognized an expense related to interest and penalties of $ 1 million for each of the fiscal years ended June 30, 2024, 2023 and 2022.

The Company recognized an expense related to interest and penalties of $ 3 million for the fiscal year ended June 30, 2025 and $ 1 million for each of the fiscal years ended June 30, 2024 and 2023.

The Company recorded liabilities for accrued interest and penalties of approximately $ 10 million, $ 7 million and $ 5 million as of June 30, 2025, 2024 and 2023, respectively.

1 unchanged sentence

Tax authorities may not agree with the treatment of items reported in our tax returns, and therefore the outcome of tax reviews and examinations can be unpredictable.

The Company is currently undergoing tax examinations in the U.S., various states and foreign jurisdictions.

The Company settled its audit with the Internal Revenue Service for the fiscal year ended June 30, 2018 in June 2024 with no material adjustments.

The Company is currently undergoing tax examinations in various U.S.

states and foreign jurisdictions.

The Company believes it has appropriately accrued for the expected outcome of uncertain tax matters and believes such liabilities represent a reasonable provision for taxes ultimately expected to be paid.

However, the Company may need to accrue additional income tax expense and our liability may need to be adjusted as new information becomes known and as these tax examinations continue to progress, or as settlements or litigations occur.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The following is a summary of major tax jurisdictions for which tax authorities may assert additional taxes based upon tax years currently under audit and subsequent years that could be audited by the respective taxing authorities.

1 unchanged sentence

Australia 2021-2024

2000, 2003, 2005 and 2012-2024

It is reasonably possible that uncertain tax positions may increase or decrease in the next fiscal year, however, actual developments in this area could differ from those currently expected.

1 unchanged sentence

It is reasonably possible that the amount of uncertain tax liabilities which may be resolved within the next fiscal year is between the range of approximately nil and $ 67 million, a portion of which will affect our effective income tax rate, primarily as a result of the settlement of tax examinations and the lapsing of statutes of limitations.

The Organization for Economic Cooperation and Development (“OECD”) continues to develop detailed rules to assist member states in the implementation of landmark reforms to the international tax system, as agreed in October 2021 by 136 members of the OECD/G20 Inclusive Framework.

These rules are intended to address certain tax challenges arising from digitalization of the global economy and ensure that companies pay a global minimum level of taxation in countries where they operate.

The OECD’s recommendations call for a global minimum effective tax rate of 15% for multinational groups with annual global revenue exceeding 750 million Euros.

In December 2022, European Union (“EU”) member states agreed to adopt the OECD’s minimum tax rules, which began going into effect in tax years beginning on or after January 1, 2024.

The majority of the EU countries and the U.K.

enacted minimum tax legislation in 2023.

Several other countries, including Australia, have proposed changes to their tax law to implement the OECD’s minimum tax proposal.

Global minimum tax legislation will generally be effective for the Company’s financial year beginning on July 1, 2024.

The Company has assessed the potential impact of global minimum tax proposals in the jurisdictions where it operates, including available transitional safe harbor relief which provides more simplified measures, on its consolidated financial statements and related disclosures.

Based on our assessment, these rules are not expected to have a material impact on the Company’s results of operations.

However, the application of the rules continues to evolve, and its outcome may alter aspects of how the Company’s tax obligations are determined in countries in which it does business.

The Company continues to evaluate the potential impact of these rules.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

On July 4, 2025, H.R.

1 - One Big Beautiful Bill Act (“OBBBA”) was enacted into law.

The OBBBA makes permanent key elements of the Tax Cuts and Jobs Act (“Tax Act”), including 100% bonus depreciation, domestic research cost expensing, and the business interest expense limitation.

Certain provisions of OBBBA will become effective for the Company’s 2026 fiscal year, while others will take effect beginning in fiscal 2027.

ASC 740 requires the effects of changes in tax rates and laws on deferred tax balances to be recognized in the period in which the legislation is enacted.

Consequently, the Company will evaluate all U.S.

deferred tax balances and any other impacts to its financial statements as a result of the OBBBA in the first quarter of fiscal 2026.

