What changed in this filing

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Item 8. Financial Statements and Supplementary Data

2026-08-07 compared with 2025-08-06 · 234 added, 346 removed, 1691 unchanged (26% of the section changed)

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Reports of Independent Registered Public Accounting Firm (PCAOB ID:

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

Consolidated Statements of Operations for the Fiscal Years Ended June 30, 2026, 2025 and 2024

Consolidated Statements of Comprehensive Income (Loss) for the Fiscal Years Ended June 30, 2026, 2025 and 2024

Consolidated Balance Sheets as of June 30, 2026 and 2025

Consolidated Statements of Cash Flows for the F iscal Y ears E nded June 30, 202 5 , 202 4 and 202 3

Consolidated Statements of Equity for the F iscal Y ears E nded June 30, 202 5 , 202 4 and 202 3

Consolidated Statements of Cash Flows for the Fiscal Years Ended June 30, 2026, 2025 and 2024

Consolidated Statements of Equity for the Fiscal Years Ended June 30, 2026, 2025 and 2024

Notes to the Consolidated Financial Statements

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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.

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

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

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 quantitative impairment assessment process.

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

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.

To test the estimated fair value of certain reporting units 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.

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$ 1.03 $ 2.08 $ 0.47

$ 2.08 $ 0.47 $ 0.26

Continuing operations

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Net income $ 743 $ 1,340 $ 354

Other comprehensive (loss) income:

Other comprehensive income (loss):

Foreign currency translation adjustments (a)

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Benefit plan adjustments, net (c)

( 18 ) 19 ( 7 )

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

Other comprehensive income (loss) 33 ( 325 ) ( 5 )

Comprehensive income 776 1,015 349

Net income attributable to noncontrolling interests ( 170 ) ( 160 ) ( 88 )

Other comprehensive loss attributable to noncontrolling interests (d)

Other comprehensive (income) loss attributable to noncontrolling interests (d)

Comprehensive income attributable to News Corporation stockholders $ 568 $ 888 $ 262

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Other current assets 328 519

Current assets of discontinued operations

Total current assets 4,482 4,811

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Other non-current assets 21 1,278 1,000

Non-current assets of discontinued operations

Total assets $ 15,544 $ 15,504

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Other current liabilities 21 726 714

Current liabilities of discontinued operations

Total current liabilities 2,761 2,608

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Other non-current liabilities 513 492

Non-current liabilities of discontinued operations

Commitments and contingencies 16

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Capital expenditures ( 426 ) ( 407 ) ( 357 )

Proceeds from sales of property, plant and equipment — — 37

Acquisitions, net of cash acquired ( 122 ) ( 96 ) ( 38 )

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Repayment of borrowings 9 ( 100 ) ( 203 ) ( 409 )

Repurchase of shares 12 ( 150 ) ( 117 ) ( 243 )

Repurchase of News Corp shares 12 ( 641 ) ( 150 ) ( 117 )

Repurchase of REA Group shares 12 ( 141 ) — —

Dividends paid ( 204 ) ( 185 ) ( 172 )

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Cash flows from discontinued operations:

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

Net cash (used in) provided by operating activities from discontinued operations ( 6 ) 156 201

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

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

Net cash provided by discontinued operations 370 129 187

Net cash (used in) provided by discontinued operations ( 6 ) 370 129

Net change in cash and cash equivalents, including discontinued operations ( 322 ) 418 133

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Net income — — — — — 266 — 266 88 354

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

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

Share repurchases

( 10 ) — ( 5 ) — ( 240 ) — — ( 240 ) — ( 240 )

Other 2 — — — 26 — — 26 ( 2 ) 24

Balance, June 30, 2023 380 4 192 2 11,449 ( 2,144 ) ( 1,247 ) 8,064 881 8,945

Net income — — — — — 266 — 266 88 354

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

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

Share repurchases ( 3 ) — ( 2 ) — ( 106 ) ( 11 ) — ( 117 ) — ( 117 )

News Corp share repurchases ( 3 ) — ( 2 ) — ( 106 ) ( 11 ) — ( 117 ) — ( 117 )

Other 2 — — — 25 — — 25 ( 19 ) 6

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

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

News Corp share repurchases ( 4 ) — ( 1 ) — ( 113 ) ( 37 ) — ( 150 ) — ( 150 )

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

Net income — — — — — 573 — 573 170 743

Other comprehensive (loss) income — — — — — — ( 5 ) ( 5 ) 38 33

Dividends — — — — ( 112 ) — — ( 112 ) ( 92 ) ( 204 )

News Corp share repurchases ( 16 ) — ( 8 ) — ( 512 ) ( 138 ) — ( 650 ) — ( 650 )

Other 1 — — — ( 54 ) — — ( 54 ) ( 21 ) ( 75 )

Balance, June 30, 2026 362 $ 4 181 $ 2 $ 10,380 $ ( 312 ) $ ( 1,548 ) $ 8,526 $ 710 $ 9,236

(a) Primarily relates to the disposition of Foxtel.

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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

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Fiscal 2026, fiscal 2025 and fiscal 2024 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.

All references to the fiscal years ended June 30, 2026, 2025 and 2024 relate to the fiscal years ended June 28, 2026, June 29, 2025 and June 30, 2024, respectively.

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

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

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.

All significant intercompany accounts and transactions 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 and whether the Company is the primary beneficiary.

