NEWS CORPORATION INDEX TO FINANCIAL STATEMENTS Page Management’s Report on Internal Control Over Financial Reporting 58 Reports of Independent Registered Public Accounting Firm (PCAOB ID:42) 59 Consolidated Statements of Operations for the Fiscal Years Ended June 30, 2026, 2025 and 2024 62 Consolidated Statements of Comprehensive Income (Loss) for the Fiscal Years Ended June 30, 2026, 2025 and 2024 63 Consolidated Balance Sheets as of June 30, 2026 and 2025 64 Consolidated Statements of Cash Flows for the Fiscal Years Ended June 30, 2026, 2025 and 2024 65 Consolidated Statements of Equity for the Fiscal Years Ended June 30, 2026, 2025 and 2024 66 Notes to the Consolidated Financial Statements 67 57 Table of Contents Management’s Report on Internal Control Over Financial Reporting for June 30, 2026 Management of News Corporation is responsible for establishing and maintaining adequate internal control over financial reporting as defined in Rules 13a-15(f) and 15d-15(f) under the Securities Exchange Act of 1934, as amended. The Company’s internal control over financial reporting includes those policies and procedures that: •pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of News Corporation; •provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with accounting principles generally accepted in the United States of America; •provide reasonable assurance that receipts and expenditures of News Corporation are being made only in accordance with authorizations of management and directors of News Corporation; and •provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of assets that could have a material effect on the consolidated financial statements. News Corporation’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with accounting principles generally accepted in the United States of America. Because of its inherent limitations, internal control over financial reporting, no matter how well designed, may not prevent or detect misstatements. Also, the assessment of the effectiveness of internal control over financial reporting was made as of a specific date. Projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate. Management, including the Company’s principal executive officer and principal financial officer, conducted an assessment of the effectiveness of News Corporation’s internal control over financial reporting as of June 30, 2026, based on criteria for effective internal control over financial reporting described in the 2013 “Internal Control—Integrated Framework” issued by the Committee of Sponsoring Organizations of the Treadway Commission. Based on this assessment and those criteria, management determined that, as of June 30, 2026, News Corporation maintained effective internal control over financial reporting. Management reviewed the results of its assessment with the Audit Committee of News Corporation’s Board of Directors. Ernst & Young LLP, the independent registered public accounting firm who audited and reported on the Consolidated Financial Statements of News Corporation included in the Annual Report on Form 10-K for the fiscal year ended June 30, 2026, has audited the Company’s internal control over financial reporting. Their report appears on the following page. August 7, 2026 58 Table of Contents Report of Independent Registered Public Accounting Firm To the Stockholders and the Board of Directors of News Corporation Opinion on Internal Control Over Financial Reporting We have audited News Corporation’s internal control over financial reporting as of June 30, 2026, based on criteria established in Internal Control—Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (2013 framework) (the COSO criteria). In our opinion, News Corporation (the Company) maintained, in all material respects, effective internal control over financial reporting as of June 30, 2026, based on the COSO criteria. We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the consolidated balance sheets of the Company as of June 30, 2026 and 2025, the related consolidated statements of operations, comprehensive income (loss), equity and cash flows for each of the three years in the period ended June 30, 2026, and the related notes and our report dated August 7, 2026 expressed an unqualified opinion thereon. Basis for Opinion The Company’s management is responsible for maintaining effective internal control over financial reporting and for its assessment of the effectiveness of internal control over financial reporting included in the accompanying Management’s Report on Internal Control Over Financial Reporting. Our responsibility is to express an opinion on the Company’s internal control over financial reporting based on our audit. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether effective internal control over financial reporting was maintained in all material respects. Our audit included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, testing and evaluating the design and operating effectiveness of internal control based on the assessed risk, and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion. Definition and Limitations of Internal Control Over Financial Reporting A company’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company’s internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements. Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate. /s/ Ernst & Young LLP New York, New York August 7, 2026 59 Table of Contents Report of Independent Registered Public Accounting Firm To the Stockholders and the Board of Directors of News Corporation Opinion on the Financial Statements We have audited the accompanying consolidated balance sheets of News Corporation (the Company) as of June 30, 2026 and 2025, the related consolidated statements of operations, comprehensive income (loss), equity and cash flows for each of the three years in the period ended June 30, 2026, and the related notes (collectively referred to as the “consolidated financial statements”). In our opinion, the consolidated financial statements present fairly, in all material respects, the financial position of the Company at June 30, 2026 and 2025, and the results of its operations and its cash flows for each of the three years in the period ended June 30, 2026, in conformity with U.S. generally accepted accounting principles. We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the Company’s internal control over financial reporting as of June 30, 2026, based on criteria established in Internal Control—Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (2013 framework), and our report dated August 7, 2026 expressed an unqualified opinion thereon. Basis for Opinion These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Company’s financial statements based on our audits. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion. Critical Audit Matter The critical audit matter communicated below is a matter arising from the current period audit of the financial statements that was communicated or required to be communicated to the audit committee and that: (1) relates to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of the critical audit matter does not alter in any way our opinion on the consolidated financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing a separate opinion on the critical audit matter or on the account or disclosure to which it relates. Valuation of Goodwill Description of the Matter As of June 30, 2026, the Company’s goodwill was $4,542 million. As disclosed in Note 8 to the consolidated financial statements, goodwill is tested for impairment annually in the fourth quarter or earlier if events occur or circumstances change that would more likely than not reduce the fair values below their carrying amounts.Auditing the Company’s annual goodwill impairment test for certain reporting units was complex due to the significant judgment in estimating the fair value of a reporting unit when a quantitative assessment is performed. In particular, the fair value estimates were sensitive to changes in significant assumptions such as the projected revenue growth rate and earnings before interest, taxes, depreciation, and amortization (“EBITDA”) margin. These assumptions are affected by expected future market or economic conditions. 60 Table of Contents How We Addressed the Matter in Our Audit We obtained an understanding, evaluated the design and tested the operating effectiveness of controls over the Company’s goodwill quantitative impairment assessment process. For example, we tested controls over management’s review of the significant assumptions and methodologies used in estimating the fair values of the reporting units. We also tested management’s controls to validate that the data used in the valuation models was complete and accurate. To test the estimated fair value of certain reporting units when a quantitative impairment assessment was performed, our audit procedures included, among others, assessing methodologies and testing the completeness and accuracy of the underlying data used by the Company. We performed sensitivity analyses over the significant assumptions identified to evaluate the change in the fair value of a reporting unit resulting from changes in the assumptions. Our testing procedures over the significant assumptions included, among others, comparing projected revenue growth rates and EBITDA margins to historical trends, current industry and economic trends, while also considering changes in the Company’s business model. We also involved our internal valuation specialists to assist in evaluating the Company’s models, valuation methodology, and significant assumptions used in the fair value estimates. In addition, we tested management’s reconciliation of the fair value of the reporting units to the market capitalization of the Company. /s/ Ernst & Young LLP We have served as the Company’s auditor since 2012. New York, New York August 7, 2026 61 Table of Contents NEWS CORPORATION CONSOLIDATED STATEMENTS OF OPERATIONS (In millions, except per share amounts) For the fiscal years ended June 30, Notes 2026 2025 2024 Revenues: Circulation and subscription $ 3,203 $ 3,009 $ 2,909 Advertising 1,391 1,367 1,400 Consumer 2,185 2,047 2,000 Real estate 1,571 1,410 1,284 Other 678 619 659 Total Revenues 4 9,028 8,452 8,252 Operating expenses (3,892) (3,736) (3,814) Selling, general and administrative (3,509) (3,301) (3,197) Depreciation and amortization (485) (459) (440) Impairment and restructuring charges 5, 7, 8 (113) (132) (133) Equity losses of affiliates 6 (8) (15) (6) Interest income (expense), net 29 3 (18) Other, net 21 (4) 111 (59) Income before income tax expense from continuing operations 1,046 923 585 Income tax expense from continuing operations 19 (303) (275) (206) Net income from continuing operations 743 648 379 Net income (loss) from discontinued operations, net of tax — 692 (25) Net income 743 1,340 354 Net income attributable to noncontrolling interests from continuing operations (170) (168) (110) Net loss attributable to noncontrolling interests from discontinued operations — 8 22 Net income attributable to News Corporation stockholders $ 573 $ 1,180 $ 266 Net income (loss) attributable to News Corporation stockholders per share: 14 Basic: Continuing operations $ 1.03 $ 0.85 $ 0.47 Discontinued operations — 1.23 — $ 1.03 $ 2.08 $ 0.47 Diluted: Continuing operations $ 1.03 $ 0.84 $ 0.47 Discontinued operations — 1.23 (0.01) $ 1.03 $ 2.07 $ 0.46 The accompanying notes are an integral part of these audited consolidated financial statements. 62 Table of Contents NEWS CORPORATION CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (In millions) For the fiscal years ended June 30, 2026 2025 2024 Net income $ 743 $ 1,340 $ 354 Other comprehensive income (loss): Foreign currency translation adjustments(a) 19 (294) (13) Net change in the fair value of cash flow hedges(b) (4) (13) (11) Benefit plan adjustments, net(c) 18 (18) 19 Other comprehensive income (loss) 33 (325) (5) Comprehensive income 776 1,015 349 Net income attributable to noncontrolling interests (170) (160) (88) Other comprehensive (income) loss attributable to noncontrolling interests(d) (38) 33 1 Comprehensive income attributable to News Corporation stockholders $ 568 $ 888 $ 262 (a)Primarily relates to the disposition of Foxtel for the fiscal year ended June 30, 2025. (b)Net of income tax expense (benefit) of $(1) million, $(4) million and $(4) million for the fiscal years ended June 30, 2026, 2025 and 2024, respectively. (c)Net of income tax expense (benefit) of $6 million, $(7) million and $6 million for the fiscal years ended June 30, 2026, 2025 and 2024, respectively. (d)Primarily consists of foreign currency translation adjustments. The accompanying notes are an integral part of these audited consolidated financial statements. 63 Table of Contents NEWS CORPORATION CONSOLIDATED BALANCE SHEETS (In millions, except share and per share amounts) As of June 30, Notes 2026 2025 Assets: Current assets: Cash and cash equivalents $ 2,095 $ 2,403 Receivables, net 2 1,757 1,562 Inventory, net 302 327 Other current assets 328 519 Total current assets 4,482 4,811 Non-current assets: Investments 6 1,002 1,016 Property, plant and equipment, net 7 1,398 1,331 Operating lease right-of-use assets 754 789 Intangible assets, net 8 1,837 1,930 Goodwill 8 4,542 4,373 Deferred income tax assets, net 19 251 254 Other non-current assets 21 1,278 1,000 Total assets $ 15,544 $ 15,504 Liabilities and Equity: Current liabilities: Accounts payable $ 412 $ 335 Accrued expenses 1,080 1,036 Deferred revenue 4 543 498 Current borrowings 9 — 25 Other current liabilities 21 726 714 Total current liabilities 2,761 2,608 Non-current liabilities: Borrowings 9 1,989 1,937 Retirement benefit obligations 17 97 117 Deferred income tax liabilities, net 19 108 57 Operating lease liabilities 840 904 Other non-current liabilities 513 492 Commitments and contingencies 16 Class A common stock(a) 4 4 Class B common stock(b) 2 2 Additional paid-in capital 10,380 11,058 Accumulated deficit (312) (747) Accumulated other comprehensive loss 21 (1,548) (1,543) Total News Corporation stockholders’ equity 8,526 8,774 Noncontrolling interests 710 615 Total equity 9,236 9,389 Total liabilities and equity $ 15,544 $ 15,504 (a)Class A common stock, $0.01 par value per share (“Class A Common Stock”), 1,500,000,000 shares authorized, 362,139,890 and 376,718,696 shares issued and outstanding, net of 27,368,413 treasury shares at par, at June 30, 2026 and June 30, 2025, respectively. (b)Class B common stock, $0.01 par value per share (“Class B Common Stock”), 750,000,000 shares authorized, 181,281,012 and 188,666,990 shares issued and outstanding, net of 78,430,424 treasury shares at par, at June 30, 2026 and June 30, 2025, respectively. The accompanying notes are an integral part of these audited consolidated financial statements. 