Alpha Gen Capital
Alpha Gen Capital
Thu, May 5, 6:51 PM
- News Corp. (NWS, NWSA) swung to a loss as it took costs tied to litigation and revenue slipped, but the company beat expectations on an adjusted basis in its fiscal Q3.
- Segment EBITDA of $185M excluded a legal settlement charge of $280M and beat an expected $150M; including the charge, reported segment EBITDA was -$122M.
- Excluding the legal charge and currency headwinds, "revenues and EBITDA declined 5% and 8%, respectively, which was still disappointing," said CEO Robert Thomson; he thinks Q4 is on track, though, "with the expansion of our digital real estate business, foreign currency comparisons hopefully beginning to ease, and cost saving initiatives taking firmer root."
- Revenue by segment: News and Information Services, $1.23B (down 9%); Book Publishing, $358M (down 11%); Digital Real Estate Services, $194M (up 14%); Cable Network Programming, $107M (down 8%).
- In EBITDA terms, its largest segment swung to a loss: News and Information Services, -$187M; Book Publishing, $36M (down 36%); Digital Real Estate Services, $39M (down 7%); Cable Network Programming, $34M (up 26%).
- The company noted Realtor.com hit record traffic with 50M average monthly unique users (up 30%).
- Press Release
Thu, Feb. 4, 8:12 PM
- Shares of News Corp. (NWS, NWSA) have had no movement in after-hours trading following an earnings report where revenue slipped for the fourth quarter in a row.
- Advertising continued its decline in core news services. Revenue overall beat slightly but fell 4.4% Y/Y; EPS of $0.20 missed by $0.01, but fell by a third from the prior year (and by more in continuing operations). Real estate services (paced by Realtor.com) provided the bright spot.
- "Macro-economic conditions in most of our markets have not been auspicious, and foreign exchange fluctuations have been particularly volatile," said CEO Robert Thomson, "but we believe in the enduring value of our prestigious brands and the sound logic of our digital strategy.”
- Revenue by segment: News and Information Services, $1.4B (down 8%); Book Publishing, $446M (down 5%); Digital Real Estate Services, $208M (up 35%); Cable Network Programming, $106M (down 5%).
- EBITDA by segment: News and Information Services, $158M (down 27%); Book Publishing, $57M (down 26%); Digital Real Estate Services, $73M (up 28%); Cable Network Programming, $39M (down 28%).
Nov. 5, 2015, 8:14 PM
- News Corp. (NWS, NWSA) posted results for its fiscal first quarter that were largely in line although revenue fell for the third straight quarter as a strong dollar continued to present issues for multinationals.
- Income from continuing operations was $143M, up from a prior $109M. Digital education is listed as discontinued after the company wrote down the business for $371M last quarter.
- CEO Robert Thomson praised the real estate results, chiefly momentum at Realtor.com, "which is significantly ahead of schedule on key metrics. We are now, by some reckoning, the world’s largest digital property listings company and we see a particularly bright future in the sector, especially in the U.S. where we believe the national real estate market is still returning to health."
- Revenue by segment: News and Information Services, $1.29B (down 11%); Book Publishing, $409M (up 1%); Digital Real Estate Services, $191M (up 71%); Cable Network Programming, $124M (down 11%).
- Free cash flow available to News Corp. was $67M, down from the prior year's $130M.
Aug. 13, 2015, 3:08 PM
- Investors are cheering a News Corp. (NWS +7.8%, NWSA +7.4%) decision to bail out of the education business, a pricey $1B bet that didn't pay off.
- Earnings yesterday featured a $371M writedown on Amplify, the digital-education unit headed by former New York City schools chancellor Joel Klein.
- News Corp. is in "active conversations with an outside investor" about a sale that are in the "final phase," according to a company memo.
- The education segment made up a little over 1% of total revenues, but was seen as a possible growth engine amid slowdowns elsewhere (News and Information Services revenue declined 10%).
- Earlier this summer, Amplify began winding down sales of its custom tablet device after very light uptake, but said it would continue to support existing customers.
- While Digital Education revenues were up 33% to $24M, the segment's EBITDA was -$24M.
- Previously: News Corp. beats, but takes $371M writedown on education (Aug. 12 2015)
Aug. 12, 2015, 5:04 PM
- News Corp. (NWSA) beat profit expectations with its fiscal fourth quarter, but revenues were light of consensus and the company took a sizable writedown on its ballyhooed education business.
- Adjusted EPS of $0.07 beat a consensus of $0.05, while reported EPS was -$0.65 after a $371M impairment charge taken related to its Amplify education business -- of which News Corp. is beginning a strategic review.
- Revenues by segment: News and Information Services, $1.4B (down 10%); Book publishing, $390M (up 8%); Digital real estate services, $189M (up 67%); Cable Network Programming, $133M (down 2%); Digital Education, $24M (up 33%).