In determining whether the Company is the primary beneficiary of a VIE, it assesses whether it has the power to direct matters that most significantly impact the activities of the VIE and has the obligation to absorb losses or the right to receive benefits from the VIE that could potentially be significant to the VIE.

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Actual results could differ from those estimates.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Cash and Cash Equivalents

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The Company had no restricted cash as of June 30, 2026 and 2025.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Concentration of Credit Risk

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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.

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.

Significant influence is generally presumed to exist when the Company owns an interest between 20% and 50% or when the Company has the ability to exercise significant influence.

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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.

Such amortization is reflected in Equity losses 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”).

Gains and losses on equity securities with readily determinable fair market values are recorded in Other, net in the Statement of Operations based on the closing price at the end of each reporting period.

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

Equity method investments and investments in equity and other securities for which the measurement alternative has been selected are regularly reviewed to determine whether a significant event or change in circumstances has occurred that may impact the fair value of each investment.

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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.

The Company has no finance leases as of June 30, 2026.

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.

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(“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.

newspapers, Wireless Group plc (“News Broadcasting”), 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.

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They are subsequently recognized at amortized cost using the effective interest method.

Debt may be considered extinguished when it has been modified and the terms of the new debt instruments and old debt instruments are substantially different, as that term is defined in the debt modification guidance in ASC 470-50, Debt—Modifications and Extinguishments (“ASC 470-50”).

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, Debt .

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The Company also applies the provisions of fair value measurement to various non-recurring measurements for the Company’s non-financial assets and liabilities.

With the exception of investments measured using the net asset value per share practical expedient in accordance with ASC 820, Fair Value Measurements (“ASC 820”) , or ASC 825-10 described above, the Company measures assets and liabilities in accordance with ASC 820, using inputs from the following three levels of the fair value hierarchy:

With the exception of investments measured using the net asset value per share practical expedient in accordance with ASC 820, Fair Value Measurements (“ASC 820”) , or ASC 825-10, Recognition and Measurement of Financial Assets and Financial Liabilities , the Company measures assets and liabilities in accordance with ASC 820, using inputs from the following three levels of the fair value hierarchy:

(i) inputs that are quoted prices in active markets for identical assets or liabilities (“Level 1”);

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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 2021 Repurchase Program have been retired.

All shares repurchased to date under the Stock Repurchase Programs have been retired.

See Note 12—Stockholders’ Equity.

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Recently Issued Accounting Pronouncements

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.

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):

In December 2023, the Financial Accounting Standards Board (“FASB”) issued ASU 2023-09, Income Taxes (Topic 740):

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

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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.

The Company adopted ASU 2023-09 on a prospective basis as of June 30, 2026.

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

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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):

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

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

In September 2025, the FASB issued ASU 2025-06, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40) (“ASU 2025-06”).

The amendments in ASU 2025-06 eliminate all references to project stages throughout Subtopic 350-40 and require an entity to begin capitalizing software costs when both (1) management has authorized and committed to funding the project and (2) it is probable that the project will be completed and the software will be used to perform the function intended (the “probable-to-complete recognition threshold”).

ASU 2025-06 is effective for the Company for its annual reporting periods beginning July 1, 2028, and interim periods within those annual reporting periods, with early adoption permitted.

The Company is currently evaluating the impact ASU 2025-06 will have on its consolidated financial statements.

In December 2025, the FASB issued ASU 2025-11, Interim Reporting (Topic 270):

Narrow-Scope Improvements (“ASU 2025-11”).

The amendments in ASU 2025-11 amend ASC Topic 270, Interim Reporting to improve the navigability of required interim disclosures and clarify when the guidance is applicable.

ASU 2025-11 also adds a principle requiring entities to disclose material events that occurred since the end of the last annual reporting period.

ASU 2025-11 is effective for the Company’s interim reporting periods beginning July 1, 2028, with early adoption permitted.

ASU 2025-11 will not have a material impact on the Company’s consolidated financial statements.

In December 2025, the FASB issued ASU 2025-12, Codification Improvements (“ASU 2025-12”).

The amendments in ASU 2025-12 represent changes that (1) clarify, (2) correct errors, or (3) make minor improvements to the Accounting Standards Codification that make it easier to understand and apply.

ASU 2025-12 is effective for the Company’s annual reporting periods beginning July 1, 2027, and interim periods within those annual reporting periods, with early adoption permitted.

ASU 2025-12 will not have a material impact on the Company’s 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.

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

The 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 , as the disposition reflected a strategic shift that had 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.

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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.

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

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

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

For the fiscal years ended June 30,

2025 2024 2023

(in millions)

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(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

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Book Publishing

News Media Other

Total Revenues

News Media Total Revenues

(in millions)

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$ 2,497 $ 2,016 $ 2,288 $ 2,227 $ 9,028

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the fiscal year ended June 30, 2025

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Book Publishing

News Media Other

Total Revenues

News Media Total Revenues

(in millions)

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Book Publishing

News Media Other

Total Revenues

News Media Total Revenues

(in millions)

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

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Contract Liabilities and Assets

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The Company also does not capitalize significant financing components when the transfer of the good or service is paid within twelve months or less, or the consideration is received within twelve months or less of the transfer of the good or service.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

During the fiscal year ended June 30, 2026, the Company recognized approximately $ 447 million in revenues related to performance obligations that were satisfied or partially satisfied in a prior reporting period.

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.

