News Corp NWS posts record EBITDA quarter, beats earnings by 51%
As seen on the 24/7 Wall St. homepage on August 5, 2026.
Total Segment EBITDA rose 31% to $423 million, the most profitable quarter in company history. Management is leaning into AI licensing, citing existing deals with OpenAI and Meta plus advanced talks with others, and a fresh $1 billion buyback is now in place.
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News Corp reported Q4 2026 earnings per share of $0.35, well ahead of the $0.23 consensus estimate — a beat of roughly 51%. Revenue came in at $2.337 billion, topping estimates of $2.246 billion by about 4%. The standout number, however, was Total Segment EBITDA of $423 million, a 31% jump that management described as the most profitable quarter in the company's history.
A growing piece of that profitability story is AI licensing. Management highlighted existing deals with OpenAI and Meta and said advanced talks with additional partners are underway — a revenue stream that did not exist for the company just a few years ago. The combination of improved operating leverage and new licensing income appears to be reshaping the earnings profile.
On the capital-return front, News Corp announced a fresh $1 billion share buyback program alongside the results. Eight consecutive quarters of beating EPS estimates — the most recent beat being the largest in that run — gives management a degree of credibility heading into the new fiscal year, and the buyback signals confidence that the stock remains attractively priced at current levels.