- In EBITDA by segment, News and info services carried its weight with $169M, up 29%, while digital education EBITDA was a loss of $24M.
- The company had invested $1B in a large bet on education. Earlier this summer, Amplify began winding down sales of its custom tablet device after very light uptake.
- NWSA shares are unchanged in late trading; NWS is up 1.8% after hours.
- Conference call to come at 6 p.m. ET.
Aug. 12, 2015, 4:38 PM
- News Corp. (NASDAQ:NWS): FQ4 EPS of $0.07
- Revenue of $2.14B (-2.3% Y/Y)
Jul. 27, 2015, 5:19 PM
- News Corp. (NWS, NWSA) outperformed the broader market today after Macquarie upgraded the stock to Outperform.
- Tim Nollen and team are expecting a strong rebound from earnings as the company "cycles a number of one-off impacts and Education losses are curtailed.”
- Overall, Macquarie sees EBITDA gaining 22.9% to $176M in Q4 (consensus expectations are for $177M) and gaining 4.4% to $879M for the full year (somewhat below the consensus of $926.3M).
- The firm says that News Corp. has "demonstrated a focused approach to M&A by containing larger spend to existing areas of competence (Books and Digital RE)," which it says alleaviates some worries from the separate from (now) Twenty-First Century Fox.
- The company is set to report quarterly results Aug. 6.
Feb. 20, 2015, 9:37 PM
- Graham Holdings (NYSE:GHC) -- the former Washington Post Company -- was up 3.7% at the open and easily crested the $1,000/share mark again, following its Q4 earnings, before giving back all of the day's gains by midday.
- Education revenues from Kaplan operations ($551.4M, nearly flat) still made up the bulk of its $925.3M in revenues, but particularly strong were revenues in TV broadcasting, up 20% to $102.4M (aided by political ads in a midterm election year). Operating income in broadcast was up 24% to $54.4M.
- Revenue from "other businesses" (which includes digital-heavy publishing operations like Slate, Foreign Policy, The Root) more than doubled to $73.8M, from $30.7M.
- Seems like unloading The Washington Post to Jeff Bezos made the rest of the business great, Benjamin Freed says. He notes that now-GHC shares opened at $560.14 that summer 2013 day, headed to $584.97 that week and it's been a "robust trajectory" ever since. From the time of the sale, shares are up 83% vs. the S&P's +22%.
- Other companies are doing the same, he notes: See News Corp. (NASDAQ:NWSA) splitting off Twenty-First Century Fox (FOX, FOXA); Tribune Media (NYSE:TRCO) dropping publications into Tribune Publishing and thriving as a broadcast/real estate company; and Gannett (NYSE:GCI), which plans to spin off USA Today and its dailies.
Nov. 5, 2014, 6:21 PM
- News (NASDAQ:NWS): FQ1 EPS of $0.09
- Revenue of $2.15B (+3.9% Y/Y).
Nov. 11, 2013, 4:26 PM
- News Corporation (NWS): FQ3 EPS of $0.05 misses by $0.02.
- Revenue of $2.07B misses by $0.11B. (PR)
Aug. 7, 2013, 2:05 AM
- Twenty-First Century Fox (FOX): FQ4 adjusted EPS of $0.31 misses by $0.03. Revenue of $7.21B (+16% Y/Y) beats by $70M.
- Losses narrow to $371M from $1.55B a year ago.
- Income from continuing operations +64% to $977M.
- Fox's pay TV channel revenues +16% to $2.95B, boosted by fee increases and a 10% rise in ad revenues.
- Revenue from local Fox broadcast TV stations flat at $1.1B.
- Movie studio revenue +3% to $2.04B
- Revenue from European satellite TV ops +45% to $1.38B
- Fox to spend $200M launching new TV channels, including a new national sports network next week, and $150M on Fox broadcast network.
- Operating loss from discontinued operations - ie News Corp. (NWS) - $1.35B vs $2.15B a year ago.
- Fox expects adjusted operating income to increase by a "high single- to low double-digit" percentage in FY 2014 from $6.26B in the year just completed. (PR)
Aug. 8, 2012, 5:06 PM
More on News Corp (NWSA): Q2 was mixed, coming in line on EPS estimates but missing on its top line. Total revenue declined Y/Y, hit by pre-tax impairment and restructuring charges primarily related to the company's publishing businesses, as well as $15M of other pre-tax losses. Shares -3.4% AH.| Aug. 8, 2012, 5:06 PM | 1 Comment
May 9, 2012, 4:11 PM
More from News Corp. (NWS) earnings: The company increases its buyback authorization to $10B from $5B. Double-digit revenue growth in Cable Network Programming (to $2.38B from $2.04B) and Filmed Entertainment (to $1.72B from $1.55B); Television slips to $1.21B from $1.44B with no Super Bowl revenue this year.| May 9, 2012, 4:11 PM
May 9, 2012, 4:07 PM
Nov. 2, 2011, 4:14 PM