The remaining transaction price related to unsatisfied performance obligations as of June 30, 2026 was approximately $ 1,259 million, of which approximately $ 487 million is expected to be recognized in fiscal 2027, $ 283 million is expected to be recognized in fiscal 2028 and $ 181 million is expected to be recognized in fiscal 2029, 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.

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The Company recorded restructuring charges of $ 86 million, $ 120 million and $ 89 million for the fiscal years ended June 30, 2026, 2025 and 2024, respectively.

Fiscal 2025 Restructuring

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

Fiscal 2024 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 reductions announced in February 2023.

Fiscal 2023 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.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Changes in restructuring program liabilities were as follows:

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( 106 ) ( 12 ) ( 118 )

( 1 ) — ( 1 )

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

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( 102 ) ( 6 ) ( 108 )

( 7 ) — ( 7 )

Balance, June 30, 2026 $ 29 $ 39 $ 68

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(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.

(b) Equity and other securities are primarily comprised of the Company’s interest in DAZN, certain investments in China, REA Group’s investment in Athena Home Loans and Nexxen International, Ltd.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

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

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

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The Company’s share of the losses of its equity affiliates was $ 8 million, $ 15 million and $ 6 million for the fiscal years ended June 30, 2026, 2025 and 2024, respectively.

In fiscal 2023, the losses primarily reflect the non-cash write-down of REA Group’s investment in PropertyGuru of approximately $ 81 million and losses from an investment in an Australian sports wagering venture.

PROPERTY, PLANT AND EQUIPMENT

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Balance, June 30, 2024 $ 2,195 $ 1,604 $ 406 $ 131 $ 4,336

Impairments — — — ( 9 ) ( 9 )

44 ( 8 ) 16 — 52

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

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29 94 6 2 131

Dispositions — ( 2 ) — — ( 2 )

Foreign exchange and other — 45 ( 7 ) 2 40

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See Note 2—Summary of Significant Accounting Policies.

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

The performance of the Company’s annual impairment analysis resulted in a $ 9 million impairment of an indefinite-lived intangible asset and no impairments to goodwill in fiscal 2026.

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

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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.

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 %).

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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 $ 2 million to indefinite-lived intangible assets and no impairments to goodwill in fiscal 2023.

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 %).

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4.961 % Mar 27, 2031 499 —

2022 Term loan A (a)

N/A N/A — 475

2022 Senior notes 5.125 % Feb 15, 2032 495 494

2021 Senior notes 3.875 % May 15, 2029 995 993

REA Group (b)

2024 REA credit facility — tranche 1 (c)

5.10 % Sep 15, 2028 — —

2024 REA credit facility — tranche 2 (d)

2024 Subsidiary facility (e)

Total borrowings 1,989 1,962

current portion (f)

current portion (b)

Long-term borrowings $ 1,989 $ 1,937

(a) The Company entered into an interest rate swap derivative to fix the floating rate interest component of its Term A Loans at 2.083 %.

(a) In March 2026, the Company entered into the 2026 Credit Agreement (as defined below).

The Company has an interest rate swap derivative as discussed in Note 11—Financial Instruments and Fair Value Measurements.

For the three months ended June 30, 2026, the Company was paying interest at an effective interest rate of 3.496 %.

See Note 11—Financial Instruments and Fair Value Measurements.

(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.

(b) The current portion of long term debt as of June 30, 2025 relates to required principal payments on the 2022 Term Loan A.

News Corporation Borrowings

As of June 30, 2026, News Corporation had (i) borrowings of $ 2.0 billion, including the current portion, consisting of its outstanding 2021 Senior Notes, 2022 Senior Notes (collectively, the “Senior Notes”) and the 2026 Term A Loans (as defined below), and (ii) $ 1 billion of undrawn commitments available under the 2026 Revolving Facility (as defined below).

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

News Corporation Borrowings

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).

2026 Amended and Restated Credit Agreement

In March 2026, the Company entered into an Amended and Restated Credit Agreement (the “2026 Credit Agreement”) that provides $ 1.5 billion of unsecured credit facilities (the “2026 Facilities”) to the Company to refinance its 2022 Credit Agreement and for general corporate purposes.

The 2026 Facilities are comprised of a $ 1 billion five-year unsecured revolving credit facility (the “2026 Revolving Facility”) and a $ 500 million five-year unsecured term loan A credit facility (the “2026 Term A Facility,” and the loans under the 2026 Term A Facility are collectively referred to as “2026 Term A Loans”).

The 2026 Revolving Facility has a sublimit of $ 100 million available for issuances of letters of credit.

Under the 2026 Credit Agreement, the Company may request increases with respect to either of the 2026 Facilities in an aggregate principal amount not to exceed $ 250 million.

The loans under the 2026 Revolving Facility will not amortize.

The 2026 Term A Loans will amortize in equal quarterly installments in an aggregate annual amount equal to 0.0 %, 2.5 %, 2.5 %, 5.0 % and 5.0 %, respectively, of the original principal amount of the 2026 Term A Facility for each 12-month period commencing on June 30, 2026.

All outstanding amounts under the 2026 Credit Agreement with respect to the 2026 Facilities are due on March 27, 2031, unless earlier terminated in the circumstances set forth in the 2026 Credit Agreement.

The Company may request that the maturity date of the revolving credit commitments under the 2026 Revolving Facility be extended under certain circumstances as set forth in the 2026 Credit Agreement for up to two additional one-year periods.

The Company may also request that the maturity date of the 2026 Term A Facility be extended under certain circumstances as set forth in the 2026 Credit Agreement by at least one year .

