2019 Vault Rankings
About News Corporation
News Corp is a global diversified media and information services company, publishing well-known mastheads such as The Wall Street Journal and New York Post, Australia's Herald Sun, and The Sun and The Times in the UK. The company owns the Dow Jones and Factiva information services, as well as book publisher HarperCollins. In TV, News Corp has a majority stake in Foxtel in Australia and owns the Australian News Channel. Other properties are the real estate websites REA Group and Move. Australia and other countries generate over 40% of sales.
News Corp divides its operations into six segments -- News Media, around 30% of revenue; Subscription Video Services, more than 20%; Book Publishing, about 20% of revenue; Dow Jones, nearly 20% of revenue; and Digital Real Estate Services, more than 10%. Other segment accounts for the rest.
The News and Media segment includes: News Corp Australia, News UK, and the New York Post. This segment also includes Wireless Group, operator of talkSPORT, the leading sports radio network in the UK, and Virgin Radio, and Storyful, a social media content agency that enables the company to source real-time video content through social media platforms.
The Subscription Video Services segment provides sports, entertainment, and news services to pay-TV subscribers via cable, satellite, and over the internet. This segment consists of the company's some 65% interest in NXE Australia Pty Limited, which is referred to herein as Foxtel (the remaining around 35% interest in Foxtel is held by Telstra Corporation Limited), and Australian News Channel.
In Book Publishing, the imprints under Harper Collins owns more than 120 brands including Harper, William Morrow, Avon, Thomas Nelson, Christian publishers Zondervan and Harlequin. Among its recent best-sellers have been Hillbilly Elegy and The Woman in the Window.
The company's Dow Jones segment is a global provider of news and business information, which distributes its content and data through a variety of media channels including newspapers, newswires, websites, applications, or apps, for mobile devices, tablets and e-book readers, newsletters, magazines, proprietary databases, live journalism, video and podcasts. This segment consists of the Dow Jones business, whose products target individual consumers and enterprise customers and include The Wall Street Journal, Factiva, Dow Jones Risk & Compliance, Dow Jones Newswires, Barron's and MarketWatch.
The Digital Real Estate Services segment consists of News Corp's over 60% in REA Group, a publicly-traded company based in Australia, and its approximately 80% interest in Move. The remaining some 20% interest in Move is held by REA Group. REA lists properties for sale in Australia and Asia and offers financial services. Move operates the realtor.com website in the US.
The Other segment includes the company's general corporate overhead expenses, corporate Strategy Group and costs related to the UK Newspaper Matters.
Overall, the company generates about 45% of its revenue from circulation and subscription, followed by over a quarter of revenue from advertising. Consumer generates about 20%, while the remainder comes from real estate and other.
News Corp is based in New York City and has subsidiaries elsewhere in the US, Australia, Asia, and the UK. In addition, book publisher HarperCollins has a warehouse in Scotland and Dow Jones runs an office in Hong Kong. Australia and other countries generate over 40% of sales. Followed by the US and Canada account for roughly 40% of sales and Europe (mostly the UK and Ireland), more than 15%.
Sales and Marketing
The company distributes its content and other products and services to consumers and customers across various platforms consisting of traditional print and television, as well as an array of digital platforms including websites, applications for mobile devices and tablets, social media and e-book devices. The Dow Jones segment targets individual consumers and enterprise customers.
Advertising and promotional expenses recognized totaled $525 million, $669 million, and $663 million for the fiscal years 2020, 2019, and 2018, respectively.
For the year ended 2020, the company had a revenue of $9 billion, a 9% decrease compared to the previous year of $10.1 billion. The company had lower sales in all of its segments.
News Corp had a net loss of $1.3 billion for the year ended 2020.
The company's cash for the year ended 2020 was $1.5 billion. Operating activities generated $780 million, while investing activities used $427 million, primarily for capital expenditures. Financing activities used another $472 million, mainly for repayment of borrowings.
News Corp believes that the increasing number of media choices and formats will allow it to continue to deliver its content and other products and services in a more engaging, timely and personalized manner and provide opportunities for more effective monetization via strong consumer and customer relationships, licensing arrangements and more compelling and engaging advertising solutions. The company is pursuing multiple strategies to exploit these opportunities, including sharing technologies and practices across geographies and businesses and bundling selected offerings to provide greater value to consumers, customers and advertising partners.
Mergers and Acquisitions
In early 2020, Israel-based, Tremor International Ltd, a global leader in video advertising technologies, reached an agreement with News Corp, a global diversified media and information services company, to acquire Unruly, News Corp's programmatic video marketplace for an undisclosed amount. The transaction is expected to be financially beneficial for both Tremor International and News Corp. News Corp is receiving 6.91% of Tremor International stock, subject to an 18-month lock up period and to certain adjustments. "The sale of Unruly marks an important step in our strategy of simplification at News Corp, while we expect it to yield ongoing financial benefits. We look forward to partnering with Tremor and are grateful to Unruly and its truly talented team, who have helped our businesses in the U.K., US and Australia advance their digital advertising expertise." Robert Thomson, Chief Executive of News Corp, said.
1211 Ave of The Americas
New York, NY 10036-8701
Phone: 1 (212) 416-3400
Employer Type: Publicly Owned
Stock Symbol: NWSA
Stock Exchange: , NASDAQ
Co-Chairman, News Corp and 21st Century Fox: Lachlan K. Murdoch
Chairman: K. Rupert Murdoch
CEO: Robert Thomson
Employees (This Location): 156
Employees (All Locations): 23,500
New York, NY
Los Angeles, CA
San Francisco, CA
Panama City, FL
La Porte, IN
Silver Spring, MD
Monmouth Junction, NJ
Toms River, NJ
Deer Park, NY
New York, NY
Bowling Green, OH
Federal Way, WA