64 Table of Contents NEWS CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS (In millions) For the fiscal years ended June 30, Notes 2026 2025 2024 Operating activities: Net income $ 743 $ 1,340 $ 354 Net (income) loss from discontinued operations, net of tax — (692) 25 Net income from continuing operations 743 648 379 Adjustments to reconcile net income from continuing operations to net cash provided by operating activities from continuing operations: Depreciation and amortization 485 459 440 Operating lease expense 69 74 72 Equity losses of affiliates 6 8 15 6 Impairment charges 7,8 27 12 44 Deferred income taxes 19 41 83 31 Other, net 9 (107) 64 Change in operating assets and liabilities, net of acquisitions: Receivables and other assets (237) (96) (85) Inventories, net 33 (46) 27 Accounts payable and other liabilities 59 (64) (81) Net cash provided by operating activities from continuing operations 1,237 978 897 Investing activities: Capital expenditures (426) (407) (357) Acquisitions, net of cash acquired (122) (96) (38) Purchases of investments in equity affiliates and other (60) (154) (96) Proceeds from sales of investments in equity affiliates and other 89 274 81 Other, net (20) (23) — Net cash used in investing activities from continuing operations (539) (406) (410) Financing activities: Borrowings 9 125 61 278 Repayment of borrowings 9 (100) (203) (409) Repurchase of News Corp shares 12 (641) (150) (117) Repurchase of REA Group shares 12 (141) — — Dividends paid (204) (185) (172) Other, net (53) (47) (63) Net cash used in financing activities from continuing operations (1,014) (524) (483) Cash flows from discontinued operations: Net cash (used in) provided by operating activities from discontinued operations (6) 156 201 Net cash provided by (used in) investing activities from discontinued operations — 253 (114) Net cash (used in) provided by financing activities from discontinued operations — (39) 42 Net cash (used in) provided by discontinued operations (6) 370 129 Net change in cash and cash equivalents, including discontinued operations (322) 418 133 Effect of exchange rate changes on cash and cash equivalents, including discontinued operations 14 25 (6) Cash and cash equivalents, including discontinued operations, beginning of year 2,403 1,960 1,833 Cash and cash equivalents, including discontinued operations, end of year 2,095 2,403 1,960 Less: Cash and cash equivalents at end of period of discontinued operations — — (88) Cash and cash equivalents $ 2,095 $ 2,403 $ 1,872 The accompanying notes are an integral part of these audited consolidated financial statements. 65 Table of Contents NEWS CORPORATION CONSOLIDATED STATEMENTS OF EQUITY (In millions) Class A Common Stock Class B Common Stock Additional Paid-in Capital Accumulated Deficit Accumulated Other Comprehensive Loss Total News Corporation Equity Noncontrolling Interests Total Equity Shares Amount Shares Amount Balance, June 30, 2023 380 $ 4 192 $ 2 $ 11,449 $ (2,144) $ (1,247) $ 8,064 $ 881 $ 8,945 Net income — — — — — 266 — 266 88 354 Other comprehensive loss — — — — — — (4) (4) (1) (5) Dividends — — — — (114) — — (114) (58) (172) News Corp share repurchases (3) — (2) — (106) (11) — (117) — (117) Other 2 — — — 25 — — 25 (19) 6 Balance, June 30, 2024 379 4 190 2 11,254 (1,889) (1,251) 8,120 891 9,011 Net income — — — — — 1,180 — 1,180 160 1,340 Other comprehensive loss — — — — — — (292) (a) (292) (33) (325) Dividends — — — — (114) — — (114) (71) (185) News Corp share repurchases (4) — (1) — (113) (37) — (150) — (150) Other 2 — — — 31 (1) — 30 (332) (a) (302) Balance, June 30, 2025 377 4 189 2 11,058 (747) (1,543) 8,774 615 9,389 Net income — — — — — 573 — 573 170 743 Other comprehensive (loss) income — — — — — — (5) (5) 38 33 Dividends — — — — (112) — — (112) (92) (204) News Corp share repurchases (16) — (8) — (512) (138) — (650) — (650) Other 1 — — — (54) — — (54) (21) (75) Balance, June 30, 2026 362 $ 4 181 $ 2 $ 10,380 $ (312) $ (1,548) $ 8,526 $ 710 $ 9,236 (a)Primarily relates to the disposition of Foxtel. The accompanying notes are an integral part of these audited consolidated financial statements. 66 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS NOTE 1. DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION News Corporation (together with its subsidiaries, “News Corporation,” “News Corp,” the “Company,” “we,” or “us”) is a global diversified media and information services company comprised of businesses across a range of media, including: information services and news, digital real estate services and book publishing. Basis of Presentation The accompanying consolidated financial statements of the Company, which are referred to herein as the “Consolidated Financial Statements,” have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”). The Company’s financial statements as of June 30, 2026 and 2025 and for the three fiscal years ended June 30, 2026 are presented on a consolidated basis. The consolidated statements of operations are referred to herein as the “Statements of Operations.” The consolidated balance sheets are referred to herein as the “Balance Sheets.” The consolidated statements of cash flows are referred to herein as the “Statements of Cash Flows.” The Company maintains a 52-53 week fiscal year ending on the Sunday closest to June 30 in each year. Fiscal 2026, fiscal 2025 and fiscal 2024 each included 52 weeks. All references to the fiscal years ended June 30, 2026, 2025 and 2024 relate to the fiscal years ended June 28, 2026, June 29, 2025 and June 30, 2024, respectively. For convenience purposes, the Company continues to date its consolidated financial statements as of June 30. NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Principles of Consolidation The Consolidated Financial Statements include the accounts of all majority-owned and controlled subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation, including the intercompany portion of transactions with equity method investees. In addition, the Company evaluates its relationships with other entities to identify whether they are variable interest entities (“VIEs”) as defined by ASC 810-10, Consolidation and whether the Company is the primary beneficiary. In determining whether the Company is the primary beneficiary of a VIE, it assesses whether it has the power to direct matters that most significantly impact the activities of the VIE and has the obligation to absorb losses or the right to receive benefits from the VIE that could potentially be significant to the VIE. The Company would consolidate any investments in which it was determined to be the primary beneficiary of a VIE. Changes in the Company’s ownership interest in a consolidated subsidiary where a controlling financial interest is retained are accounted for as capital transactions. When the Company ceases to have a controlling interest in a consolidated subsidiary the Company will recognize a gain or loss in the Statements of Operations upon deconsolidation. Use of Estimates The preparation of the Company’s Consolidated Financial Statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts that are reported in the Consolidated Financial Statements and accompanying disclosures. Actual results could differ from those estimates. Cash and Cash Equivalents Cash and cash equivalents consist of cash on hand and other investments that are readily convertible into cash with original maturities of three months or less. The Company’s cash and cash equivalents balance as of June 30, 2026 and 2025 also includes $255 million and $280 million, respectively, which is not readily accessible by the Company as it is held by REA Group Limited (“REA Group”), a majority owned but separately listed public company. REA Group must declare a dividend in order for the Company to have access to its share of REA Group’s cash balance. The Company classifies cash as restricted when the cash is unavailable for use in its general operations. The Company had no restricted cash as of June 30, 2026 and 2025. 67 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Concentration of Credit Risk Cash and cash equivalents are maintained with multiple financial institutions. The Company has deposits held with banks that exceed the amount of insurance provided on such deposits. Generally, these deposits may be redeemed upon demand and are maintained with financial institutions of reputable credit and, therefore, bear minimal credit risk. Receivables, Net Receivables are presented net of allowances. Allowance for doubtful accounts is calculated by pooling receivables with similar credit risks such as the level of delinquency, types of products or services and geographical locations and reflects the Company’s expected credit losses based on historical experience as well as current and expected economic conditions. Receivables, net consist of: As of June 30, 2026 2025 (in millions) Receivables $ 1,807 $ 1,618 Less: allowances (50) (56) Receivables, net $ 1,757 $ 1,562 The Company’s receivables did not represent significant concentrations of credit risk as of June 30, 2026 or June 30, 2025 due to the wide variety of customers, markets and geographic areas to which the Company’s products and services are sold. Inventory, Net Inventory primarily consists of books and newsprint. Inventory for books and newsprint are valued at the lower of cost or net realizable value. Cost for inventory is determined by the weighted average cost method. The Company records a reserve for excess and obsolete inventory based upon a calculation using the historical usage rates, sales patterns of its products and specifically identified obsolete inventory. Investments Investments in and advances to equity investments or joint ventures in which the Company has significant influence, but is not the primary beneficiary, and has less than a controlling voting interest, are accounted for using the equity method in accordance with ASC 323, Investments—Equity Method and Joint Ventures. Significant influence is generally presumed to exist when the Company owns an interest between 20% and 50% or when the Company has the ability to exercise significant influence. Under the equity method of accounting, the Company includes its investments and amounts due to and from such investments in its Balance Sheets. The Company’s Statements of Operations include the Company’s share of the investees’ earnings (losses) and the Company’s Statements of Cash Flows include all cash received from or paid to the investee. The difference between the Company’s investment and its share of the fair value of the underlying net tangible assets of the investee upon acquisition is first allocated to either finite-lived intangibles, indefinite-lived intangibles or other assets and liabilities and the balance is attributed to goodwill. The Company follows ASC 350, Intangibles—Goodwill and Other (“ASC 350”) which requires that equity method finite-lived intangibles be amortized over their estimated useful life. Such amortization is reflected in Equity losses of affiliates in the Statements of Operations. Indefinite-lived intangibles and goodwill are not amortized. Investments in which the Company is presumed not to have significant influence (generally less than a 20% ownership interest) or does not have the ability to exercise significant influence are accounted for in accordance with ASC 321, Investments—Equity Securities. Gains and losses on equity securities with readily determinable fair market values are recorded in Other, net in the Statement of Operations based on the closing price at the end of each reporting period. Equity securities without readily determinable fair market values are valued at cost, less any impairment, plus or minus changes in fair value resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer. 68 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Equity method investments and investments in equity and other securities for which the measurement alternative has been selected are regularly reviewed to determine whether a significant event or change in circumstances has occurred that may impact the fair value of each investment. If the fair value of the investment has dropped below the carrying amount, management considers several factors when determining whether an other-than-temporary decline in market value has occurred, including the length of time and extent to which the market value has been below cost, the financial condition and near-term prospects of the issuer, the intent and ability of the Company to retain its investment in the issuer for a period of time sufficient to allow for any anticipated recovery in market value and other factors influencing the fair market value, such as general market conditions. See Note 6—Investments. Financial Instruments and Derivatives The carrying value of the Company’s financial instruments, including cash and cash equivalents, approximate fair value. The fair value of financial instruments is generally determined by reference to market values resulting from trading on a national securities exchange, trading in an over-the-counter market which are considered to be Level 2 measurements or unobservable inputs that require the Company to use its own best estimates about market participant assumptions which are considered to be Level 3 measurements. See Note 11—Financial Instruments and Fair Value Measurements. ASC 815, Derivatives and Hedging (“ASC 815”) requires derivative instruments to be recorded on the balance sheet at fair value as either an asset or a liability. ASC 815 also requires that changes in the fair value of recorded derivatives be recognized currently in the Statements of Operations unless specific hedge accounting criteria are met. For derivatives that will be accounted for as hedging instruments, the Company formally designates and documents, at inception, the financial instrument as a hedge of a specific underlying exposure, the risk management objective, the strategy for undertaking the hedge transaction and the effectiveness of the hedge. On an ongoing basis, the Company assesses whether the financial instruments used in hedging transactions continue to be highly effective. The Company determines the fair values of its derivatives using standard valuation models. The notional amounts of the derivative financial instruments do not necessarily represent amounts exchanged by the parties and, therefore, are not a direct measure of the Company’s exposure to the financial risks. The amounts exchanged are calculated by reference to the notional amounts and by other terms of the derivatives, such as interest rates. The Company does not view the fair values of its derivatives in isolation, but rather in relation to the fair values or cash flows of the underlying hedged transactions or other exposures. All of the Company’s derivatives are over-the-counter instruments with liquid markets. As the Company does not intend to settle any derivatives at their net positions, derivative instruments are presented gross in the Balance Sheets and do not reflect the impact of master netting agreements which allow the Company to net settle positive and negative positions with the same counterparty, if applicable. See Note 11—Financial Instruments and Fair Value Measurements. The Company monitors its positions with, and the credit quality of, the financial institutions which are counterparties to its financial instruments. The Company is exposed to credit loss in the event of nonperformance by the counterparties to the agreements. As of June 30, 2026, the Company did not anticipate nonperformance by any of the counterparties. Cash Flow Hedges Cash flow hedges are used to mitigate the Company’s exposure to variability in cash flows that is attributable to particular risk associated with a highly probable forecasted transaction or a recognized asset or liability which could affect income or expenses. The gain or loss on the hedging instrument is recognized directly in Accumulated other comprehensive loss. Amounts recorded in Accumulated other comprehensive loss are recognized in the Statements of Operations when the hedged forecasted transaction impacts income or if the forecasted transaction is no longer expected to occur. 