The Organization for Economic Cooperation and Development (“OECD”) has proposed a global minimum tax of 15% of reported profits (“Pillar 2”) that has been agreed upon in principle by over 140 countries.

Since the proposal, many countries, including the U.K.

and Australia, incorporated Pillar 2 model rule concepts into their domestic laws.

Although the model rules provide a framework for applying the minimum tax, countries may enact Pillar 2 slightly differently than the model rules and on different timelines and may adjust domestic tax incentives in response to Pillar 2.

Following an executive order issued by the United States in January 2025 announcing opposition to aspects of these rules, the G7 issued a statement on June 28, 2025 acknowledging that U.S.

parented groups would be exempt from certain aspects of Pillar 2 in recognition of existing U.S.

minimum tax rules to which they are subject.

The statement acknowledges that these issues have relevance to the wider group of countries in the OECD Inclusive Framework with a view to reaching an acceptable solution for all.

While these rules are not currently expected to have a material impact on the Company’s results of operations, their application continues to evolve, and the outcome may alter aspects of how the Company’s tax obligations are determined in countries in which it does business.

In addition, while several jurisdictions have rolled back their digital services taxes, certain jurisdictions continue to maintain, or have enacted new digital services taxes.

Those taxes have had limited impact on the Company’s overall tax obligations, but the Company continues to monitor them.

Prior to the enactment of the Tax Act, the Company’s undistributed foreign earnings were considered permanently reinvested and as such, United States federal and state income taxes were not previously recorded on these earnings.

As a result of the Tax Act, substantially all of the Company’s earnings in foreign subsidiaries generated prior to the enactment of the Tax Act were deemed to have been repatriated and taxed accordingly.

As of June 30, 2024, the Company has approximately $ 1 billion of undistributed foreign earnings that it intends to reinvest permanently.

As of June 30, 2025, the Company has approximately $ 1 billion of undistributed foreign earnings generated after the Tax Act that it intends to reinvest permanently.

It is not practicable to estimate the amount of tax that might be payable if these earnings were repatriated.

1 unchanged sentence

During the fiscal years ended June 30, 2025, 2024 and 2023, the Company paid gross income taxes of $ 208 million, $ 156 million and $ 149 million, respectively, and received income tax refunds of $ 4 million, $ 17 million and $ 13 million, respectively.

SEGMENT INFORMATION

The Company manages and reports its businesses in the following five segments:

• Dow Jones —The Dow Jones segment consists of Dow Jones, a global provider of news and business information whose products target individual consumers and enterprise customers and are distributed through a variety of media channels including websites, mobile apps, newspapers, newswires, newsletters, magazines, proprietary databases, live journalism, video and podcasts.

Dow Jones’s consumer products include premier brands such as The Wall Street Journal , Barron’s , MarketWatch and Investor’s Business Daily.

Dow Jones’s professional information products, which target enterprise customers, include Dow Jones Risk & Compliance, a leading provider of data and other solutions to help customers identify and manage regulatory, corporate, geopolitical, security and reputational risk with tools focused on financial crime, sanctions, trade and other risks and compliance requirements, Dow Jones Energy, a leading provider of pricing data, news, insights, analysis and other information for energy commodities and key base chemicals, Factiva, a leading provider of global business content, and Dow Jones Newswires, which distributes real-time business news, information and analysis to financial professionals and investors.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

SEGMENT INFORMATION

The Company manages and reports its businesses in the following six segments:

• Digital Real Estate Services —The Digital Real Estate Services segment consists of the Company’s 61.4 % interest in REA Group and 80 % interest in Move.

5 unchanged sentences

and primarily operates Realtor.com ® , a premier real estate information, advertising and services platform.

Move offers real estate advertising solutions to agents and brokers, including its Connections SM Plus, Market VIP SM , Advantage SM Pro and Listing Toolkit products as well as its referral-based services, ReadyConnect Concierge SM and RealChoice TM Selling (formerly UpNest).

Move offers real estate advertising solutions to agents and brokers, including its RealPRO Select SM (formerly Market VIP SM ), Connections SM Plus and Listing Toolkit products as well as its referral-based services, ReadyConnect Concierge SM and RealChoice TM Selling.

