Is the business good?
How good a business is NWS?
News Corp (Class B) earns 48% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
48%
Return on invested capital · cost of capital 9.0% · 39 points above what the capital costs: growth creates value
- Operating margin
- 57%
Operating margin · Entertainment median 12% · 12 months to Q4 2026
- Cash conversion
- 1.42×
Cash conversion · every dollar of reported profit arrived as cash, and more
| Year | Operating margin |
|---|---|
| FY2021 | 48% |
| FY2022 | 51% |
| FY2023 | 51% |
| FY2024 | 54% |
| FY2025 | 56% |
| FY2026 | 57% |
Details›
- Operating margin12 months to Q4 2026
- 57%
- Net margin12 months to Q4 2026
- 6.3%
- Free cash flow margin
- 9.0%
- Revenue, trailing twelve months
- $9.03B
- Free cash flow, trailing twelve months
- $811M
- Net income, trailing twelve months
- $573M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 48%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.