69 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Property, Plant and Equipment Property, plant and equipment are stated at cost less accumulated depreciation. Depreciation is calculated using the straight-line method over an estimated useful life which ranges from 2 to 50 years. Leasehold improvements are amortized using the straight-line method over the shorter of their useful lives or the life of the lease. Costs associated with the repair and maintenance of property, plant and equipment are expensed as incurred. Changes in circumstances, such as technological advances or changes to the Company’s business model or capital strategy, could result in the actual useful lives differing from the Company’s estimates. In those cases where the Company determines that the useful life of buildings and equipment should be changed, the Company would depreciate the asset over its revised remaining useful life, thereby increasing or decreasing depreciation expense. Refer to Note 7—Property, Plant and Equipment for further detail. ASC 360, Property, Plant, and Equipment and ASC 350 require the Company to periodically review the carrying amounts of its long-lived assets, including property, plant and equipment and finite-lived intangible assets, to determine whether current events or circumstances indicate that such carrying amounts may not be recoverable. If the carrying amount of the asset is greater than the expected undiscounted cash flows to be generated by such asset, an impairment adjustment is recognized if the carrying value of such asset exceeds its fair value. The Company generally measures fair value by considering sale prices for similar assets or by discounting estimated future cash flows using an appropriate discount rate. Considerable management judgment is necessary to estimate the fair value of assets; accordingly, actual results could vary significantly from such estimates. Assets to be disposed of are carried at the lower of their financial statement carrying amount or fair value, less their costs to sell. Capitalized Software In accordance with ASC 350-40, Internal-use Software, the Company capitalizes certain costs incurred in connection with developing or obtaining internal-use software. Costs incurred in the preliminary project stage are expensed. All direct costs incurred to develop internal-use software during the development stage are capitalized and amortized using the straight-line method over the estimated useful life, generally ranging from 2 to 15 years. Costs such as maintenance and training are expensed as incurred. Research and development costs are also expensed as incurred. In accordance with ASC 350-24, Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract, the Company evaluates upfront costs, including implementation, set-up or other costs (collectively, “implementation costs”), for hosting arrangements under the internal-use software framework. Costs related to preliminary project activities and post implementation activities are expensed as incurred, whereas costs incurred in the development stage are generally capitalized as prepaid assets within Other Current Assets in the Balance Sheet. Capitalized implementation costs are amortized on a straight-line basis over the expected term of the hosting arrangement, which includes consideration of the non-cancellable contractual term and reasonably certain renewals. Amortization of capitalized implementation costs is included in the same line item in the Statements of Operations as the expense for fees for the associated hosting arrangement. Refer to Note 7—Property, Plant and Equipment for further detail. Leases Leases are classified as either finance leases or operating leases. A lease is classified as a finance lease if any one of the following criteria are met: the lease transfers ownership of the asset by the end of the lease term, the lease contains an option to purchase the asset that is reasonably certain to be exercised, the lease term is for a major part of the remaining useful life of the asset or the present value of the lease payments equals or exceeds substantially all of the fair value of the asset. A lease is classified as an operating lease if it does not meet any one of these criteria. The Company’s operating leases primarily consist of real estate, including office space, warehouse space and printing facilities. The Company has no finance leases as of June 30, 2026. For operating leases, minimum lease payments, including minimum scheduled rent increases, are recognized as rent expense on a straight-line basis over the applicable lease terms. For finance leases, lease expense consists of the depreciation of the right-of-use asset, as well as interest expense recognized on the lease liability based on the effective interest method using the rate implicit in the lease or the Company’s incremental borrowing rate. A lease’s term begins on the date that the Company obtains possession of the leased premises and goes through the expected lease termination date. See Note 10—Leases. 70 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Royalty Advances to Authors Royalty advances are initially capitalized and subsequently expensed as related revenues are earned or when the Company determines future recovery is not probable. The Company has a long history of providing authors with royalty advances, and it tracks each advance earned with respect to the sale of the related publication. Historically, the longer the unearned portion of the advance remains outstanding, the less likely it is that the Company will recover the advance through the sale of the publication. The Company applies this historical experience to its existing outstanding royalty advances to estimate the likelihood of recovery and a provision is established to write-off the unearned advance, usually between 12 and 24 months after initial publication of the first format. Additionally, the Company reviews its portfolio of royalty advances for unpublished titles to determine if individual royalty advances are not recoverable for discrete reasons, such as the death of an author prior to completion of a title or titles, a Company decision to not publish a title, poor market demand or other relevant factors that could impact recoverability. Based on this information, the portion of any advance that the Company believes is not recoverable is expensed. Business Combinations The purchase price of each acquisition is attributed to the assets acquired and liabilities assumed based on their fair values at the date of acquisition, with certain exceptions in accordance with GAAP. Determining the fair value of assets acquired and liabilities assumed involves the use of significant judgments, including judgments about appropriate discount rates, attrition rates, royalty rates and future cash flows. The excess purchase price over the fair value of net tangible and identifiable intangible assets acquired is recorded as goodwill and is assigned to the reporting unit that is expected to benefit from the business combination as of the acquisition date. Goodwill and Intangible Assets The Company has goodwill and intangible assets, including trademarks and tradenames, newspaper mastheads, publishing imprints, radio broadcast licenses, publishing rights and customer relationships. Goodwill is recorded as the difference between the cost of acquiring entities or businesses and amounts assigned to their tangible and identifiable intangible net assets. In accordance with ASC 350, the Company’s goodwill and indefinite-lived intangible assets are tested for impairment annually during the fourth quarter or earlier if events occur or circumstances change that would more likely than not reduce the fair values below their carrying amounts. Intangible assets with finite lives are amortized over their estimated useful lives. Refer to the Property, Plant and Equipment section above for discussion of impairment considerations for finite-lived intangible assets. Goodwill is reviewed for impairment at a reporting unit level. Reporting units are determined based on an evaluation of the Company’s operating segments and the components making up those operating segments. For purposes of its goodwill impairment review, the Company has identified Dow Jones, REA Group, Move, Inc. (“Move”), HarperCollins, the Australian newspapers, the U.K. newspapers, Wireless Group plc (“News Broadcasting”), the New York Post, Australian News Channel (“ANC”) and Storyful Limited (“Storyful”) as its reporting units. The Company also performs impairment reviews on its indefinite-lived intangible assets, including trademarks and tradenames, newspaper mastheads, publishing imprints and radio broadcast licenses. Certain of the Company’s newspaper mastheads and book publishing imprints are reviewed on an aggregated basis in accordance with ASC 350. Trademarks and tradenames and radio broadcast licenses are reviewed individually. In accordance with ASC 350, in assessing goodwill or indefinite-lived intangible assets for impairment, the Company has the option to first perform a qualitative assessment to determine whether events or circumstances exist that lead to a determination that it is more likely than not that the fair value of a reporting unit or an indefinite-lived intangible asset is less than its carrying amount. If the Company determines that it is not more likely than not that the fair value is less than its carrying amount, the Company is not required to perform any additional tests for impairment. However, if the Company concludes otherwise or elects not to perform the qualitative assessment, then it is required to perform a quantitative analysis. For reporting units, the calculated fair value of the reporting unit is compared with its carrying amount, including goodwill, and for indefinite-lived intangible assets, the calculated fair value is compared to its carrying value. If through a quantitative analysis the Company determines the fair value of a reporting unit or indefinite-lived intangible asset exceeds its carrying amount, the reporting unit’s goodwill or the indefinite-lived intangible asset, as applicable, is considered not to be impaired. If the Company concludes that the fair value of the reporting unit or the indefinite-lived intangible asset is less than its carrying value, an impairment will be recognized for the amount by which the carrying amount exceeds its fair value. 71 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS The methods used to estimate the fair value measurements of the Company’s reporting units and indefinite-lived intangible assets include those based on the income approach (including the discounted cash flow and relief-from-royalty methods) and those based on the market approach (primarily the guideline public company method). The resulting fair value measurements of the assets are considered to be Level 3 measurements. Determining fair value requires the exercise of significant judgments, including judgments about appropriate discount rates, long-term growth rates, relevant comparable company earnings multiples and the amount and timing of expected future cash flows. The cash flows employed in the analyses are based on the Company’s estimated outlook and various growth rates are assumed for years beyond the long-term business plan period. Discount rate assumptions are based on an assessment of the risk inherent in the future cash flows of the respective reporting units. In assessing the reasonableness of its determined fair values, the Company evaluates its results against other value indicators, such as comparable public company trading values. When a business within a reporting unit is disposed of, goodwill is allocated to the disposed business using the relative fair value method. See Note 8—Goodwill and Other Intangible Assets. Borrowings Loans and borrowings are initially recognized at the fair value of the consideration received. Transaction costs are recorded within current borrowings (current portion) and non-current borrowings (long-term portion) in the Consolidated Balance Sheets. They are subsequently recognized at amortized cost using the effective interest method. Debt may be considered extinguished when it has been modified and the terms of the new debt instruments and old debt instruments are substantially different, as that term is defined in the debt modification guidance in ASC 470-50, Debt—Modifications and Extinguishments. The Company classifies the current portion of long term debt as non-current liabilities on the Balance Sheets when it has the intent and ability to refinance the obligation on a long-term basis, in accordance with ASC 470, Debt. See Note 9—Borrowings. Retirement Benefit Obligations The Company provides defined benefit pension, postretirement healthcare and defined contribution benefits to the Company’s eligible employees and retirees. The Company accounts for its defined benefit pension, postretirement healthcare and defined contribution plans in accordance with ASC 715, Compensation—Retirement Benefits (“ASC 715”). The expense recognized by the Company is determined using certain assumptions, including the discount rate, expected long-term rate of return of pension assets and mortality rates, among others. The Company recognizes the funded status of its defined benefit plans (other than multiemployer plans) as either an asset or liability in the Balance Sheets and recognizes changes in the funded status in the year in which the changes occur through Accumulated other comprehensive loss in the Balance Sheets. The service cost component of net periodic benefit costs is recognized in Selling, general and administrative expenses while the non-service cost components of net periodic benefit costs are recognized in Other, net in the Statements of Operations. See Note 17—Retirement Benefit Obligations. Fair Value Measurements The Company has various financial instruments that are measured at fair value on a recurring basis, including certain marketable securities and derivatives. The Company also applies the provisions of fair value measurement to various non-recurring measurements for the Company’s non-financial assets and liabilities. With the exception of investments measured using the net asset value per share practical expedient in accordance with ASC 820, Fair Value Measurements (“ASC 820”), or ASC 825-10, Recognition and Measurement of Financial Assets and Financial Liabilities, the Company measures assets and liabilities in accordance with ASC 820, using inputs from the following three levels of the fair value hierarchy: (i) inputs that are quoted prices in active markets for identical assets or liabilities (“Level 1”); (ii) inputs other than quoted prices included within Level 1 that are observable, including quoted prices for similar assets or liabilities (“Level 2”); and (iii) unobservable inputs that require the entity to use its own best estimates about market participant assumptions (“Level 3”). See Note 11—Financial Instruments and Fair Value Measurements. The Company’s assets measured at fair value on a nonrecurring basis include investments, long-lived assets, indefinite-lived intangible assets and goodwill. The Company reviews the carrying amounts of such assets whenever events or changes in circumstances indicate that the carrying amounts may not be recoverable or at least annually during the fourth quarter for indefinite-lived intangible assets and goodwill. Any resulting asset impairment would require that the asset be recorded at its fair value. The resulting fair value measurements of the assets are considered to be Level 3 measurements. 