Move also offers online tools and services to do-it-yourself landlords and tenants.

• Subscription Video Services —The Company’s Subscription Video Services segment provides sports, entertainment and news services to pay-TV and streaming subscribers and other commercial licensees via satellite and internet distribution and consists of (i) the Company’s 65 % interest in the Foxtel Group (with the remaining 35 % interest held by Telstra, an ASX-listed telecommunications company) and (ii) Australian News Channel (“ANC”).

The Foxtel Group is the largest Australian-based subscription television provider.

Its Foxtel pay-TV service provides approximately 200 channels and video on demand covering sports, general entertainment, movies, documentaries, music, children’s programming and news.

Foxtel and the Group’s Kayo Sports streaming service offer the leading sports programming content in Australia, with broadcast rights to live sporting events including:

National Rugby League, Australian Football League, Cricket Australia and various motorsports programming.

The Foxtel Group’s other products and services include BINGE , its entertainment streaming service, Foxtel Now, a streaming service that provides access across Foxtel’s live and on-demand content, and Hubbl, its recently-launched content aggregation platform.

ANC operates the Sky News Australia network, Australia’s 24-hour multi-channel, multi-platform news service.

ANC channels are distributed throughout Australia on Foxtel and Sky News is distributed in New Zealand by Sky Network Television Limited.

ANC also owns and operates the IPTV Australia Channel, which is available in territories outside Australia and New Zealand, and offers content across a variety of digital media platforms, including web, mobile and third-party providers.

• Dow Jones —The Dow Jones segment consists of Dow Jones, a global provider of news and business information whose products target individual consumers and enterprise customers and are distributed through a variety of media channels including newspapers, newswires, websites, mobile apps, newsletters, magazines, proprietary databases, live journalism, video and podcasts.

Dow Jones’s consumer products include premier brands such as The Wall Street Journal , Barron’s , MarketWatch and Investor’s Business Daily.

Dow Jones’s professional information products, which target enterprise customers, include Dow Jones Risk & Compliance, a leading provider of data solutions to help customers identify and manage regulatory, corporate and reputational risk with tools focused on financial crime, sanctions, trade and other compliance requirements, Dow Jones Energy, a leading provider of pricing data, news, insights, analysis and other information for energy commodities and key base chemicals, Factiva, a leading provider of global business content, and Dow Jones Newswires, which distributes real-time business news, information and analysis to financial professionals and investors.

• Book Publishing —The Book Publishing segment consists of HarperCollins, the second largest consumer book publisher in the world, with operations in 15 countries and particular strengths in general fiction, nonfiction, children’s and religious publishing.

3 unchanged sentences

Martin Luther King, Jr.

It is also home to many beloved children’s books and series and a significant Christian publishing business.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

It is home to many beloved children’s books and series and a significant Christian publishing business.

• News Media —The News Media segment consists primarily of News Corp Australia, News UK and the New York Post and includes The Australian , The Daily Telegraph , Herald Sun , The Courier Mail , The Advertiser and the news.com.au website in Australia, The Times , The Sunday Times , The Sun , The Sun on Sunday and thesun.co.uk in the U.K.

and the-sun.com in the U.S.

This segment also includes Wireless Group, operator of talkSPORT, the leading sports radio network in the U.K., Talk in the U.K.

and Storyful, a social media content agency.

This segment also includes Wireless Group, operator of talkSPORT, the leading sports radio network in the U.K., Talk in the U.K., Australian News Channel, which operates the Sky News Australia network, Australia’s 24-hour multi-channel, multi-platform news service, and Storyful, a social media content agency.

• Other —The Other segment consists primarily of general corporate overhead expenses, strategy costs and costs related to the U.K.

Newspaper Matters.

Segment EBITDA is the primary measure used by the Company’s chief operating decision maker to evaluate the performance of, and allocate resources within, the Company’s businesses.

The Company’s chief operating decision maker (“CODM”) is its Chief Executive Officer.