Interest on borrowings is based on either (a) an Alternative Currency Term Rate formula, (b) a Term SOFR formula, (c) an Alternative Currency Daily Rate formula ((a) through (c) each, a “Relevant Rate”) or (d) the Base Rate formula, each as set forth in the 2026 Credit Agreement.

The applicable margin for borrowings under the 2026 Facilities and the commitment fee for undrawn balances under the 2026 Revolving Facility are based on the pricing grid in the 2026 Credit Agreement, which varies based on the Company’s debt rating as defined in the 2026 Credit Agreement.

As of June 30, 2026, the Company was paying commitment fees of 0.15 % on any undrawn balance under the 2026 Revolving Facility and, with respect to any outstanding borrowings under the 2026 Facilities, an applicable margin of 0.25 % for a Base Rate borrowing and 1.25 % for a Relevant Rate borrowing.

The 2026 Credit Agreement contains certain customary affirmative and negative covenants and events of default with customary exceptions, including limitations on the ability of the Company and the Company’s subsidiaries to incur liens, merge into or consolidate with any other entity, incur subsidiary debt or dispose of all or substantially all of its assets or all or substantially all of the stock of all subsidiaries taken as a whole.

In addition, the 2026 Credit Agreement requires the Company to maintain an adjusted operating income net leverage ratio of not more than 3.5 to 1.0, subject to certain adjustments following a material acquisition.

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 the 2026 Facilities.

In the event of specified change in control events, the Company must offer to purchase the outstanding Senior Notes from the holders at a purchase price equal to 101 % of the principal amount, plus any accrued and unpaid interest.

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The indentures governing the applicable Senior Notes contain other covenants that, among other things and subject to certain exceptions, (i) limit the Company’s ability and the ability of its subsidiaries to incur any liens securing indebtedness for borrowed money and (ii) limit the Company’s ability to consolidate or merge with or into another person or sell or otherwise dispose of all or substantially all of the assets of the Company and its subsidiaries (taken as a whole).

Term Loan A and Revolving Credit Facilities

The Company is party to a credit agreement (the “2022 Credit Agreement”) that provides for a $ 500 million unsecured term loan A credit facility (the “Term A Facility” and the loans under the Term A Facility, the “Term A Loans”) and a $ 750 million unsecured revolving credit facility with a sublimit of $ 100 million available for issuances of letters of credit (the “Revolving Facility” and, together with the Term A Facility, the “Facilities”).

Under the 2022 Credit Agreement, the Company may request increases with respect to either Facility in an aggregate principal amount not to exceed $ 250 million.

The Term A Loans amortize in equal quarterly installments in an aggregate annual amount equal to — %, 2.5 %, 2.5 %, 5.0 % and 5.0 %, respectively, of the original principal amount of the Term A Facility for each 12-month period commencing on June 30, 2022.

Loans under the Revolving Facility do not amortize.

The Facilities have a maturity date of March 31, 2027, and under certain circumstances as set forth in the 2022 Credit Agreement, the Company may request that the maturity date of the Term A Facility be extended by at least one year and/or that the maturity date of the revolving credit commitments under the Revolving Facility be extended for up to two additional one-year periods.

The applicable margin for borrowings under the Facilities and the commitment fee for undrawn balances under the Revolving Facility vary based on the Company’s adjusted operating income net leverage ratio.

At June 30, 2025, the Company was paying commitment fees of 0.2 % and an applicable margin of 0.375 % for a Base Rate borrowing and 1.375 % for a Relevant Rate borrowing.

The 2022 Credit Agreement contains certain customary affirmative and negative covenants and events of default with customary exceptions, including limitations on the ability of the Company and the Company’s subsidiaries to engage in transactions with affiliates, incur liens, merge into or consolidate with any other entity, incur subsidiary debt or dispose of all or substantially all of its assets or all or substantially all of the stock of all subsidiaries taken as a whole.

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.

REA Group Debt

As of June 30, 2026, REA Group had A$ 200 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.

During the fiscal year ended June 30, 2026, REA Group amended its 2024 REA Credit Facility to reduce the total amount available under the facility to A$ 200 million.

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.

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

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.

Borrowings under the 2024 REA Credit Facility 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.

The 2024 REA Credit Facility carries a commitment fee of 40 % of the applicable margin on any undrawn balance.

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.

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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.

HarperCollins Equipment Lease

In October 2025, HarperCollins entered into a finance leasing arrangement for up to $ 120 million of equipment for a new warehouse (the “Equipment Lease”).

Interest accrues on amounts drawn under the Equipment Lease based on the Term SOFR plus a margin of 1.475 %.

The Equipment Lease may be drawn on until June 30, 2028, after which lease payments commence for a term of 7 years.

The lease obligations are secured by the acquired equipment, and ownership of the equipment acquired under the Equipment Lease will transfer to HarperCollins at the end of the lease term.

The Equipment Lease will be classified as a finance lease on the Company’s balance sheet upon commencement.

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

If any of the events of default occur and are not cured within applicable grace periods or waived, any unpaid amounts under the applicable debt agreements may be declared immediately due and payable.

The Company was in compliance with all such covenants at June 30, 2025.

The Company was in compliance with all applicable covenants at June 30, 2026.