72 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Treasury Stock The Company accounts for treasury stock using the cost method. Upon the retirement of treasury stock, the Company allocates the value of treasury shares between common stock, additional paid-in capital and accumulated deficit. All shares repurchased to date under the Stock Repurchase Programs have been retired. See Note 12—Stockholders’ Equity. Revenue Recognition Circulation and Subscription Revenues Circulation and subscription revenues include subscription and single-copy sales of digital and print news products and information services subscription revenues. Circulation revenues are based on the number of copies of the printed news products (through home-delivery subscriptions and single-copy sales) and/or digital subscriptions sold, and the associated rates charged to the customers. Single-copy revenue is recognized at a point in time on the date the news products are sold to distribution outlets, net of provisions for related returns. Revenues from home delivery and digital subscriptions are recognized over the subscription term as the news products and/or digital subscriptions are delivered. Information services subscription revenues are recognized over time as the subscriptions are delivered. Payments from subscribers are generally due at the beginning of the month and are recorded as deferred revenue. Such amounts are recognized as revenue as the associated subscription is delivered. Advertising Revenues Revenue from print advertising is recognized at the point in time the print advertisement is published. Broadcast advertising revenue is recognized at the point in time that the broadcast advertisement is aired. For impressions-based digital advertising, revenues are recognized as impressions are delivered over the term of the arrangement, while revenue from non-impressions-based digital advertising is recognized at the point in time that the advertisements are displayed. Such amounts are recognized net of agency commissions and provisions for estimated sales incentives, including rebates, rate adjustments or discounts. The Company enters into transactions that involve the exchange of advertising, in part, for other products and services, which are recorded at the estimated fair value of the product or service received. If the fair value of the product or service received cannot be reliably determined, the value is measured indirectly by reference to the standalone selling price of the advertising provided by the Company. Revenue from nonmonetary transactions is recognized when services are performed, and expenses are recognized when products are received or services are incurred. Billings to clients and payments received in advance of performance of services or delivery of products are recorded as deferred revenue until the services are performed or the product is delivered. Payment for advertising services is typically due shortly after the Company has satisfied its performance obligation to print, broadcast or place the advertising specified in the contract. For advertising campaigns that extend beyond one month, the Company generally invoices the advertiser in arrears based on the number of advertisements that were printed, broadcast or placed, or impressions delivered during the month. Consumer Revenues Revenue from the sale of physical books and e-books or downloadable and streaming audiobooks (“digital formats”) is recognized at the point in time of physical receipt by the customer or electronic delivery. Such amounts are recorded net of provisions for returns and payments to customers. If the Company prohibits its customer from selling a physical book until a future date, it recognizes revenue when that restriction lapses. Revenue is recognized net of any amounts billed to customers for taxes remitted to government authorities. Payments for the sale of physical books and digital formats are generally collected within one to three months of sale or delivery and are based on the number of physical books or digital formats sold. Real Estate Revenues Real estate revenues are derived from the sale of digital real estate listing and lead generation products, as well as services to agents, brokers and developers. Revenue is typically recognized over the contractual period during which the services are provided. Payments are generally due monthly over the subscription term. 73 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS The Company also provides certain leads to agents and brokers at no upfront cost with the Company receiving a portion of the agent sales commission at the time a home transaction is closed. As the amount of revenues is based on several factors outside of the Company’s control including home prices, revenue is recognized when a real estate transaction is closed. Other Revenues Other revenues are recognized when the related services are performed or the product has been delivered. Contracts with Multiple Performance Obligations The Company has certain revenue contracts which contain multiple performance obligations such as print and digital advertising bundles and digital and print newspaper subscription bundles. Revenues derived from sales contracts that contain multiple products and services are allocated based on the relative standalone selling price of each performance obligation to be delivered. Standalone selling price is typically determined based on prices charged to customers for the same or similar goods or services on a standalone basis. If observable standalone prices are not available, the Company estimates standalone selling price by maximizing the use of observable inputs to most accurately reflect the price of each individual performance obligation. Revenue is recognized as each performance obligation included in the contract is satisfied. Identification of a Customer and Gross versus Net Revenue Recognition In the normal course of business, the Company acts as or uses an intermediary or agent in executing transactions with third parties. When the intermediary or agent is determined to be the Company’s customer, the Company records revenue based on the amount it expects to receive from the agent or intermediary. In other circumstances, the determination of whether revenue should be reported on a gross or net basis is based on an assessment of whether the Company is acting as the principal or an agent in the transaction. If the Company is acting as a principal in a transaction, the Company reports revenue on a gross basis. If the Company is acting as an agent in a transaction, the Company reports revenue on a net basis. The determination of whether the Company is acting as a principal or an agent in a transaction involves judgment and is based on an evaluation of the terms of the arrangement. The Company serves as the principal in transactions in which it controls the goods or services prior to being transferred to the ultimate customer. Sales Returns Certain of the Company’s products, such as books and newspapers, are sold with the right of return. The Company records the estimated impact of such returns as a reduction of revenue. To estimate product sales that will be returned and the related products that are expected to be placed back into inventory, the Company analyzes historical returns, current economic trends, changes in customer demand and acceptance of the Company’s products. Based on this information, the Company reserves a percentage of each dollar of product sales that provide the customer with the right of return. Advertising Expenses The Company expenses advertising costs as incurred in accordance with ASC 720-35, Other Expenses—Advertising Cost. Advertising and promotional expenses recognized totaled $545 million, $505 million and $491 million for the fiscal years ended June 30, 2026, 2025 and 2024, respectively. Shipping and Handling Costs incurred for shipping and handling are reflected in Operating expenses in the Statements of Operations. Translation of Foreign Currencies The financial results and position of foreign subsidiaries and affiliates are translated into U.S. dollars using the current rate method, whereby operating results are converted at the average rate of exchange for the period and assets and liabilities are converted at the closing rates on the period end date. The resulting translation adjustments are accumulated as a component of Accumulated other comprehensive loss. Gains and losses from foreign currency transactions are generally included in income for the period. 74 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Income Taxes The Company accounts for income taxes in accordance with ASC 740, Income Taxes (“ASC 740”). ASC 740 requires an asset and liability approach for financial accounting and reporting for income taxes. Under the asset and liability approach, deferred taxes are provided for the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Valuation allowances are established where management determines that it is more likely than not that some portion or all of a deferred tax asset will not be realized. The Company recognizes interest and penalty charges related to unrecognized tax benefits as income tax expense. See Note 19—Income Taxes. Equity-Based Compensation Equity-based awards are accounted for in accordance with ASC 718, Compensation—Stock Compensation (“ASC 718”). ASC 718 requires that the cost resulting from all share-based payment transactions be recognized in the Consolidated Financial Statements. ASC 718 establishes fair value as the measurement objective in accounting for share-based payment arrangements and requires all companies to apply a fair-value-based measurement method in accounting for generally all share-based payment transactions with employees. See Note 13—Equity-Based Compensation. Earnings (Loss) per Share Basic earnings (loss) per share for Class A Common Stock and Class B Common Stock is calculated by dividing Net income (loss) attributable to News Corporation stockholders by the weighted average number of shares of Class A Common Stock and Class B Common Stock outstanding during the period. Diluted earnings (loss) per share for Class A Common Stock and Class B Common Stock is calculated similarly, except that the calculation includes the dilutive effect of the assumed issuance of shares issuable under the Company’s equity-based compensation plans. See Note 14—Earnings (Loss) Per Share. Recently Issued Accounting Pronouncements Adopted In December 2023, the Financial Accounting Standards Board (“FASB”) issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”). The amendments in ASU 2023-09 require disaggregated disclosure of material categories in effective tax rate reconciliations as well as disclosure of income taxes paid by specific domestic and foreign jurisdictions. Additionally, the amendments eliminate certain disclosures currently required under Topic 740. ASU 2023-09 is effective for the Company’s annual reporting periods beginning on July 1, 2025, with early adoption permitted. The Company adopted ASU 2023-09 on a prospective basis as of June 30, 2026. Issued In November 2024, the FASB issued ASU 2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses (“ASU 2024-03”). The amendments in ASU 2024-03 require public entities to disclose specified information about certain costs and expenses. ASU 2024-03 is effective for the Company’s annual reporting periods beginning on July 1, 2027 and interim reporting periods beginning on July 1, 2028, with early adoption permitted. In July 2025, the FASB issued ASU 2025-05, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses for Accounts Receivable and Contract Assets (“ASU 2025-05”). The amendments in ASU 2025-05 provide entities with a practical expedient to simplify the estimation of expected credit losses on current accounts receivable and current contract assets that arise from transactions accounted for under ASC 606, Revenue from Contracts with Customers (“ASC 606”) by allowing the assumption that current conditions as of the balance sheet date will not change during the remaining life of the asset. ASU 2025-05 is effective for the Company for its annual reporting periods beginning July 1, 2026, and interim reporting periods within those annual reporting periods, with early adoption permitted. The Company is currently evaluating the impact ASU 2025-05 will have on its consolidated financial statements. 75 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS In September 2025, the FASB issued ASU 2025-06, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40) (“ASU 2025-06”). The amendments in ASU 2025-06 eliminate all references to project stages throughout Subtopic 350-40 and require an entity to begin capitalizing software costs when both (1) management has authorized and committed to funding the project and (2) it is probable that the project will be completed and the software will be used to perform the function intended (the “probable-to-complete recognition threshold”). ASU 2025-06 is effective for the Company for its annual reporting periods beginning July 1, 2028, and interim periods within those annual reporting periods, with early adoption permitted. The Company is currently evaluating the impact ASU 2025-06 will have on its consolidated financial statements. In December 2025, the FASB issued ASU 2025-11, Interim Reporting (Topic 270): Narrow-Scope Improvements (“ASU 2025-11”). The amendments in ASU 2025-11 amend ASC Topic 270, Interim Reporting to improve the navigability of required interim disclosures and clarify when the guidance is applicable. ASU 2025-11 also adds a principle requiring entities to disclose material events that occurred since the end of the last annual reporting period. ASU 2025-11 is effective for the Company’s interim reporting periods beginning July 1, 2028, with early adoption permitted. ASU 2025-11 will not have a material impact on the Company’s consolidated financial statements. In December 2025, the FASB issued ASU 2025-12, Codification Improvements (“ASU 2025-12”). The amendments in ASU 2025-12 represent changes that (1) clarify, (2) correct errors, or (3) make minor improvements to the Accounting Standards Codification that make it easier to understand and apply. ASU 2025-12 is effective for the Company’s annual reporting periods beginning July 1, 2027, and interim periods within those annual reporting periods, with early adoption permitted. ASU 2025-12 will not have a material impact on the Company’s consolidated financial statements. NOTE 3. DISCONTINUED OPERATIONS Foxtel During the second quarter of fiscal 2025, the Company entered into a definitive agreement to sell the Foxtel Group (“Foxtel”) to DAZN Group Limited (“DAZN”) and the sale closed on April 2, 2025. The results of operations and cash flows of Foxtel have been classified as discontinued operations for all periods presented in accordance with ASC 205-20, Discontinued Operations, as the disposition reflected a strategic shift that had a major effect on the Company’s operations and financial results. Upon reclassification of Foxtel’s results, the Company determined that the Subscription Video Services segment was no longer a reportable segment, and the residual results of the segment were aggregated into the News Media segment. News Media segment results have been recast to reflect this change for all periods presented. See Note 20—Segment Information. In all periods presented, transactions between Foxtel and the continuing operations of the Company that did not continue after the sale are eliminated, whereas those that continued are no longer eliminated. 76 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS The following table summarizes the results of operations from the discontinued operations of Foxtel for the fiscal years ended June 30, 2025 and 2024: For the fiscal years ended June 30, 2025 2024 (in millions) Revenues $ 1,393 $ 1,908 Operating expenses (940) (1,285) Selling, general and administrative (236) (325) Depreciation and amortization(a) (156) (294) Impairment and restructuring charges (2) (5) Interest expense, net (51) (67) Other, net(b) 721 29 Income (loss) before income tax (expense) benefit 729 (39) Income tax (expense) benefit (37) 14 Net income (loss) 692 (25) Net loss attributable to noncontrolling interests 8 22 Net income (loss) attributable to News Corporation stockholders $ 700 $ (3) (a)Depreciation and amortization is not recognized for long-lived assets subsequent to their classification as held for sale. (b)For fiscal 2025, Other, net primarily consists of the $716 million pre-tax gain on the sale of Foxtel. NOTE 4. REVENUES Disaggregated Revenue The following tables present the Company’s disaggregated revenues by type and segment for the fiscal years ended June 30, 2026, 2025 and 2024: For the fiscal year ended June 30, 2026 Dow Jones Digital Real Estate Services Book Publishing News Media Total Revenues (in millions) Revenues: Circulation and subscription $ 2,020 $ 8 $ — $ 1,175 $ 3,203 Advertising 418 169 — 804 1,391 Consumer — — 2,185 — 2,185 Real estate — 1,571 — — 1,571 Other 59 268 103 248 678 Total Revenues $ 2,497 $ 2,016 $ 2,288 $ 2,227 $ 9,028 77 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the fiscal year ended June 30, 2025 Dow Jones Digital Real Estate Services Book Publishing News Media Total Revenues (in millions) Revenues: Circulation and subscription $ 1,884 $ 7 $ — $ 1,118 $ 3,009 Advertising 396 151 — 820 1,367 Consumer — — 2,047 — 2,047 Real estate — 1,410 — — 1,410 Other 51 234 102 232 619 Total Revenues $ 2,331 $ 1,802 $ 2,149 $ 2,170 $ 8,452 For the fiscal year ended June 30, 2024 Dow Jones Digital Real Estate Services Book Publishing News Media Total Revenues (in millions) Revenues: Circulation and subscription $ 1,771 $ 10 $ — $ 1,128 $ 2,909 Advertising 405 136 — 859 1,400 Consumer — — 2,000 — 2,000 Real estate — 1,284 — — 1,284 Other 55 228 93 283 659 Total Revenues $ 2,231 $ 1,658 $ 2,093 $ 2,270 $ 8,252 Contract Liabilities and Assets The Company’s deferred revenue balance primarily relates to amounts received from customers for subscriptions paid in advance of the services being provided. The following table presents changes in the deferred revenue balance for the fiscal years ended June 30, 2026 and 2025: For the fiscal years ended June 30, 2026 2025 (in millions) Beginning balance $ 498 $ 483 Deferral of revenue 3,278 3,198 Recognition of deferred revenue(a) (3,229) (3,197) Other (4) 14 Ending balance $ 543 $ 498 (a)For the fiscal years ended June 30, 2026 and 2025, the Company recognized approximately $473 million and $451 million, respectively, of revenue which was included in the opening deferred revenue balance. The Company had contract assets of $73 million and $53 million as of June 30, 2026 and 2025, respectively. Other Revenue Disclosures The Company typically expenses sales commissions to obtain a customer contract as incurred as the amortization period is twelve months or less. These costs are recorded within Selling, general and administrative in the Statements of Operations. The Company also does not capitalize significant financing components when the transfer of the good or service is paid within twelve months or less, or the consideration is received within twelve months or less of the transfer of the good or service. 