News Corporation Q2 Preview: $2.3B Revenue, 3.2% Growth and Flat $0.33 EPS Estimate
Analysts forecast News Corp will report Q2 revenue of $2.3 billion, a 3.21% year-over-year gain, but flat $0.33 EPS for the quarter ending December 2025. Digital operations, comprising 62% of sales, and a rebound in book publishing will shape performance against historical consensus surprises of +2.92%.
1. Revenue and Earnings Projections
Analysts forecast News Corp.’s quarterly revenue at approximately $2.3 billion, representing a 3.21% year-over-year increase, while EPS is expected to remain flat at $0.33. The modest revenue growth reflects steady demand across News Corp.’s news and information services and digital real estate segments, but the lack of EPS growth suggests rising operating costs or investments are constraining net income expansion.
2. Segment Performance Dynamics
Within the company’s three reporting units, digital real estate services—which account for 62% of total sales—are projected to deliver the bulk of the revenue increase. Book publishing is anticipated to stage a rebound following prior quarter softness, potentially contributing an incremental $50 million to segment revenue. Conversely, print advertising and subscription businesses in the news segment may see single-digit declines, offsetting gains elsewhere.
3. Historical Earnings Surprise and Volatility
Over the past four quarters, News Corp. has beaten consensus EPS estimates once, matched twice, and missed once, yielding an average surprise of 2.92%. That historical volatility underscores the challenges of forecasting performance across diversified media operations and suggests investors should weigh both upside potential and forecast risk when positioning ahead of the release.
4. Valuation and Balance Sheet Metrics
News Corp. trades at a trailing P/E multiple of 12.10 and a price-to-sales ratio of 1.67, while enterprise value to sales stands at 1.75, indicating moderate market valuation relative to peers. On the balance sheet, a debt-to-equity ratio of 0.34 highlights conservative leverage, and a current ratio of 1.76 points to strong liquidity, factors that may support investor confidence in the company’s financial stability.