Future Maturities

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Operating lease costs Operating expenses 9 10 10

Short term lease costs Operating expenses 23 21 16

Short term lease costs Selling, general and administrative 26 23 21

Variable lease costs Selling, general and administrative 30 27 24

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Cash paid — operating lease liabilities $ 129 $ 138 $ 134

$ 138 $ 134 $ 132

Operating lease right-of-use assets obtained in exchange for operating lease liabilities 38 33 13

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For the Company, this primarily includes the use of forecasted financial information and other valuation related assumptions such as discount rates and long term growth rates in the income approach as well as the market approach which utilizes certain market and transaction multiples.

Under ASC 820, certain assets and liabilities are required to be remeasured to fair value at the end of each reporting period.

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

The following table summarizes the Company’s assets measured at fair value:

As of June 30, 2026 As of June 30, 2025

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

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

For the fiscal years ended June 30,

(in millions)

Balance—beginning of year $ 122 $ 130

Additions (a)

Returns of capital ( 5 ) ( 4 )

Measurement adjustments

Foreign exchange and other

Balance—end of year $ 814 $ 122

(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

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The Company does not use derivative financial instruments for trading or speculative purposes.

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Derivatives are classified as current or non-current in the Balance Sheets based on their maturity dates.

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As of June 30, 2026, the Company estimates that approximately $ 6 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.

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

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, 2026, 2025 and 2024 for derivatives designated as cash flow hedges:

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Interest rate derivatives—cash flow hedges

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

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

Nonrecurring Fair Value Measurements

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These nonrecurring fair value measurements are considered to be Level 3 in the fair value hierarchy.

There have been no material current period or cumulative remeasurements of Level 3 equity and other securities.

Other Fair Value Measurements

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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.

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

STOCKHOLDERS’ EQUITY

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As of June 30, 2026, the Company had no shares of Series Common Stock or Preferred Stock outstanding.

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Dividends— The following table summarizes the dividends declared and paid per share on both the Company’s Class A Common Stock and Class B Common Stock:

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Stock Repurchases

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.

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 was in addition to the remaining authorized amount under the 2021 Repurchase Program at that time.

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.

As of June 30, 2026, there was no authorized amount remaining under the 2021 Repurchase Program, and the remaining authorized amount under the 2025 Repurchase Program was approximately $ 667 million.

The 2025 Repurchase Program has no time limit and may be modified, suspended or discontinued at any time.

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Stock repurchases under the 2021 Repurchase Program commenced on November 9, 2021.

The following table summarizes the shares repurchased and subsequently retired and the related consideration paid during the fiscal years ended June 30, 2025, 2024 and 2023:

The following table summarizes the shares repurchased and subsequently retired under the Stock Repurchase Programs and the related consideration paid, excluding associated taxes, fees, commissions or other costs, during the fiscal years ended June 30, 2026, 2025 and 2024:

For the fiscal years ended June 30,

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23.7 $ 643 5.3 $ 150 5.0 $ 117

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.

Additionally, on February 6, 2026, REA Group announced a share repurchase program authorizing REA Group to purchase up to A$ 200 million of its outstanding fully paid ordinary shares listed on the ASX (ASX:

REA) which was completed during the fiscal year ended June 30, 2026.

For the fiscal year ended June 30, 2026, REA Group repurchased A$ 200 million (approximately $ 141 million) of its shares.

Stockholders Agreement

In September 2021, the Company entered into a stockholders agreement (the “Stockholders Agreement”) with the Murdoch Family Trust (the “MFT”) pursuant to which the MFT and the Company have agreed not to take actions that (i) would result in the MFT and Murdoch family members, including K.

Rupert Murdoch and Lachlan K.

Murdoch, the Company’s Chair, together owning more than 44 % of the outstanding voting power of the shares of the Company’s Class B Common Stock (“Class B Shares”), or (ii) would increase the MFT’s voting power by more than 1.75 % in any rolling twelve-month period.

The MFT would forfeit votes in connection with any Company stockholders meeting to the extent necessary to ensure that the MFT and the Murdoch family collectively do not exceed 44 % of the outstanding voting power of the Class B Shares at such meeting, except where a Murdoch family member votes their own shares differently from the MFT on any matter.

The Stockholders Agreement will terminate upon the MFT’s distribution of all or substantially all of its Class B Shares.

On September 8, 2025, the Company entered into a new stockholders agreement (the “New Stockholders Agreement”) with LGC Holdco, LLC (“LGC Holdco”) and certain Murdoch family trusts (collectively, the “LGC Family Trusts”).

In connection with this decision, the stockholders agreement between the Company and the Murdoch Family Trust (See Note 12—Stockholders’ Equity in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2025) was terminated.

The New Stockholders Agreement limits the LGC Family Trusts and LGC Holdco from owning, collectively with certain Murdoch family members (the “Murdoch Individuals”), more than 44 % of the outstanding voting power of the shares of the Company’s Class B Common Stock (“Class B Shares”) and requires the LGC Family Trusts and LGC Holdco to forfeit votes to the extent necessary to ensure that the Murdoch Individuals, the LGC Family Trusts and LGC Holdco collectively do not exceed 44 % of the outstanding voting power of the Class B Shares, except where a Murdoch Individual votes their own shares differently from the others on any matter.

In addition, the New Stockholders Agreement provides (a) the Company with a right of first refusal with respect to any underwritten public offering of the Class B Shares held by the LGC Family Trusts or LGC Holdco to anyone other than the Murdoch Individuals and their affiliates, subject to certain exceptions, and (b) the LGC Family Trusts and LGC Holdco with certain customary registration rights.

The New Stockholders Agreement will terminate upon the distribution of all or substantially all of the Class B Shares held by the LGC Family Trusts or LGC Holdco.