78 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS During the fiscal year ended June 30, 2026, the Company recognized approximately $447 million in revenues related to performance obligations that were satisfied or partially satisfied in a prior reporting period. The remaining transaction price related to unsatisfied performance obligations as of June 30, 2026 was approximately $1,259 million, of which approximately $487 million is expected to be recognized in fiscal 2027, $283 million is expected to be recognized in fiscal 2028 and $181 million is expected to be recognized in fiscal 2029, with the remainder to be recognized thereafter. These amounts do not include (i) contracts with an expected duration of one year or less, (ii) contracts for which variable consideration is determined based on the customer’s subsequent sale or usage and (iii) variable consideration allocated to performance obligations accounted for under the series guidance that meets the allocation objective under ASC 606. NOTE 5. RESTRUCTURING PROGRAMS The Company recorded restructuring charges of $86 million, $120 million and $89 million for the fiscal years ended June 30, 2026, 2025 and 2024, respectively. Changes in restructuring program liabilities were as follows: One-time employee termination benefits Other costs Total (in millions) Balance, June 30, 2023 $ 48 $ 41 $ 89 Additions 83 6 89 Payments (106) (12) (118) Other (1) — (1) Balance, June 30, 2024 $ 24 $ 35 $ 59 Additions 100 20 120 Payments (75) (9) (84) Other (7) — (7) Balance, June 30, 2025 $ 42 $ 46 $ 88 Additions 86 — 86 Payments (102) (6) (108) Other 3 (1) 2 Balance, June 30, 2026 $ 29 $ 39 $ 68 As of June 30, 2026 and June 30, 2025 restructuring liabilities of approximately $34 million and $46 million, respectively, were included in the Balance Sheet in Other current liabilities and $34 million and $42 million, respectively, were included in Other non-current liabilities. NOTE 6. INVESTMENTS The Company’s investments were comprised of the following: Ownership Percentage as of June 30, 2026 As of June 30, 2026 2025 (in millions) Equity method investments(a) various $ 95 $ 85 Equity and other securities(b) various 907 931 Total Investments $ 1,002 $ 1,016 (a)Equity method investments include News UK’s joint venture with DMG Media. (b)Equity and other securities are primarily comprised of the Company’s interest in DAZN, certain investments in China, REA Group’s investment in Athena Home Loans and Nexxen International, Ltd. 79 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS The Company has equity securities with quoted prices in active markets as well as equity securities without readily determinable fair market values. Equity securities without readily determinable fair market values are valued at cost, less any impairment, plus or minus changes in fair value resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer. The components comprising total gains and losses on equity securities are set forth below: For the fiscal years ended June 30, 2026 2025 2024 (in millions) Total gains (losses) recognized on equity securities $ (20) $ 21 $ (13) Less: Net gains (losses) recognized on equity securities sold or impaired (1) — — Unrealized gains (losses) recognized on equity securities held at end of period $ (19) $ 21 $ (13) Equity Losses of Affiliates The Company’s share of the losses of its equity affiliates was $8 million, $15 million and $6 million for the fiscal years ended June 30, 2026, 2025 and 2024, respectively. NOTE 7. PROPERTY, PLANT AND EQUIPMENT Original Useful Lives As of June 30, 2026 2025 (in millions) Property, plant and equipment: Land $ 123 $ 123 Buildings and leaseholds 3 to 50 years 1,506 1,511 Machinery and equipment 2 to 25 years 732 752 Capitalized software 2 to 15 years 1,789 1,753 Construction in progress 93 113 Total Property, plant and equipment 4,243 4,252 Accumulated depreciation and amortization(a) (2,845) (2,921) Total Property, plant and equipment, net $ 1,398 $ 1,331 (a)Includes accumulated amortization of capitalized software of approximately $1,086 million and $1,149 million as of June 30, 2026 and 2025, respectively. Depreciation and amortization related to property, plant and equipment was $385 million, $361 million and $341 million for the fiscal years ended June 30, 2026, 2025 and 2024, respectively. This includes amortization of capitalized software of $304 million, $281 million and $252 million for the fiscal years ended June 30, 2026, 2025 and 2024, respectively. Fixed Asset Impairments During the fiscal year ended June 30, 2024, the Company recognized non-cash impairment charges of $22 million at the News Media segment related to the write-down of fixed assets associated with the combination of News UK’s printing operations with those of DMG Media. 80 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS NOTE 8. GOODWILL AND OTHER INTANGIBLE ASSETS The net carrying values of the Company’s intangible assets for the fiscal years ended June 30, 2026 and June 30, 2025 were as follows: As of June 30, 2026 2025 (in millions) Intangible Assets Not Subject to Amortization Trademarks and tradenames $ 272 $ 276 Newspaper mastheads 281 281 Imprints 239 250 Radio broadcast licenses 109 123 Total intangible assets not subject to amortization 901 930 Intangible Assets Subject to Amortization Publishing rights 245 267 Customer relationships 671 708 Other 20 25 Total intangible assets subject to amortization, net 936 1,000 Total Intangible assets, net $ 1,837 $ 1,930 Information related to amortizable intangible assets and related accumulated amortization for the fiscal years ended June 30, 2026 and June 30, 2025 is summarized below: Useful lives As of June 30, 2026 2025 Gross Accumulated Amortization Net Gross Accumulated Amortization Net (in millions) Publishing rights(a) 3 to 30 years $ 689 $ 444 $ 245 $ 677 $ 410 $ 267 Customer relationships(b) 3 to 25 years 1,396 725 671 1,373 665 708 Other(c) 3 to 15 years 125 105 20 125 100 25 Total $ 2,210 $ 1,274 $ 936 $ 2,175 $ 1,175 $ 1,000 (a)The useful lives of publishing rights are primarily based on the weighted-average remaining contractual terms of the underlying publishing contracts and the Company’s estimates of the period within those terms that the asset is expected to generate a majority of its future cash flows. (b)The useful lives of customer relationships are estimated by applying historical attrition rates and determining the resulting period over which a majority of the accumulated undiscounted cash flows related to the customer relationships are expected to be generated. (c)The useful lives of other intangible assets represent the periods over which these intangible assets are expected to contribute directly or indirectly to the Company’s future cash flows. Amortization expense related to amortizable intangible assets was $100 million, $98 million and $99 million for the fiscal years ended June 30, 2026, 2025 and 2024, respectively. 81 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Based on the current amount of amortizable intangible assets, the estimated amortization expense for each of the succeeding five fiscal years is as follows: As of June 30, 2026 (in millions) Fiscal 2027 $ 97 Fiscal 2028 93 Fiscal 2029 87 Fiscal 2030 83 Fiscal 2031 69 The changes in the carrying value of goodwill, by segment, are as follows: Dow Jones Digital Real Estate Services Book Publishing News Media Total Goodwill (in millions) Balance, June 30, 2024 $ 2,195 $ 1,604 $ 406 $ 131 $ 4,336 Acquisitions 44 (8) 16 — 52 Foreign exchange and other — (21) 2 4 (15) Balance, June 30, 2025 $ 2,239 $ 1,575 $ 424 $ 135 $ 4,373 Acquisitions 29 94 6 2 131 Dispositions — (2) — — (2) Foreign exchange and other — 45 (7) 2 40 Balance, June 30, 2026 $ 2,268 $ 1,712 $ 423 $ 139 $ 4,542 The carrying amount of goodwill as of June 30, 2026 and 2025 both reflected accumulated impairments of $3.9 billion principally relating to impairments at the Dow Jones and News Media segments that were recognized prior to the Company’s separation of its businesses from Twenty-First Century Fox, Inc. (“21st Century Fox”) on June 28, 2013 (the “Separation”). Annual Impairment Assessments In accordance with ASC 350, the Company’s goodwill and indefinite-lived intangible assets are tested for impairment annually in the fourth quarter or earlier if events occur or circumstances change that would more likely than not reduce the fair values below their carrying amounts. See Note 2—Summary of Significant Accounting Policies. Fiscal 2026 The performance of the Company’s annual impairment analysis resulted in a $9 million impairment of an indefinite-lived intangible asset and no impairments to goodwill in fiscal 2026. The Company utilized the qualitative assessment for certain of its reporting units and indefinite-lived intangible assets. The qualitative tests performed considered various factors since the performance of the last quantitative test, including, but not limited to, macroeconomic conditions, industry and company-specific trends and parent company share price performance. Significant unobservable inputs utilized in the income approach valuation method for quantitative assessments were discount rates (ranging from 8.5% to 16.0%), long-term growth rates (ranging from 2.0% to 3.0%) and royalty rates (ranging from 0.25% to 5.0%). Significant unobservable inputs utilized in the market approach valuation method for quantitative assessments were EBITDA and revenue multiples from guideline public companies operating in similar industries (ranging from 4.0x to 10.3x and 1.5x to 2.3x, respectively) and control premiums (ranging from 5.0% to 10.0%). Significant increases (decreases) in royalty rates, growth rates, control premiums and multiples, assuming no change in discount rates, would result in a significantly higher (lower) fair value measurement. Significant decreases (increases) in discount rates, assuming no changes in royalty rates, growth rates, control premiums and multiples, would result in a significantly higher (lower) fair value measurement. 82 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Fiscal 2025 The performance of the Company’s annual impairment analysis resulted in no impairments of indefinite-lived intangible assets or goodwill in fiscal 2025. The Company utilized the qualitative assessment for certain of its reporting units and indefinite-lived intangible assets. The qualitative tests performed considered various factors since the performance of the last quantitative test, including, but not limited to, macroeconomic conditions, industry and company-specific trends and parent company share price performance. Significant unobservable inputs utilized in the income approach valuation method for quantitative assessments were discount rates (ranging from 8.0% to 17.0%), long-term growth rates (ranging from 2.0% to 3.0%) and royalty rates (ranging from 0.25% to 5.0%). Significant unobservable inputs utilized in the market approach valuation method for quantitative assessments were EBITDA and revenue multiples from guideline public companies operating in similar industries (ranging from 5.0x to 10.0x and 2.0x to 2.8x, respectively) and control premiums (ranging from 5.0% to 10.0%). Significant increases (decreases) in royalty rates, growth rates, control premiums and multiples, assuming no change in discount rates, would result in a significantly higher (lower) fair value measurement. Significant decreases (increases) in discount rates, assuming no changes in royalty rates, growth rates, control premiums and multiples, would result in a significantly higher (lower) fair value measurement. Fiscal 2024 The performance of the Company’s annual impairment analysis resulted in impairments of $18 million to an indefinite-lived intangible asset and goodwill in fiscal 2024. Significant unobservable inputs utilized in the income approach valuation method for quantitative assessments were discount rates (ranging from 8.0% to 18.5%), long-term growth rates (ranging from 1.0% to 3.5%) and royalty rates (ranging from 0.25% to 7.0%). Significant unobservable inputs utilized in the market approach valuation method for quantitative assessments were EBITDA and revenue multiples from guideline public companies operating in similar industries (ranging from 5.5x to 11.8x and 2.0x to 2.8x, respectively) and control premiums (ranging from 5.0% to 10.0%). Significant increases (decreases) in royalty rates, growth rates, control premiums and multiples, assuming no change in discount rates, would result in a significantly higher (lower) fair value measurement. Significant decreases (increases) in discount rates, assuming no changes in royalty rates, growth rates, control premiums and multiples, would result in a significantly higher (lower) fair value measurement. NOTE 9. BORROWINGS The Company’s total borrowings consist of the following: Interest rate at June 30, 2026 Maturity at June 30, 2026 As of June 30, 2026 As of June 30, 2025 (in millions) News Corporation 2026 Term loan A(a) 4.961 % Mar 27, 2031 499 — 2022 Term loan A(a) N/A N/A — 475 2022 Senior notes 5.125 % Feb 15, 2032 495 494 2021 Senior notes 3.875 % May 15, 2029 995 993 Total borrowings 1,989 1,962 Less: current portion(b) — (25) Long-term borrowings $ 1,989 $ 1,937 (a)In March 2026, the Company entered into the 2026 Credit Agreement (as defined below). The Company has an interest rate swap derivative as discussed in Note 11—Financial Instruments and Fair Value Measurements. For the three months ended June 30, 2026, the Company was paying interest at an effective interest rate of 3.496%. (b)The current portion of long term debt as of June 30, 2025 relates to required principal payments on the 2022 Term Loan A. News Corporation Borrowings As of June 30, 2026, News Corporation had (i) borrowings of $2.0 billion, including the current portion, consisting of its outstanding 2021 Senior Notes, 2022 Senior Notes (collectively, the “Senior Notes”) and the 2026 Term A Loans (as defined below), and (ii) $1 billion of undrawn commitments available under the 2026 Revolving Facility (as defined below). 