Segment EBITDA is the primary measure used by the Company’s CODM to evaluate the performance of, and allocate resources within, the Company’s businesses.

The CODM uses Segment EBITDA to compare actual results to budget and uses this information to, among other things, allocate resources such as incentive compensation to segment managers.

Segment EBITDA is defined as revenues less operating expenses and selling, general and administrative expenses.

Segment EBITDA does not include:

depreciation and amortization, impairment and restructuring charges, equity losses of affiliates, interest (expense) income, net, other, net and income tax (expense) benefit.

depreciation and amortization, impairment and restructuring charges, equity losses of affiliates, interest (expense) income, net, other, net, income tax (expense) benefit and net income (loss) from discontinued operations, net of tax.

Segment EBITDA may not be comparable to similarly titled measures reported by other companies, since companies and investors may differ as to what items should be included in the calculation of Segment EBITDA.

Segment EBITDA provides management, investors and equity analysts with a measure to analyze the operating performance of each of the Company’s business segments and its enterprise value against historical data and competitors’ data, although historical results may not be indicative of future results (as operating performance is highly contingent on many factors, including customer tastes and preferences).

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Segment information is summarized as follows:

For the fiscal years ended June 30,

2024 2023 2022

For the fiscal year ended June 30, 2025

Dow Jones Digital Real Estate Services Book Publishing News Media Other Total

(in millions)

Digital Real Estate Services $ 1,658 $ 1,539 $ 1,741

Subscription Video Services 1,917 1,942 2,026

Dow Jones 2,231 2,153 2,004

Book Publishing 2,093 1,979 2,191

News Media 2,186 2,266 2,423

Total Revenues

$ 10,085 $ 9,879 $ 10,385

Segment information:

Revenues $ 2,331 $ 1,802 $ 2,149 $ 2,170 $ — $ 8,452

Significant segment expenses:

Operating expenses ( 958 ) ( 186 ) ( 1,450 ) ( 1,142 ) — ( 3,736 )

Selling, general and administrative ( 785 ) ( 1,015 ) ( 403 ) ( 875 ) ( 223 ) ( 3,301 )

Segment EBITDA $ 588 $ 601 $ 296 $ 153 $ ( 223 ) $ 1,415

Digital Real Estate Services $ 508 $ 457 $ 574

Subscription Video Services 310 347 360

Dow Jones 542 494 433

Book Publishing 269 167 306

News Media 120 156 217

Other ( 210 ) ( 201 ) ( 221 )

Depreciation and amortization ( 459 )

Impairment and restructuring charges ( 132 )

( 138 ) ( 150 ) ( 109 )

Equity losses of affiliates ( 15 )

( 6 ) ( 127 ) ( 13 )

Interest income, net 3

Other, net 111

Income before income tax expense from continuing operations 923

Income tax expense from continuing operations ( 275 )

Net income from continuing operations 648

Net income from discontinued operations, net of tax 692

Net income $ 1,340

For the fiscal year ended June 30, 2024

Dow Jones Digital Real Estate Services Book Publishing News Media Other Total

(in millions)

Segment information:

Revenues $ 2,231 $ 1,658 $ 2,093 $ 2,270 $ — $ 8,252

Significant segment expenses:

Operating expenses ( 919 ) ( 190 ) ( 1,441 ) ( 1,264 ) — ( 3,814 )

Selling, general and administrative ( 770 ) ( 960 ) ( 383 ) ( 873 ) ( 211 ) ( 3,197 )

Segment EBITDA $ 542 $ 508 $ 269 $ 133 $ ( 211 ) $ 1,241

Depreciation and amortization ( 440 )

Impairment and restructuring charges ( 133 )

Equity losses of affiliates ( 6 )

Interest expense, net ( 18 )

Income before income tax expense 546 330 812

Income tax expense ( 192 ) ( 143 ) ( 52 )

Other, net ( 59 )

Income before income tax expense from continuing operations 585

Income tax expense from continuing operations ( 206 )

Net income from continuing operations 379

Net loss from discontinued operations, net of tax ( 25 )