EQUITY-BASED COMPENSATION

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(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.

(b) The Company’s leases include 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.

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See Note 9—Borrowings.

Contingencies

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

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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.

Contingencies

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.

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.

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

In September 2025, a similar purported class action was filed in the Supreme Court of British Columbia alleging violations of certain provisions of Canadian law and claiming damages and costs among other relief.

The Company is currently evaluating this action, and it is not possible at this time to predict with any degree of certainty the ultimate outcome.

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

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While it is not possible at this time to predict with any degree of certainty the ultimate outcome of these actions, HarperCollins believes it has been compliant with applicable laws and intends to defend itself vigorously.

Newspaper Matters

Civil claims have been brought against the Company with respect to, among other things, voicemail interception and inappropriate payments to public officials at the Company’s former publication, The News of the World , and at The Sun , and related matters (the “U.K.

Newspaper Matters”).

The Company has admitted liability in many civil cases and has settled a number of cases.

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

In July 2026, a class action settlement with Anthropic PBC, covering HarperCollins as a class member, received final court approval.

As the timing and amount of any potential proceeds receivable under the settlement remain subject to the claims process, the Company has not yet recognized any gain related to this matter.

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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.

Newspaper Matters as well as legal and professional fees and expenses paid in connection with the previously concluded criminal matters, other than fees, expenses and costs relating to employees (i) who are not directors, officers or certain designated employees or (ii) with respect to civil matters, who are not co-defendants with the Company or 21st Century Fox.

21st Century Fox’s indemnification obligations with respect to these matters are settled on an after-tax basis.

In March 2019, as part of the separation of FOX Corporation (“FOX”) from 21st Century Fox, the Company, News Corp Holdings UK & Ireland, 21st Century Fox and FOX entered into a Partial Assignment and Assumption Agreement, pursuant to which, among other things, 21st Century Fox assigned, conveyed and transferred to FOX all of its indemnification obligations with respect to the U.K.

Newspaper Matters

Newspaper Matters”).

The Company has admitted liability in many civil cases and has settled a number of cases and claims.

In connection with the Separation, the Company and 21st Century Fox agreed in the Separation and Distribution Agreement (the “SDA”) that 21st Century Fox would indemnify the Company on an after-tax basis for payments made after June 28, 2013 arising out of civil claims and investigations relating to the U.K.

Newspaper Matters as well as related legal and professional fees and expenses, other than in the limited circumstances set forth in the SDA.

These indemnification obligations were subsequently assigned, conveyed and transferred to FOX Corporation (“FOX”) as part of its separation from 21st Century Fox.

The net expense related to the U.K.

Newspaper Matters in Selling, general and administrative was $ 1 million, $ 9 million and $ 8 million for the fiscal years ended June 30, 2026, June 30, 2025 and June 30, 2024, respectively.

As of June 30, 2025, the Company has provided for its best estimate of the liability for the claims that have been filed and costs incurred, including liabilities associated with employment taxes, and has accrued approximately $ 17 million.

As of June 30, 2026, the Company has provided for its best estimate of the costs incurred and liability for the claims that have been filed and has accrued approximately $ 8 million.

The amount to be indemnified by FOX of approximately $ 17 million was recorded as a receivable in Other current assets on the Balance Sheet as of June 30, 2026.

It is not possible to estimate the liability or corresponding receivable for any additional claims that may be filed given the information that is currently available to the Company.

If more claims are filed and additional information becomes available, the Company will update the liability provision and corresponding receivable for such matters.

The Company is not able to predict the ultimate outcome or cost of the civil claims.

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.

The Company is not able to predict the ultimate outcome or cost of the civil claims, and it is possible that these proceedings and any adverse resolution thereof could negatively impact its results of operations and financial condition.

RETIREMENT BENEFIT OBLIGATIONS

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Fair value of plan assets 669 710 — — 669 710

The accumulated benefit obligation exceeds the fair value of plan assets for all domestic pension plans.

Below is information about foreign pension plans in which the accumulated benefit obligation exceeds the fair value of the plan assets:

Foreign Pension Benefits

Funded Plans Unfunded Plans Total

As of June 30,

2025 2024 2025 2024 2025 2024

(in millions)

Projected benefit obligation $ — $ — $ 53 $ 50 $ 53 $ 50

Accumulated benefit obligation — — 53 50 53 50

Fair value of plan assets — — — — — —

The accumulated benefit obligations exceeds the fair value of plan assets for all unfunded pension plans.

Summary of Net Periodic Benefit Costs

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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.

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The amortization of amounts related to unrecognized prior service costs (credits), deferred losses and settlements, curtailments and other were reclassified out of Other comprehensive income as a component of net periodic benefit costs.

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$ ( 1 ) $ ( 1 ) $ 3 $ 10 $ 28

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Pension Benefits

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Discount rate for service cost

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

N/A N/A N/A 4.6 % 5.3 % 5.4 % N/A 5.6 % 5.5 %

Discount rate for interest on PBO

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Year that the rate reaches the ultimate trend rate 2041 2031

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The following table sets forth the estimated benefit payments for the next five fiscal years, and in aggregate for the five fiscal years thereafter.

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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, 2026 and 2025:

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Fair Value Measurements at Reporting Date Using

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Other pooled funds are valued at the NAV provided by the fund issuer.

