Cash flow generation remains inconsistent, evidenced by FCF margins swinging from a negative 1.5% in 2025Q1 to a robust 24.1% in 2025Q3, largely driven by cyclical working capital volatility.
| Metric | TTM | Jun'25 | Jun'24 | Jun'23 | Jun'22 | Jun'21 | Jun'20 | Jun'19 | Jun'18 | Jun'17 | Jun'16 | Jun'15 | Jun'14 | Jun'13 | Jun'12 | Jun'11 |
|---|
| Cash from Operations | 997M | 1.13B | 1.1B | 1.09B | 1.35B | 1.24B | 780M | 928M | 757M | 494M | 952M | 831M | 854M | 501M | 851M | 1.33B |
| Operating CF Margin % | - | 13.42% | 13.31% | 13.63% | 13.04% | 13.22% | 8.66% | 9.21% | 8.39% | 6.07% | 11.48% | 9.63% | 9.96% | 5.63% | 9.83% | 14.63% |
| Operating CF Growth % | -39.28% | 3.28% | 0.55% | -19.35% | 9.46% | 58.59% | -15.95% | 22.59% | 53.24% | -48.11% | 14.56% | -2.69% | 70.46% | -41.13% | -36.06% | - |
| Net Income | 425M | 480M | 269M | 149M | 760M | 330M | -401M | 228M | -1.44B | -643M | 235M | -78M | 294M | 547M | -2.04B | 704M |
| Depreciation & Amortization | 477M | 459M | 440M | 823M | 688M | 680M | 644M | 659M | 472M | 449M | 505M | 530M | 578M | 548M | 483M | 430M |
| Stock-Based Compensation | 0 | 0 | 0 | 92M | 59M | 128M | 69M | 73M | 76M | 38M | 55M | 53M | 32M | 49M | 0 | 0 |
| Deferred Taxes | 69M | 83M | 31M | 12M | -125M | -100M | -51M | -73M | 202M | -95M | -147M | 8M | 32M | -153M | 0 | 88M |
| Other Non-Cash Items | 236M | 318M | 497M | 98M | 65M | -4M | 682M | 112M | 325M | -390M | -18M | -75M | -68M | -1.59B | 2.31B | -47M |
| Working Capital Changes | -270M | -206M | -139M | -82M | -93M | 203M | -163M | -71M | -89M | 94M | 373M | -5M | -59M | -106M | 101M | 106M |
| Change in Receivables | -78M | -96M | -85M | -146M | -51M | -166M | -1.47B | 134M | -128M | -58M | 22M | 34M | -105M | 0 | 96M | 132M |
| Change in Inventory | 35M | -46M | 27M | -2M | -87M | 6M | 9M | -58M | -14M | 15M | 35M | 11M | 23M | -15M | -6M | -13M |
| Change in Payables | -34M | -64M | -81M | 66M | 45M | 363M | 1.3B | -147M | 53M | 137M | 342M | -28M | 126M | 44M | 11M | -10M |
| Cash from Investing | -273M | -153M | -524M | -574M | -2.08B | -1.29B | -427M | -677M | -321M | -105M | -1.12B | -1.74B | -306M | -1.67B | -659M | -881M |
| Capital Expenditures | -437M | -407M | -357M | -499M | -499M | -390M | -438M | -572M | -364M | -256M | -256M | -378M | -379M | -332M | -375M | -549M |
| CapEx % of Revenue | 4.97% | 4.82% | 4.33% | 6.23% | 4.81% | 4.17% | 4.86% | 5.68% | 4.03% | 3.15% | 3.09% | 4.38% | 4.42% | 3.73% | 4.33% | 6.04% |
| Acquisitions | -138M | -96M | -38M | -60M | -1.5B | -912M | -40M | -192M | -94M | -244M | -529M | -1.15B | 156M | -1.33B | -54M | -333M |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 292M | 230M | -114M | -15M | -5M | -367M | -398M | -451M | 33M | 325M | -285M | 15M | 201M | -1.33B | -54M | -333M |
| Cash from Financing | -775M | -563M | -441M | -501M | 404M | 699M | -472M | -610M | -398M | -217M | 150M | -190M | 189M | 2.49B | -1.01B | 270M |
| Debt Issued (Net) | 22M | -142M | -131M | -75M | 852M | 958M | -300M | -435M | -118M | -23M | 342M | -129M | 0 | -235M | 0 | 0 |
| Equity Issued (Net) | -492M | -150M | -117M | -243M | -179M | 0 | 0 | 0 | 0 | 0 | -41M | -30M | 0 | 0 | 0 | 0 |
| Dividends Paid | -206M | -185M | -172M | -174M | -175M | -163M | -158M | -161M | -158M | -152M | -147M | -30M | -24M | -20M | -13M | -10M |
| Share Repurchases | -492M | -150M | -117M | -243M | -179M | 0 | 0 | 0 | 0 | 0 | -41M | -30M | 0 | 0 | 0 | 0 |
| Other Financing | -99M | -86M | -21M | -9M | -94M | -96M | -14M | -14M | -122M | -42M | -4M | -1M | 213M | 2.74B | -993M | 293M |
| Net Change in Cash | 76M | 531M | 39M | 11M | -414M | 719M | -126M | -391M | 18M | 184M | -119M | -1.19B | 764M | 1.25B | -889M | 942M |
| Free Cash Flow | 560M | 727M | 741M | 593M | 855M | 847M | 342M | 356M | 393M | 238M | 696M | 453M | 475M | 169M | 476M | 782M |