83 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 2026 Amended and Restated Credit Agreement In March 2026, the Company entered into an Amended and Restated Credit Agreement (the “2026 Credit Agreement”) that provides $1.5 billion of unsecured credit facilities (the “2026 Facilities”) to the Company to refinance its 2022 Credit Agreement and for general corporate purposes. The 2026 Facilities are comprised of a $1 billion five-year unsecured revolving credit facility (the “2026 Revolving Facility”) and a $500 million five-year unsecured term loan A credit facility (the “2026 Term A Facility,” and the loans under the 2026 Term A Facility are collectively referred to as “2026 Term A Loans”). The 2026 Revolving Facility has a sublimit of $100 million available for issuances of letters of credit. Under the 2026 Credit Agreement, the Company may request increases with respect to either of the 2026 Facilities in an aggregate principal amount not to exceed $250 million. The loans under the 2026 Revolving Facility will not amortize. The 2026 Term A Loans will amortize in equal quarterly installments in an aggregate annual amount equal to 0.0%, 2.5%, 2.5%, 5.0% and 5.0%, respectively, of the original principal amount of the 2026 Term A Facility for each 12-month period commencing on June 30, 2026. All outstanding amounts under the 2026 Credit Agreement with respect to the 2026 Facilities are due on March 27, 2031, unless earlier terminated in the circumstances set forth in the 2026 Credit Agreement. The Company may request that the maturity date of the revolving credit commitments under the 2026 Revolving Facility be extended under certain circumstances as set forth in the 2026 Credit Agreement for up to two additional one-year periods. The Company may also request that the maturity date of the 2026 Term A Facility be extended under certain circumstances as set forth in the 2026 Credit Agreement by at least one year. Interest on borrowings is based on either (a) an Alternative Currency Term Rate formula, (b) a Term SOFR formula, (c) an Alternative Currency Daily Rate formula ((a) through (c) each, a “Relevant Rate”) or (d) the Base Rate formula, each as set forth in the 2026 Credit Agreement. The applicable margin for borrowings under the 2026 Facilities and the commitment fee for undrawn balances under the 2026 Revolving Facility are based on the pricing grid in the 2026 Credit Agreement, which varies based on the Company’s debt rating as defined in the 2026 Credit Agreement. As of June 30, 2026, the Company was paying commitment fees of 0.15% on any undrawn balance under the 2026 Revolving Facility and, with respect to any outstanding borrowings under the 2026 Facilities, an applicable margin of 0.25% for a Base Rate borrowing and 1.25% for a Relevant Rate borrowing. The 2026 Credit Agreement contains certain customary affirmative and negative covenants and events of default with customary exceptions, including limitations on the ability of the Company and the Company’s subsidiaries to incur liens, merge into or consolidate with any other entity, incur subsidiary debt or dispose of all or substantially all of its assets or all or substantially all of the stock of all subsidiaries taken as a whole. In addition, the 2026 Credit Agreement requires the Company to maintain an adjusted operating income net leverage ratio of not more than 3.5 to 1.0, subject to certain adjustments following a material acquisition. Senior Notes The Senior Notes are the senior unsecured obligations of the Company and rank equally in right of payment with the Company’s other senior debt, including borrowings under the 2026 Facilities. In the event of specified change in control events, the Company must offer to purchase the outstanding Senior Notes from the holders at a purchase price equal to 101% of the principal amount, plus any accrued and unpaid interest. There are no financial maintenance covenants with respect to the Senior Notes. The indentures governing the applicable Senior Notes contain other covenants that, among other things and subject to certain exceptions, (i) limit the Company’s ability and the ability of its subsidiaries to incur any liens securing indebtedness for borrowed money and (ii) limit the Company’s ability to consolidate or merge with or into another person or sell or otherwise dispose of all or substantially all of the assets of the Company and its subsidiaries (taken as a whole). REA Group Debt As of June 30, 2026, REA Group had A$200 million of undrawn commitments available under its unsecured syndicated credit facility (the “2024 REA Credit Facility”). During the fiscal year ended June 30, 2026, REA Group amended its 2024 REA Credit Facility to reduce the total amount available under the facility to A$200 million. REA Group is a consolidated but non wholly-owned subsidiary of News Corp, and its indebtedness is only guaranteed by REA Group and certain of its subsidiaries and is non-recourse to News Corp. 84 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Borrowings under the 2024 REA Credit Facility accrue interest at a rate of the Australian BBSY plus a margin of between 1.45% and 2.35%, depending on REA Group’s net leverage ratio. The 2024 REA Credit Facility carries a commitment fee of 40% of the applicable margin on any undrawn balance. REA Group may request increases in the amount of the 2024 REA Credit Facility up to a maximum amount of A$500 million, subject to the terms and limitations set forth in the syndicated facility agreement. The syndicated facility agreement governing the 2024 REA Credit Facility requires REA Group to maintain (i) a net leverage ratio of not more than 3.5 to 1.0 and (ii) an interest coverage ratio of not less than 3.0 to 1.0. The agreement also contains certain other customary affirmative and negative covenants and events of default. Subject to certain exceptions, these covenants restrict or prohibit REA Group and its subsidiaries from, among other things, incurring or guaranteeing debt, disposing of certain properties or assets, merging or consolidating with any other person, making financial accommodation available, entering into certain other financing arrangements, creating or permitting certain liens, engaging in non-arms’ length transactions with affiliates, undergoing fundamental business changes and making restricted payments. HarperCollins Equipment Lease In October 2025, HarperCollins entered into a finance leasing arrangement for up to $120 million of equipment for a new warehouse (the “Equipment Lease”). Interest accrues on amounts drawn under the Equipment Lease based on the Term SOFR plus a margin of 1.475%. The Equipment Lease may be drawn on until June 30, 2028, after which lease payments commence for a term of 7 years. The lease obligations are secured by the acquired equipment, and ownership of the equipment acquired under the Equipment Lease will transfer to HarperCollins at the end of the lease term. The Equipment Lease will be classified as a finance lease on the Company’s balance sheet upon commencement. Covenants The Company’s borrowings and those of its consolidated subsidiaries contain customary representations, covenants and events of default, including those discussed above. If any of the events of default occur and are not cured within applicable grace periods or waived, any unpaid amounts under the applicable debt agreements may be declared immediately due and payable. The Company was in compliance with all applicable covenants at June 30, 2026. Future Maturities The following table summarizes the Company’s debt maturities, excluding debt issuance costs, as of June 30, 2026: As of June 30, 2026 (in millions) Fiscal 2027 $ — Fiscal 2028 16 Fiscal 2029 1,016 Fiscal 2030 25 Fiscal 2031 443 Thereafter 500 NOTE 10. LEASES Summary of Leases The Company’s operating leases primarily consist of real estate, including office space, warehouse space and printing facilities, and generally include options to extend the lease term or terminate the lease. Such options do not impact the Company’s lease term assessment until the Company is reasonably certain that the option will be exercised. Certain of the Company’s leases include rent adjustments which may be indexed to various metrics, including the consumer price index or other inflationary indexes. As a general matter, the Company’s real estate lease arrangements typically require adjustments resulting from changes in real estate taxes and other costs to operate the leased asset. 85 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS The total lease cost for operating leases included in the Statements of Operations was as follows: For the fiscal years ended June 30, 2026 2025 2024 Income Statement Location (in millions) Operating lease costs Selling, general and administrative $ 100 $ 106 $ 104 Operating lease costs Operating expenses 9 10 10 Short term lease costs Selling, general and administrative 26 23 21 Variable lease costs Selling, general and administrative 30 27 24 Total lease costs $ 165 $ 166 $ 159 Additional information related to the Company’s operating leases under ASC 842, Leases: As of June 30, 2026 2025 Weighted-average remaining lease term 12.8 years 13.5 years Weighted-average incremental borrowing rate 5.45 % 5.32 % For the fiscal years ended June 30, 2026 2025 2024 (in millions) Cash paid — operating lease liabilities $ 129 $ 138 $ 134 Operating lease right-of-use assets obtained in exchange for operating lease liabilities 38 33 13 Future minimum lease payments as of June 30, 2026 are as follows: As of June 30, 2026 Operating Leases (in millions) Fiscal 2027 $ 127 Fiscal 2028 84 Fiscal 2029 80 Fiscal 2030 93 Fiscal 2031 88 Thereafter 871 Total future minimum lease payments $ 1,343 Less: interest (417) Present value of minimum payments $ 926 NOTE 11. FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS In accordance with ASC 820, fair value measurements are required to be disclosed using a three-tiered fair value hierarchy which distinguishes market participant assumptions into the following categories: •Level 1 — Quoted prices in active markets for identical assets or liabilities. •Level 2 — Observable inputs other than quoted prices included in Level 1. The Company could value assets and liabilities included in this level using dealer and broker quotations, certain pricing models, bid prices, quoted prices for similar assets and liabilities in active markets or other inputs that are observable or can be corroborated by observable market data. 86 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS •Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. For the Company, this primarily includes the use of forecasted financial information and other valuation related assumptions such as discount rates and long term growth rates in the income approach as well as the market approach which utilizes certain market and transaction multiples. The following table summarizes the Company’s assets measured at fair value: As of June 30, 2026 As of June 30, 2025 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total (in millions) Assets: Interest rate derivatives—cash flow hedges $ — $ 6 $ — $ 6 $ — $ 12 $ — $ 12 Equity and other securities 48 57 802 907 67 50 814 931 Total assets $ 48 $ 63 $ 802 $ 913 $ 67 $ 62 $ 814 $ 943 Equity and Other Securities The fair values of equity and other securities with quoted prices in active markets, which are classified as Level 1 in the fair value hierarchy outlined above, and those that rely on significant observable inputs other than quoted prices in active markets, which are classified as Level 2 in the fair value hierarchy outlined above, are determined based on the closing price at the end of each reporting period. The fair values of equity and other securities without readily determinable fair market values are determined based on cost, less any impairment, plus or minus changes in fair value resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer. These securities are classified as Level 3 in the fair value hierarchy outlined above. Derivative Instruments The Company is directly and indirectly affected by risks associated with changes in certain market conditions. When deemed appropriate, the Company uses derivative instruments to mitigate the potential impact of these market risks. The primary market risk managed by the Company through the use of derivative instruments relates to interest rate risk arising from floating rate News Corporation borrowings. The Company formally designates qualifying derivatives as hedge relationships and applies hedge accounting when considered appropriate. The Company does not use derivative financial instruments for trading or speculative purposes. Derivatives are classified as current or non-current in the Balance Sheets based on their maturity dates. Refer to the table below for further details: Fair value as of June 30, Balance Sheet Classification 2026 2025 (in millions) Interest rate derivatives—cash flow hedges Other current assets $ 6 $ 7 Interest rate derivatives—cash flow hedges Other non-current assets — 5 Cash Flow Hedges The Company utilizes interest rate derivatives to mitigate interest rate risk in relation to future interest payments. The total notional value of interest rate swap derivatives designated for hedging was approximately $450 million as of June 30, 2026 for News Corporation borrowings. The maximum hedged term over which the Company is hedging exposure to variability in interest payments is to March 2027. As of June 30, 2026, the Company estimates that approximately $6 million of net derivative gains related to its interest rate swap derivative cash flow hedges included in Accumulated other comprehensive loss will be reclassified into the Statements of Operations within the next twelve months. 87 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS The following tables present the impact that changes in the fair values had on Accumulated other comprehensive loss and the Statements of Operations during the fiscal years ended June 30, 2026, 2025 and 2024 for derivatives designated as cash flow hedges: Gains (losses) recognized in Accumulated other comprehensive loss for the fiscal years ended June 30, 2026, 2025 and 2024, by derivative instrument: For the fiscal years ended June 30, 2026 2025 2024 (in millions) Interest rate derivatives—cash flow hedges $ 3 $ (3) $ 10 (Gains) losses reclassified from Accumulated other comprehensive loss into the Statements of Operations for the fiscal years ended June 30, 2026, 2025 and 2024, by derivative instrument: Income Statement Classification For the fiscal years ended June 30, 2026 2025 2024 (in millions) Interest rate derivatives—cash flow hedges Interest income (expense), net $ (9) $ (13) $ (17) Nonrecurring Fair Value Measurements In addition to assets and liabilities that are remeasured at fair value on a recurring basis, the Company has certain assets, primarily goodwill, intangible assets, property, plant and equipment, investments in equity securities without readily determinable fair values and equity method investments that are not required to be remeasured to fair value at the end of each reporting period. On an ongoing basis, the Company monitors whether events occur or circumstances change that would more likely than not reduce the fair values of these assets below their carrying amounts. If the Company determines that these assets are impaired, the Company would write down these assets to fair value. These nonrecurring fair value measurements are considered to be Level 3 in the fair value hierarchy. There have been no material current period or cumulative remeasurements of Level 3 equity and other securities. Other Fair Value Measurements As of June 30, 2026, the carrying value of the Company’s outstanding borrowings approximates the fair value. The 2022 Senior Notes and the 2021 Senior Notes are classified as Level 2 and the remaining borrowings are classified as Level 3 in the fair value hierarchy. NOTE 12. STOCKHOLDERS’ EQUITY Authorized Capital Stock The Company’s authorized capital stock consists of 1,500,000,000 shares of Class A Common Stock, par value $0.01 per share, 750,000,000 shares of Class B Common Stock, par value $0.01 per share, 25,000,000 shares of Series Common Stock, par value $0.01 per share, and 25,000,000 shares of Preferred Stock, par value $0.01 per share. Common Stock and Preferred Stock Shares Outstanding—As of June 30, 2026, the Company had approximately 362 million shares of Class A Common Stock outstanding at a par value of $0.01 per share and approximately 181 million shares of Class B Common Stock outstanding at a par value of $0.01 per share. As of June 30, 2026, the Company had no shares of Series Common Stock or Preferred Stock outstanding. 