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

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)

Balance, June 30, 2023 $ 6

Actual return on plan assets:

Relating to assets still held at end of period 1

Relating to assets sold during the period —

Purchases, sales, settlements and issuances ( 1 )

Transfers in and out of Level 3 —

Balance, June 30, 2024 $ 6

Actual return on plan assets:

Relating to assets still held at end of period —

Relating to assets sold during the period —

Purchases, sales, settlements and issuances —

Transfers in and out of Level 3 —

Balance, June 30, 2025 $ 6

The Company’s investment strategy for its pension plans is to maximize the long-term rate of return on plan assets within an acceptable level of risk in order to minimize the cost of providing pension benefits while maintaining adequate funding levels.

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A portion of the other allocation is reserved in cash to provide for expected benefits to be paid in the short term.

The Company’s equity portfolios are managed in such a way as to achieve optimal diversity.

The Company’s equity portfolios are managed in such a way as to target optimal diversity.

The Company’s fixed income portfolio is investment grade in the aggregate.

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The reconciliation between the Company’s actual effective tax rate and the statutory U.S.

Federal income tax rate was as follows:

Federal income tax rate for the fiscal year ended June 30, 2026 was as follows:

For the fiscal year ended June 30,

(in millions, except %)

federal statutory tax rate $ 220 21.0 %

State and local income taxes, net of federal income tax effect (a)

Foreign tax effects (b)

Statutory rate differential 58 5.5

Other foreign jurisdictions 23 2.2

foreign tax credits ( 18 ) ( 1.8 )

research and development tax credits ( 9 ) ( 0.8 )

Nontaxable or nondeductible items 12 1.2

Changes in unrecognized tax benefits ( 19 ) ( 1.8 )

Other adjustments 2 0.2

Effective tax rate $ 303 28.9 %

(a) State taxes in New York, Illinois, New York City, Massachusetts, New Jersey and Texas make up the majority (greater than 50 percent) of the tax effects in this category.

(b) The Company’s effective tax rate is impacted by the geographic mix of its income.

The Company’s foreign operations are located primarily in Australia and the U.K., which have higher statutory income tax rates than the U.S.

The reconciliation between the Company’s actual effective tax rate and the statutory U.S.

Federal income tax rate for the fiscal years ended June 30, 2025 and 2024 was as follows:

For the fiscal years ended June 30,

2025 2024 2023

federal income tax rate 21 % 21 %

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Effect of foreign operations (a)

Change in valuation allowance

Non-deductible goodwill and asset impairments — 1

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Impact of dispositions ( 3 ) —

Other — — ( 2 )

Effective tax rate 30 % 35 %

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The Company’s foreign operations are located primarily in Australia and the U.K., which have a higher statutory income tax rate than the U.S.

had a lower tax rate than the U.S.

through the fiscal year ended June 30, 2023.

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

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Net deferred tax assets $ 143 $ 197

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

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

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Net deferred tax assets $ 143 $ 197

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

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

Significant judgment is applied in determining the ability to realize the Company’s deferred tax assets.

Management assesses available positive and negative evidence, including historical results and future income forecasts, to determine whether deferred tax assets will be realized.

Based on its assessment, management has concluded that it is more likely than not that certain deferred tax assets may not be realized and therefore, a valuation allowance has been established against those tax assets.

Certain of our businesses may incur losses in the future resulting in additional valuation allowances being recorded.

Certain of the Company’s businesses may incur losses in the future resulting in additional valuation allowances being recorded.

As of June 30, 2026, the Company had income tax net operating loss (“NOL”) carryforwards (gross, net of uncertain tax benefits) in various jurisdictions as follows:

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(in millions)

Federal 2026 to 2035 $ 61

Federal 2034 $ 34

States Various 467

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Other Foreign Various 566

Utilization of the NOLs is dependent on generating sufficient taxable income from our operations in each of the respective jurisdictions to which the NOLs relate, while taking into account tax filing groups and limitations and/or restrictions on our ability to use them.

Certain of our U.S.

Utilization of the NOLs is dependent on generating sufficient taxable income from the Company’s operations in each of the respective jurisdictions to which the NOLs relate, while taking into account tax filing groups and limitations and/or restrictions on its ability to use them.

Certain of the Company’s U.S.

federal NOLs were acquired as part of the acquisition of Move and are subject to limitations as promulgated under Section 382 of the Internal Revenue Code of 1986, as amended (the “Code”).

Section 382 of the Code limits the amount of NOLs that we can use on an annual basis to offset consolidated U.S.

Section 382 of the Code limits the amount of NOLs that the Company can use on an annual basis to offset consolidated U.S.

taxable income.

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Valuation allowances of $ 126 million and $ 136 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, 2026 and 2025, respectively.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

As of June 30, 2026, the Company had approximately $ 3.7 billion, $ 1.6 billion and $ 1.1 billion of capital loss carryforwards in Australia, the U.K.

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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.

Realization of the Company’s 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 $ 1.8 billion and $ 1.7 billion as of June 30, 2026 and 2025, 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.

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 $ 1.8 billion and $ 1.7 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, 2026 and 2025, respectively.

As of June 30, 2026, the Company had approximately $ 108 million of U.S.