| FCF Margin % | 6.37% | 8.6% | 8.98% | 7.4% | 8.23% | 9.05% | 3.8% | 3.53% | 4.36% | 2.92% | 8.39% | 5.25% | 5.54% | 1.9% | 5.5% | 8.6% |
| FCF Growth % | -30.61% | -1.89% | 24.96% | -30.64% | 0.94% | 147.66% | -3.93% | -9.41% | 65.13% | -65.8% | 53.64% | -4.63% | 181.07% | -64.5% | -39.13% | - |
| FCF per Share | 1.00 | 1.28 | 1.29 | 1.02 | 1.44 | 1.43 | 0.58 | 0.61 | 0.67 | 0.41 | 1.19 | 0.78 | 0.82 | 0.29 | 0.82 | 1.35 |
| FCF Conversion (FCF/Net Income) | 1.32x | 2.44x | 4.13x | 7.33x | 2.17x | 3.75x | -0.61x | 4.07x | -0.50x | -0.67x | 5.32x | -5.65x | 3.57x | 0.99x | -0.41x | 1.96x |
| Interest Paid | 54M | 93M | 97M | 61M | 96M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | -94M | 208M | 156M | 149M | 180M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Cyclical working capital volatility
According to the provided financial data, the OCF/NI ratio has fluctuated wildly, ranging from a low of 0.54 in 2025Q1 to a high of 17.97 in 2024Q3, suggesting that reported net income is a poor proxy for the company's actual cash-generating capacity.
The significant divergence between net income and operating cash flow indicates that non-cash charges and accrual accounting play a dominant role in the company's reported profitability. Investors should monitor whether this volatility stems from the consolidation of majority-owned subsidiaries or inherent timing differences in revenue recognition across the diverse business segments.
As reported in recent financial statements, NWS's FCF margins have exhibited extreme volatility, swinging from a negative 1.5% in 2025Q1 to a robust 24.1% in 2025Q3, which highlights the difficulty in maintaining consistent cash conversion across the company's disparate media and real estate assets.
This erratic trajectory suggests that the company's cash flow profile is highly sensitive to seasonal working capital shifts and the timing of major capital expenditures. The lack of a stable FCF trend complicates valuation efforts, as the underlying cash generation appears tethered to cyclical market conditions rather than steady-state operational efficiency.
Based on the reported figures, working capital changes have been a primary driver of cash flow variance, with quarterly swings as large as a $264 million inflow in 2024Q3 followed by a $288 million outflow in 2025Q1, indicating significant cyclicality in collections and payables.
These dramatic fluctuations suggest that the company's cash position is heavily influenced by the timing of advertising receipts and real estate listing cycles. Analysts should investigate whether these movements represent temporary timing mismatches or a more structural challenge in managing the liquidity requirements of the various business units.
Data from recent filings shows that NWS has consistently prioritized share repurchases and dividends, with buybacks reaching $192 million in 2026Q3, even during periods where free cash flow was significantly constrained or negative, such as the $1 million outflow observed in 2026Q1.
The commitment to returning capital to shareholders despite inconsistent cash flow generation may indicate management's confidence in the long-term stability of the Dow Jones and REA Group segments. However, this strategy warrants further investigation to ensure that capital allocation does not inadvertently compromise the liquidity needed for future digital infrastructure investments.
Quick answers to the most common questions about buying NWS stock.
News Corporation (NWS) generated $1.13B in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
News Corporation (NWS) generated $727.0M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
News Corporation (NWS) spent $407.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, News Corporation (NWS) returned $185.0M to shareholders via cash dividends and spent $150.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.