88 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Dividends—The following table summarizes the dividends declared and paid per share on both the Company’s Class A Common Stock and Class B Common Stock: For the fiscal years ended June 30, 2026 2025 2024 Cash dividends paid per share $ 0.20 $ 0.20 $ 0.20 The timing, declaration, amount and payment of future dividends to stockholders, if any, is within the discretion of the Company’s Board of Directors (the “Board of Directors”). The Board of Directors’ decisions regarding the payment of future dividends will depend on many factors, including the Company’s financial condition, earnings, capital requirements and debt facility covenants, other contractual restrictions, as well as legal requirements, regulatory constraints, industry practice, market volatility and other factors that the Board of Directors deems relevant. Voting Rights—Holders of the Company’s Class A Common Stock are entitled to vote only in the limited circumstances set forth in the Company’s Restated Certificate of Incorporation (the “Charter”). Holders of the Company’s Class B Common Stock are generally entitled to one vote for each share held of record on all matters submitted to a vote of the stockholders. Liquidation Rights—In the event of a liquidation or dissolution of the Company, holders of Class A Common Stock and Class B Common Stock shall be entitled to receive all of the remaining assets of the Company available for distribution to its stockholders, ratably in proportion to the number of shares held by Class A Common Stock holders and Class B Common Stock holders, respectively. In the event of any merger or consolidation with or into another entity, the holders of Class A Common Stock and the holders of Class B Common Stock shall generally be entitled to receive substantially identical per share consideration. Under the Company’s Charter, the Board of Directors is authorized to issue shares of preferred stock or series common stock at any time, without stockholder approval, in one or more series and to fix the number of shares, designations, voting powers, if any, preferences and relative, participating, optional and other rights of such series, as well as any applicable qualifications, limitations or restrictions, to the full extent permitted by Delaware law, subject to the limitations set forth in the Charter, including stockholder approval requirements with respect to the issuance of preferred stock or series common stock entitling holders thereof to more than one vote per share. Stock Repurchases On September 22, 2021, the Company announced a stock repurchase program authorizing the Company to purchase up to $1 billion in the aggregate of the Company’s outstanding Class A Common Stock and Class B Common Stock (the “2021 Repurchase Program”), which was completed during the fiscal year ended June 30, 2026. On July 15, 2025, the Company announced a new stock repurchase program authorizing the Company to purchase up to $1 billion in the aggregate of the Company’s outstanding Class A Common Stock and Class B Common Stock (the “2025 Repurchase Program” and, together with the 2021 Repurchase Program, the “Stock Repurchase Programs”), which was in addition to the remaining authorized amount under the 2021 Repurchase Program at that time. The manner, timing, number and share price of any repurchases will be determined by the Company at its discretion and will depend upon such factors as the market price of the stock, general market conditions, applicable securities laws, alternative investment opportunities and other factors. As of June 30, 2026, there was no authorized amount remaining under the 2021 Repurchase Program, and the remaining authorized amount under the 2025 Repurchase Program was approximately $667 million. The 2025 Repurchase Program has no time limit and may be modified, suspended or discontinued at any time. 89 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS The following table summarizes the shares repurchased and subsequently retired under the Stock Repurchase Programs and the related consideration paid, excluding associated taxes, fees, commissions or other costs, during the fiscal years ended June 30, 2026, 2025 and 2024: For the fiscal years ended June 30, 2026 2025 2024 Shares Amount Shares Amount Shares Amount (in millions) Class A Common Stock 16.2 $ 423 3.5 $ 97 3.4 $ 79 Class B Common Stock 7.5 220 1.8 53 1.6 38 Total 23.7 $ 643 5.3 $ 150 5.0 $ 117 Additionally, on February 6, 2026, REA Group announced a share repurchase program authorizing REA Group to purchase up to A$200 million of its outstanding fully paid ordinary shares listed on the ASX (ASX: REA) which was completed during the fiscal year ended June 30, 2026. For the fiscal year ended June 30, 2026, REA Group repurchased A$200 million (approximately $141 million) of its shares. Stockholders Agreement On September 8, 2025, the Company entered into a new stockholders agreement (the “New Stockholders Agreement”) with LGC Holdco, LLC (“LGC Holdco”) and certain Murdoch family trusts (collectively, the “LGC Family Trusts”). In connection with this decision, the stockholders agreement between the Company and the Murdoch Family Trust (See Note 12—Stockholders’ Equity in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2025) was terminated. The New Stockholders Agreement limits the LGC Family Trusts and LGC Holdco from owning, collectively with certain Murdoch family members (the “Murdoch Individuals”), more than 44% of the outstanding voting power of the shares of the Company’s Class B Common Stock (“Class B Shares”) and requires the LGC Family Trusts and LGC Holdco to forfeit votes to the extent necessary to ensure that the Murdoch Individuals, the LGC Family Trusts and LGC Holdco collectively do not exceed 44% of the outstanding voting power of the Class B Shares, except where a Murdoch Individual votes their own shares differently from the others on any matter. In addition, the New Stockholders Agreement provides (a) the Company with a right of first refusal with respect to any underwritten public offering of the Class B Shares held by the LGC Family Trusts or LGC Holdco to anyone other than the Murdoch Individuals and their affiliates, subject to certain exceptions, and (b) the LGC Family Trusts and LGC Holdco with certain customary registration rights. The New Stockholders Agreement will terminate upon the distribution of all or substantially all of the Class B Shares held by the LGC Family Trusts or LGC Holdco. NOTE 13. EQUITY-BASED COMPENSATION Employees, Directors and other service providers of the Company (“participants”) are eligible to participate in the News Corporation 2013 Long-Term Incentive Plan (as amended and restated, the “2013 LTIP”), which provides for equity-based compensation including performance stock units (“PSUs”), restricted stock units (“RSUs”) and other types of awards. The Company has the ability to award up to 50 million shares of Class A Common Stock under the terms of the 2013 LTIP. All shares of Class A Common Stock reserved for cancelled or forfeited equity-based compensation awards under the 2013 LTIP become available for future grants. The following table summarizes the Company’s equity-based compensation expense reported in the Statements of Operations: For the fiscal years ended June 30, 2026 2025 2024 (in millions) Total equity compensation expense $ 77 $ 84 $ 91 As of June 30, 2026, the total compensation cost not yet recognized for all unvested awards held by participants was approximately $63 million and is expected to be recognized over a weighted average period of between one and two years. The total intrinsic value of all outstanding awards was approximately $175 million as of June 30, 2026. 90 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS The tax benefit recognized on PSUs and RSUs for participants that vested during the applicable fiscal year was $14 million, $13 million and $14 million for the fiscal years ended June 30, 2026, 2025 and 2024, respectively. Summary of Incentive Plans The fair value of equity-based compensation granted under the 2013 LTIP is calculated according to the type of award issued. Cash-settled awards are marked-to-market at the end of each reporting period. Performance Stock Units PSU grants entitle the holder to shares of the Company’s Class A Common Stock or the cash equivalent value of such shares based on the achievement of pre-established performance metrics over the applicable performance period. The fair value of PSUs is determined on the date of grant and expensed using a straight-line method over the applicable vesting period. The expense is adjusted to reflect the number of shares expected to vest based on management’s determination of the probable achievement of the pre-established performance metrics, except no adjustments are made for awards settled in Class A Common Stock that contain a market condition (total stockholder return) based on changes in that market condition. The Company records a cumulative adjustment in periods in which its estimate of the number of shares expected to vest changes. Additionally, the Company ultimately adjusts the expense recognized to reflect the actual vested shares following the final determination of the achievement of the performance conditions. Any person who holds PSUs shall have no ownership interest in the shares or cash to which such PSUs relate unless and until the shares or cash are delivered to the holder. Each PSU is entitled to receive dividend equivalents for each regular cash dividend on the Class A Common Stock paid by the Company during the award period, subject to the same terms and conditions as apply to the underlying award. During fiscal 2026, 2025 and 2024, certain participants in the 2013 LTIP received grants of PSUs which have a three-year performance measurement period. The number of shares that will be issued upon vesting of these PSUs can range from 0% to 200% of the target award, subject to three-year performance conditions based on a combination of cumulative business-unit-specific revenue, EBITDA and free cash flow, or the Company’s cumulative earnings per share, cumulative free cash flow and three-year total stockholder return relative to the individual companies that comprise the S&P 1500 Media Index. Vesting of the awards is generally subject to the participants’ continued service with the Company through the applicable vesting date. The following table summarizes information related to grants of PSUs during the fiscal years ended June 30, 2026, 2025 and 2024: For the fiscal years ended June 30, 2026 2025 2024 (in millions) Class A Common Stock-settled PSUs granted 0.4 0.7 0.7 Cash-settled PSUs(a) granted 0.3 0.3 0.5 Total PSUs granted 0.7 1.0 1.2 (a)Granted to executive Directors and to employees in certain foreign locations and settled in cash, assuming performance conditions are met. The following table summarizes information related to vests of PSUs during the fiscal years ended June 30, 2026, 2025 and 2024: For the fiscal years ended June 30, 2026 2025 2024 Shares Settlement Value(a) Shares Settlement Value(a) Shares Settlement Value(a) (in millions) Class A Common Stock-settled PSUs vested 0.5 $ 14 0.5 $ 12 1.3 $ 28 Cash-settled PSUs vested 0.5 15 0.4 13 1.1 24 Total PSUs vested 1.0 $ 29 0.9 $ 25 2.4 $ 52 (a)Settlement value represents cash paid (for cash-settled PSUs) or the fair value of PSU awards at the time of vesting (for stock-settled PSUs) and does not include statutory tax withholdings. 91 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Restricted Stock Units RSU grants entitle the holder to shares of the Company’s Class A Common Stock or the cash equivalent value of such shares. The fair value of RSUs is based upon the fair market value of the shares underlying the awards on the grant date and expensed using a straight-line method over the applicable vesting period. Any person who holds RSUs shall have no ownership interest in the shares or cash to which such RSUs relate unless and until the shares or cash are delivered to the holder. Each RSU is entitled to receive dividend equivalents for each regular cash dividend on the Class A Common Stock paid by the Company during the award period, subject to the same terms and conditions as apply to the underlying award. During fiscal 2026, 2025 and 2024, certain participants in the 2013 LTIP received grants of time-vested RSUs. Vesting of the awards is generally subject to the participants’ continued service with the Company through the applicable vesting date. These RSUs generally have graded vesting, primarily over three years. The following table summarizes information related to grants of RSUs during the fiscal years ended June 30, 2026, 2025 and 2024: For the fiscal years ended June 30, 2026 2025 2024 (in millions) Class A Common Stock-settled RSUs granted 2.1 2.1 2.6 Cash-settled RSUs(a) granted 0.4 0.4 0.5 Total RSUs granted 2.5 2.5 3.1 (a)Granted to executive Directors and to employees in certain foreign locations. The following table summarizes information related to vests of RSUs during the fiscal years ended June 30, 2026, 2025 and 2024: For the fiscal years ended June 30, 2026 2025 2024 Shares Settlement Value(a) Shares Settlement Value(a) Shares Settlement Value(a) (in millions) Class A Common Stock-settled RSUs vested 2.2 $ 62 2.2 $ 59 2.3 $ 50 Cash-settled RSUs vested 0.4 13 0.5 13 0.5 11 Total RSUs vested 2.6 $ 75 2.7 $ 72 2.8 $ 61 (a)Settlement value represents cash paid (for cash-settled RSUs) or the fair value of RSU awards at the time of vesting (for stock-settled RSUs) and does not include statutory tax withholdings. 