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tax credits and state tax credit carryforwards to an amount that will more likely than not be realized as of June 30, 2026.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

Uncertain Tax Positions

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Lapse of the statute of limitations ( 8 ) ( 3 ) ( 3 )

Settlement—tax attributes — — ( 14 )

Impact of currency translations ( 2 ) 7 ( 1 )

Balance, end of period $ 73 $ 103 $ 100

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

For the fiscal year ended June 30, 2026, the Company recognized a net benefit related to interest and penalties of $ 5 million, primarily reflecting write-downs of previously accrued interest and the effect of settlements of certain uncertain tax positions during the period, and an expense related to interest and penalties of $ 3 million and $ 1 million for the fiscal years ended June 30, 2025 and 2024, respectively.

The Company recorded liabilities for accrued interest and penalties of approximately $ 4 million, $ 10 million and $ 7 million as of June 30, 2026, 2025 and 2024, respectively.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The Company’s tax returns are subject to on-going review and examination by various tax authorities.

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 various U.S.

states and foreign jurisdictions.

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

The Company is currently undergoing audits with the U.S.

Internal Revenue Service for the year ended June 30, 2024 as well as certain U.S.

states and foreign jurisdictions for various years.

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.

However, the Company may need to accrue additional income tax expense and its 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.

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.

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As of June 30, 2026, approximately $ 13 million would affect the Company’s effective income tax rate, if and when recognized in future fiscal years.

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.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

On July 4, 2025, H.R.

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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.

Certain provisions of OBBBA are effective for fiscal 2026, 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 OBBBA maintains the U.S.

Federal income tax rate of 21%.

The Company does not expect OBBBA to materially impact its effective tax rate, however the Company continues to assess the impact of OBBBA including future expected guidance from the U.S.

Treasury Department and States.

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.

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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.

On January 5, 2026, the OECD announced a political and technical agreement by the Inclusive Framework on a comprehensive package for a “side-by-side arrangement” (the “Package”).

The Package, in the form of administrative guidance, includes a new Simplified Effective Tax Rate Safe Harbour, a one-year extension of the Transitional Country-by-Country Reporting Safe Harbour, a new Substance-based Tax Incentive Safe Harbour and two Safe Harbours related to a Side-by-Side System.

This administrative guidance will be incorporated into the Commentary to the Global Anti-Base Erosion Model Rules.

The Company does not expect the Package to materially impact its effective tax rate, however the Company continues to assess the impact of the Package, including future expected guidance from the OECD.

Prior to the enactment of the Tax Cuts and Jobs Act (“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.

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The Company may repatriate future earnings of certain foreign subsidiaries in which case the Company may be required to accrue and pay additional taxes, including any applicable foreign withholding taxes and income taxes.

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.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

The following table sets forth the significant components of the Company’s cash paid for taxes, net of refunds received for the fiscal year ended June 30, 2026:

For the fiscal year ended June 30,

(in millions)

Australia 185

Total Foreign 256

Total net cash paid for taxes (a)

(a) Includes income tax refunds received of $ 2 million for the fiscal year ended June 30, 2026.

During the fiscal years ended June 30, 2025 and 2024, the Company paid gross income taxes of $ 208 million and $ 156 million, respectively, and received income tax refunds of $ 4 million and $ 17 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 —The Dow Jones segment consists of Dow Jones, a global provider of news, data 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 news 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

• Digital Real Estate Services —The Digital Real Estate Services segment consists of the Company’s 62.0 % interest in REA Group and 80 % interest in Move.

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REA Group is a market-leading digital media business specializing in property and is listed on the Australian Securities Exchange (“ASX”) (ASX:

REA Group advertises property and property-related services on its websites and mobile apps, including Australia’s leading residential, commercial and share property websites, realestate.com.au, realcommercial.com.au and Flatmates.com.au, property.com.au and property portals in India.

In addition, REA Group provides property-related data to the financial sector and financial services through a digital property search and financing experience and a mortgage broking offering.

In addition, REA Group provides financial services through a digital property search and financing experience, a mortgage broking offering and property-related data services to the financial sector.

Move is a leading provider of digital real estate services in the U.S.

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 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.

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

Move also offers Realtor.com ® + TM , its collaborative home search platform that helps real estate professionals and consumers connect, as well as online tools and services to do-it-yourself landlords and tenants.

NEWS CORPORATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

• 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.

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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., 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.

This segment also includes News Broadcasting (formerly Wireless Group), operator of talkSPORT, the leading sports radio network in the U.K., and Australian News Channel, which operates the News24 network (formerly Sky News Australia), Australia’s 24-hour multi-channel, multi-platform news service.

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

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Equity losses of affiliates ( 15 )

Interest expense, net ( 18 )

Interest income, net 3

Other, net 111

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Net income from continuing operations 648

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

Net income from discontinued operations, net of tax 692

Net income $ 1,340

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Interest expense, net ( 18 )

Other, net ( 59 )

Income before income tax expense from continuing operations 585

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Investments 1,002 1,016

Assets from discontinued operations (b)

Total assets $ 15,544 $ 15,504

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

(b) See Note 3—Discontinued Operations

As of June 30,

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Retirement benefit assets 169 165

News America Marketing deferred consideration (a)

Other 143 138

Total Other non-current assets $ 1,278 $ 1,000

(a) The balance of the News America Marketing deferred consideration was reclassified to Other non-current assets during the fiscal year ended June 30, 2026, as the Company has amended the agreement to extend the payment due date.

Other Current Liabilities

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Balance, beginning of year

$ 9 $ 22 $ 33

Fiscal year activity (a)

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Fiscal year activity (b)

( 18 ) 19 ( 7 )

Balance, end of year

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( 1,528 ) ( 9 ) ( 7 ) 5 ( 2 ) ( 1,541 )

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

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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