Despite the steep drop in profit, News Corp's business news-focused Dow Jones unit posted its highest profitability to date. The company also saw increased subscribers to its Binge and Kayo streaming services. However, the book publishing arm recorded lower revenues due to a drop in book sales, and digital real estate assets were impacted by challenging housing market conditions in Australia and the US.
Key takeaways:
- News Corporation has recorded a 75% drop in full-year profit, with a net profit of $US187m, down from the previous year’s $US760m.
- Despite the drop, the company sees potential in the use of AI-produced content to reduce costs and create a new stream of revenues.
- News Corp's Australian arm is already producing 3,000 articles a week using generative AI.
- The company's business news-focused Dow Jones unit was a standout performer, posting its highest profitability to date.