Net income $ 354

1 unchanged sentence

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the fiscal year ended June 30, 2023

Dow Jones Digital Real Estate Services Book Publishing News Media Other Total

(in millions)

Segment information:

Revenues $ 2,153 $ 1,539 $ 1,979 $ 2,341 $ — $ 8,012

Significant segment expenses:

Operating expenses ( 934 ) ( 201 ) ( 1,469 ) ( 1,307 ) — ( 3,911 )

Selling, general and administrative ( 725 ) ( 881 ) ( 343 ) ( 861 ) ( 202 ) ( 3,012 )

Segment EBITDA $ 494 $ 457 $ 167 $ 173 $ ( 202 ) $ 1,089

Depreciation and amortization ( 415 )

Impairment and restructuring charges ( 121 )

Equity losses of affiliates ( 127 )

Interest expense, net ( 49 )

Income before income tax expense from continuing operations 380

Income tax expense from continuing operations ( 152 )

Net income from continuing operations 228

Net loss from discontinued operations, net of tax ( 41 )

Net income $ 187

For the fiscal years ended June 30,

2 unchanged sentences

Depreciation and amortization:

Digital Real Estate Services $ 137 $ 123 $ 112

Subscription Video Services 298 302 321

Dow Jones $ 156 $ 153 $ 152

Digital Real Estate Services 146 137 123

Book Publishing 54 54 49

5 unchanged sentences

Capital expenditures:

Digital Real Estate Services $ 131 $ 130 $ 109

Subscription Video Services 143 156 193

Dow Jones $ 130 $ 100 $ 91

Digital Real Estate Services 154 131 130

Book Publishing 17 32 42

1 unchanged sentence

Total Capital expenditures $ 407 $ 357 $ 347

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

As of June 30,

1 unchanged sentence

Total assets:

Digital Real Estate Services $ 3,020 $ 2,942

Subscription Video Services 2,587 2,812

Dow Jones $ 4,134 $ 4,139

Digital Real Estate Services 3,202 3,020

Book Publishing 2,767 2,647

1 unchanged sentence

Investments 1,016 429

Assets from discontinued operations (b)

Total assets $ 15,504 $ 16,684

(a) The Other segment primarily includes Cash and cash equivalents.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

(b) See Note 3—Discontinued Operations

As of June 30,

1 unchanged sentence

Goodwill and intangible assets, net:

Digital Real Estate Services $ 1,828 $ 1,779

Subscription Video Services 1,224 1,288

Dow Jones $ 3,256 $ 3,248

Digital Real Estate Services 1,798 1,828

Book Publishing 941 914

17 unchanged sentences

Revenues include approximately $ 2.2 billion for fiscal 2025, $ 2.1 billion for fiscal 2024 and $ 2.0 billion for fiscal 2023 from customers in Australia.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

As of June 30,

9 unchanged sentences

Revenues are attributed to countries based on location of customers.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

ADDITIONAL FINANCIAL INFORMATION

4 unchanged sentences

Royalty advances to authors $ 377 $ 375

Non-current receivables 320 300

Retirement benefit assets 165 147

Inventory (a)

News America Marketing deferred consideration (b)

Other 138 135

Total Other non-current assets $ 1,000 $ 957

(a) Primarily consists of the non-current portion of programming rights.

(b) The balance of the News America Marketing deferred consideration was reclassified to Other current assets during the fiscal year ended June 30, 2024.

Other Current Liabilities

3 unchanged sentences

Royalties and commissions payable $ 202 $ 215

Current operating lease liabilities 117 112

Allowance for sales returns 138 141

Programming rights payable

Current operating lease liabilities 74 89

Other 300 327

11 unchanged sentences

Fiscal year activity (a)

( 13 ) ( 11 ) 12

Balance, end of year

3 unchanged sentences

Fiscal year activity (b)

( 18 ) 19 ( 7 )

Balance, end of year

21 unchanged sentences

Remeasurement of equity securities $ 21 $ ( 13 ) $ ( 9 )

Dividends received from equity security investments 4 6 20

Gain on sale of businesses (a)

Gain on remeasurement of previously-held interest

Gain on dilution of PropertyGuru investment (b)

Gain on sale of investment in PropertyGuru

Other 3 ( 46 ) 12

Total Other, net $ 111 $ ( 59 ) $ 3

(a) During the fiscal year ended June 30, 2022, REA Group acquired an 18 % interest in PropertyGuru in exchange for all shares of REA Group’s entities in Malaysia and Thailand.

The Company recognized a gain of $ 107 million on the disposition of such entities.

(b) During the fiscal year ended June 30, 2022, PropertyGuru completed its merger with Bridgetown 2 Holdings Limited.

As a result of the merger and subsequent investments made in connection with the transaction, REA Group’s ownership interest in PropertyGuru was 17.5 % and a gain of $ 15 million was recorded resulting from its ownership dilution in the transaction.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Supplemental Cash Flow Information

6 unchanged sentences

Cash paid for taxes

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

VALUATION AND QUALIFYING ACCOUNTS

and disposals

Balance at beginning of year

Acquisitions and disposals

Foreign exchange

Balance at end of year

(in millions)

14 unchanged sentences

( 1,477 ) ( 64 ) — 15 ( 2 ) ( 1,528 )

QUARTERLY DATA (UNAUDITED)

The following tables present quarterly selected Company financial information for the fiscal years ended June 30, 2025 and 2024:

For the three months ended

September 30,

(in millions, except per share amounts)

Revenues $ 2,096 $ 2,238 $ 2,009 $ 2,109

Net income from continuing operations 149 306 107 86

Net (loss) income from discontinued operations, net of tax ( 5 ) ( 23 ) 30 690

Net income 144 283 137 776

Net income attributable to noncontrolling interests from continuing operations ( 31 ) ( 78 ) ( 26 ) ( 33 )

Net loss (income) attributable to noncontrolling interests from discontinued operations 6 10 ( 8 ) —

Net income attributable to News Corporation stockholders $ 119 $ 215 $ 103 $ 743

Net income (loss) attributable to News Corporation stockholders per share:

Continuing operations $ 0.21 $ 0.40 $ 0.14 $ 0.09

Discontinued operations $ — $ ( 0.02 ) $ 0.04 $ 1.22

$ 0.21 $ 0.38 $ 0.18 $ 1.31

Continuing operations $ 0.21 $ 0.40 $ 0.14 $ 0.09

Discontinued operations $ — $ ( 0.02 ) $ 0.04 $ 1.22

$ 0.21 $ 0.38 $ 0.18 $ 1.31

(a) For convenience purposes, references to September 30, 2024, December 31, 2024 and March 31, 2025 refer to September 29, 2024, December 29, 2024 and March 30, 2025, respectively.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended

September 30,

(in millions, except per share amounts)

Revenues $ 2,031 $ 2,135 $ 1,994 $ 2,092

Net income from continuing operations 54 194 64 67

Net income (loss) from discontinued operations, net of tax 4 ( 11 ) ( 22 ) 4

Net income 58 183 42 71

Net income attributable to noncontrolling interests from continuing operations ( 30 ) ( 34 ) ( 22 ) ( 24 )

Net loss attributable to noncontrolling interests from discontinued operations 2 7 10 3

Net income attributable to News Corporation stockholders $ 30 $ 156 $ 30 $ 50

Net income (loss) attributable to News Corporation stockholders per share:

Continuing operations $ 0.04 $ 0.28 $ 0.07 $ 0.08

Discontinued operations $ 0.01 $ ( 0.01 ) $ ( 0.02 ) $ 0.01

$ 0.05 $ 0.27 $ 0.05 $ 0.09

Continuing operations $ 0.04 $ 0.28 $ 0.07 $ 0.08

Discontinued operations $ 0.01 $ ( 0.01 ) $ ( 0.02 ) $ 0.01

$ 0.05 $ 0.27 $ 0.05 $ 0.09

(a) For convenience purposes, references to September 30, 2023 refer to October 1, 2023.

SUBSEQUENT EVENTS

4 unchanged sentences

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 8. Financial Statements and Supplementary Data