92 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS The following table summarizes the activity related to the target PSUs and RSUs granted to participants that will be settled in shares of the Company (PSUs and RSUs in thousands): Fiscal 2026 Fiscal 2025 Fiscal 2024 Number of shares Weighted average grant-date fair value Number of shares Weighted average grant-date fair value Number of shares Weighted average grant-date fair value PSUs and RSUs Unvested units at beginning of the year 5,815 $ 23.34 6,256 $ 20.73 6,764 $ 19.40 Granted(a) 2,317 30.97 2,705 27.65 3,885 20.66 Vested (2,574) 21.82 (2,639) 21.26 (3,632) 18.31 Cancelled(b) (417) 27.23 (507) 23.73 (761) 20.12 Unvested units at the end of the year 5,141 $ 26.68 5,815 $ 23.34 6,256 $ 20.73 (a)For fiscal 2026, includes 0.4 million target PSUs and 2.1 million RSUs granted and a payout adjustment of (0.2) million PSUs due to the actual performance level achieved for PSUs granted in fiscal 2023 that vested during fiscal 2026. For fiscal 2025, includes 0.7 million target PSUs and 2.1 million RSUs granted and a payout adjustment of (0.1) million PSUs due to the actual performance level achieved for PSUs granted in fiscal 2022 that vested during fiscal 2025. For fiscal 2024, includes 0.7 million target PSUs and 2.6 million RSUs granted and a payout adjustment of 0.6 million PSUs due to the actual performance level achieved for PSUs granted in fiscal 2021 that vested during fiscal 2024. (b)For fiscal 2026, includes 0.1 million of target PSUs and 0.4 million RSUs cancelled. For fiscal 2025, includes 0.1 million of target PSUs and 0.4 million RSUs cancelled. For fiscal 2024, includes 0.1 million of target PSUs and 0.7 million RSUs cancelled. NOTE 14. EARNINGS (LOSS) PER SHARE The following table sets forth the computation of basic and diluted earnings (loss) per share under ASC 260, Earnings per Share: For the fiscal years ended June 30, 2026 2025 2024 (in millions, except per share amounts) Net income from continuing operations $ 743 $ 648 $ 379 Net income (loss) from discontinued operations, net of tax — 692 (25) Net income 743 1,340 354 Net income attributable to noncontrolling interests from continuing operations (170) (168) (110) Net loss attributable to noncontrolling interests from discontinued operations — 8 22 Net income attributable to News Corporation stockholders $ 573 $ 1,180 $ 266 Weighted-average number of shares of common stock outstanding—basic 556.5 567.7 571.2 Dilutive effect of equity awards 1.9 2.2 2.3 Weighted-average number of shares of common stock outstanding—diluted 558.4 569.9 573.5 Net income (loss) attributable to News Corporation stockholders per share: Basic: Continuing operations $ 1.03 $ 0.85 $ 0.47 Discontinued operations — 1.23 — $ 1.03 $ 2.08 $ 0.47 Diluted: Continuing operations $ 1.03 $ 0.84 $ 0.47 Discontinued operations — 1.23 (0.01) $ 1.03 $ 2.07 $ 0.46 93 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS NOTE 15. RELATED PARTY TRANSACTIONS Related Party Transactions In the ordinary course of business, the Company enters into transactions with related parties to purchase and/or sell advertising and administrative services. The following table sets forth the net revenue (expense) from related parties included in the Statements of Operations: For the fiscal years ended June 30, 2026 2025 2024 (in millions) Related party revenue (expense), net $ (42) $ (53) $ (27) The following table sets forth the amount of receivables due from and payables due to related parties outstanding on the Balance Sheets: As of June 30, 2026 2025 (in millions) Accounts receivable from related parties $ 24 $ 14 Accounts payable to related parties 11 16 In addition, refer to Note 16—Commitments and Contingencies for discussion of the U.K. Newspaper Matters. NOTE 16. COMMITMENTS AND CONTINGENCIES Commitments The Company has commitments under certain firm contractual arrangements to make future payments. These firm commitments secure the current and future rights to various assets and services to be used in the normal course of operations. The following table summarizes the Company’s material firm commitments as of June 30, 2026: As of June 30, 2026 Payments Due by Period Less than 1 year 1-3 years 3-5 years More than 5 years Total (in millions) Purchase obligations(a) $ 358 $ 311 $ 70 $ 77 $ 816 Operating leases(b) 133 186 198 1,017 1,534 Borrowings(c) — 1,031 469 500 2,000 Interest payments on borrowings(d) 82 184 90 26 382 Total commitments and contractual obligations $ 573 $ 1,712 $ 827 $ 1,620 $ 4,732 (a)The Company has commitments under purchase obligations related to technology infrastructure services, marketing agreements, content licensing costs and other legally binding commitments. (b)The Company’s leases include office facilities, warehouse facilities, printing plants and equipment. These leases, which are classified as operating leases, are expected to be paid at certain dates through fiscal 2048. Amounts reflected represent only the Company’s lease obligations for which it has firm commitments. (c)See Note 9—Borrowings. (d)Reflects the Company’s expected future interest payments based on borrowings outstanding and interest rates applicable at June 30, 2026. Such rates are subject to change in future periods. See Note 9—Borrowings. 94 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Contingencies The Company routinely is involved in various legal proceedings, claims and governmental inspections or investigations, including those discussed below. The outcome of these matters and claims is subject to significant uncertainty, and the Company often cannot predict what the eventual outcome of pending matters will be or the timing of the ultimate resolution of these matters. Fees, expenses, fines, penalties, judgments or settlement costs which might be incurred by the Company in connection with the various proceedings could adversely affect its results of operations and financial condition. The Company establishes an accrued liability for legal claims when it determines that a loss is probable and the amount of the loss can be reasonably estimated. Once established, accruals are adjusted from time to time, as appropriate, in light of additional information. The amount of any loss ultimately incurred in relation to matters for which an accrual has been established may be higher or lower than the amounts accrued for such matters. Legal fees associated with litigation and similar proceedings are expensed as incurred. Except as otherwise provided below, for the contingencies disclosed for which there is at least a reasonable possibility that a loss may be incurred, the Company was unable to estimate the amount of loss or range of loss. The Company recognizes gain contingencies when the gain becomes realized or realizable. Dow Jones Beginning in August 2024, a number of purported class action complaints have been filed in the U.S. District Court for the Northern District of Illinois against certain pipe converters, distributors and the Company’s subsidiary, Oil Price Information Service, LLC (“OPIS”), alleging violations of federal and state antitrust laws. The complaints seek treble damages, injunctive relief and attorneys’ fees and costs. In May 2025, the Company entered into a settlement which would resolve the complaints. The settlement received preliminary court approval in July 2025 but remains subject to final approval. In September 2025, a similar purported class action was filed in the Supreme Court of British Columbia alleging violations of certain provisions of Canadian law and claiming damages and costs among other relief. The Company is currently evaluating this action, and it is not possible at this time to predict with any degree of certainty the ultimate outcome. In addition, (i) in January 2025, OPIS received a grand jury subpoena issued by the U.S. District Court for the Northern District of California, from the U.S. Department of Justice Antitrust Division, and (ii) in April 2025, OPIS received a civil investigative demand (“CID”) from a state attorney general. Both the subpoena and the CID call for production of documents related to PVC pipe, including documents relating to the publication of the PVC and Pipe Weekly Report. OPIS is complying with its obligations under the subpoena and CID. HarperCollins Beginning in February 2021, a number of purported class action complaints have been filed in the U.S. District Court for the Southern District of New York (the “N.Y. District Court”) against Amazon.com, Inc. (“Amazon”) and certain publishers, including the Company’s subsidiary, HarperCollins Publishers, L.L.C. (“HarperCollins” and together with the other publishers, the “Publishers”), alleging violations of antitrust and competition laws. The complaints seek treble damages, injunctive relief and attorneys’ fees and costs. In August 2023, the N.Y. District Court dismissed the complaints in one of the cases with prejudice and in March 2024, the court dismissed the complaint against the Publishers in the remaining case with prejudice. However, the plaintiffs’ time to appeal the N.Y. District Court’s decision to dismiss in the latter case does not expire until the complaint against Amazon in that case has been finally determined. While it is not possible at this time to predict with any degree of certainty the ultimate outcome of these actions, HarperCollins believes it has been compliant with applicable laws and intends to defend itself vigorously. In July 2026, a class action settlement with Anthropic PBC, covering HarperCollins as a class member, received final court approval. As the timing and amount of any potential proceeds receivable under the settlement remain subject to the claims process, the Company has not yet recognized any gain related to this matter. 95 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS U.K. Newspaper Matters Civil claims have been brought against the Company with respect to, among other things, voicemail interception and inappropriate payments to public officials at the Company’s former publication, The News of the World, and at The Sun, and related matters (the “U.K. Newspaper Matters”). The Company has admitted liability in many civil cases and has settled a number of cases and claims. In connection with the Separation, the Company and 21st Century Fox agreed in the Separation and Distribution Agreement (the “SDA”) that 21st Century Fox would indemnify the Company on an after-tax basis for payments made after June 28, 2013 arising out of civil claims and investigations relating to the U.K. Newspaper Matters as well as related legal and professional fees and expenses, other than in the limited circumstances set forth in the SDA. These indemnification obligations were subsequently assigned, conveyed and transferred to FOX Corporation (“FOX”) as part of its separation from 21st Century Fox. The net expense related to the U.K. Newspaper Matters in Selling, general and administrative was $1 million, $9 million and $8 million for the fiscal years ended June 30, 2026, June 30, 2025 and June 30, 2024, respectively. As of June 30, 2026, the Company has provided for its best estimate of the costs incurred and liability for the claims that have been filed and has accrued approximately $8 million. The amount to be indemnified by FOX of approximately $17 million was recorded as a receivable in Other current assets on the Balance Sheet as of June 30, 2026. The Company is not able to predict the ultimate outcome or cost of the civil claims, and it is possible that these proceedings and any adverse resolution thereof could negatively impact its results of operations and financial condition. NOTE 17. RETIREMENT BENEFIT OBLIGATIONS The Company’s employees participate in various defined benefit pension and postretirement plans sponsored by the Company and its subsidiaries. Plans in the U.S., U.K., Australia, and other foreign plans are accounted for as defined benefit pension plans. Accordingly, the funded and unfunded position of each plan is recorded in the Balance Sheets. Actuarial gains and losses that have not yet been recognized through net income are recorded in Accumulated other comprehensive loss, net of taxes, until they are amortized as a component of net periodic benefit cost. The determination of benefit obligations and the recognition of expenses related to the plans are dependent on various assumptions. The major assumptions primarily relate to discount rates, expected long-term rates of return on plan assets and mortality rates. Management develops each assumption using relevant company experience in conjunction with market-related data for each individual country in which such plans exist. The funded status of the plans can change from year to year, but the assets of the funded plans have been sufficient to pay all benefits that came due in each of fiscal 2026, 2025 and 2024. Summary of Funded Status The Company uses a June 30 measurement date for all pension and postretirement benefit plans. The combined domestic and foreign pension and postretirement benefit plans resulted in a net pension and postretirement benefits asset (liability) of $62 million and $38 million at June 30, 2026 and 2025, respectively. The Company recognized these amounts in the Balance Sheets at June 30, 2026 and 2025 as follows: Pension Benefits Domestic Foreign Postretirement benefits Total 2026 2025 2026 2025 2026 2025 2026 2025 (in millions) Other non-current assets $ 3 $ — $ 166 $ 165 $ — $ — $ 169 $ 165 Other current liabilities (1) — (3) (3) (6) (7) (10) (10) Retirement benefit obligations (6) (19) (47) (50) (44) (48) (97) (117) Net asset (liability) recognized $ (4) $ (19) $ 116 $ 112 $ (50) $ (55) $ 62 $ 38 96 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS The following table sets forth the change in the projected benefit obligation, change in the fair value of the Company’s plan assets and funded status: Pension Benefits Domestic Foreign Postretirement Benefits Total As of June 30, 2026 2025 2026 2025 2026 2025 2026 2025 (in millions) Projected benefit obligation, beginning of the year $ 220 $ 228 $ 598 $ 590 $ 55 $ 56 $ 873 $ 874 Service cost — — 1 1 — — 1 1 Interest cost 10 12 29 29 2 3 41 44 Benefits paid (22) (26) (42) (40) (5) (7) (69) (73) Settlements(a) — — (3) (6) — — (3) (6) Actuarial (gain) loss — 6 (10) (20) (2) 2 (12) (12) Foreign exchange rate changes — — (20) 44 — 1 (20) 45 Projected benefit obligation, end of the year 208 220 553 598 50 55 811 873 Change in the fair value of plan assets for the Company’s benefit plans: Fair value of plan assets, beginning of the year 201 200 710 686 — — 911 886 Actual return on plan assets 15 10 24 14 — — 39 24 Employer contributions 10 17 4 3 — — 14 20 Benefits paid (22) (26) (42) (40) — — (64) (66) Settlements(a) — — (3) (6) — — (3) (6) Foreign exchange rate changes — — (24) 53 — — (24) 53 Fair value of plan assets, end of the year 204 201 669 710 — — 873 911 Funded status $ (4) $ (19) $ 116 $ 112 $ (50) $ (55) $ 62 $ 38 (a)Amounts related to payments made to former employees of the Company in full settlement of their pension benefits. Amounts recognized in Accumulated other comprehensive loss consist of: Pension Benefits Domestic Foreign Postretirement Benefits Total As of June 30, 2026 2025 2026 2025 2026 2025 2026 2025 (in millions) Actuarial losses (gains) $ 109 $ 118 $ 314 $ 331 $ (8) $ (6) $ 415 $ 443 Prior service cost (benefit) — — 6 7 (15) (20) (9) (13) Net amounts recognized $ 109 $ 118 $ 320 $ 338 $ (23) $ (26) $ 406 $ 430 Accumulated pension benefit obligations as of June 30, 2026 and 2025 were $759 million and $818 million, respectively. 97 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Below is information about funded and unfunded pension plans: Domestic Pension Benefits Funded Plans Unfunded Plans Total As of June 30, 2026 2025 2026 2025 2026 2025 (in millions) Projected benefit obligation $ 201 $ 213 $ 7 $ 7 $ 208 $ 220 Accumulated benefit obligation 201 213 7 7 208 220 Fair value of plan assets 204 201 — — 204 201 Foreign Pension Benefits Funded Plans Unfunded Plans Total As of June 30, 2026 2025 2026 2025 2026 2025 (in millions) Projected benefit obligation $ 503 $ 545 $ 50 $ 53 $ 553 $ 598 Accumulated benefit obligation 501 545 50 53 551 598 Fair value of plan assets 669 710 — — 669 710 The accumulated benefit obligations exceeds the fair value of plan assets for all unfunded pension plans. Summary of Net Periodic Benefit Costs The Company recorded $3 million, $10 million and $28 million in net periodic benefit costs in the Statements of Operations for the fiscal years ended June 30, 2026, 2025 and 2024, respectively. The Company utilizes the full yield-curve approach to estimate the service and interest cost components of net periodic benefit costs for its pension and other postretirement benefit plans. The amortization of amounts related to unrecognized prior service costs (credits), deferred losses and settlements, curtailments and other were reclassified out of Other comprehensive income as a component of net periodic benefit costs. The components of net periodic benefit costs were as follows: Pension Benefits Domestic Foreign Postretirement Benefits Total For the fiscal years ended June 30, 2026 2025 2024 2026 2025 2024 2026 2025 2024 2026 2025 2024 (in millions) Service cost benefits earned during the period $ — $ — $ — $ 1 $ 1 $ 1 $ — $ — $ — $ 1 $ 1 $ 1 Interest costs on projected benefit obligations 10 12 13 29 29 33 2 3 3 41 44 49 Expected return on plan assets (11) (11) (12) (44) (40) (37) — — — (55) (51) (49) Amortization of deferred losses 5 5 5 15 15 15 — — — 20 20 20 Amortization of prior service credits — — — — — — (4) (4) (4) (4) (4) (4) Settlements, curtailments and other — — — — — 11 — — — — — 11 Net periodic benefit costs (income) – Total $ 4 $ 6 $ 6 $ 1 $ 5 $ 23 $ (2) $ (1) $ (1) $ 3 $ 10 $ 28 98 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Pension Benefits Domestic Foreign Postretirement Benefits For the fiscal years ended June 30, 2026 2025 2024 2026 2025 2024 2026 2025 2024 Additional information Weighted-average assumptions used to determine benefit obligations Discount rate 5.6% 5.5% 5.6% 5.8% 5.5% 5.2% 5.4% 5.3% 5.5% Rate of increase in future compensation N/A N/A N/A 2.6% 2.6% 2.9% N/A N/A N/A Weighted-average assumptions used to determine net periodic benefit cost Discount rate for PBO 5.5% 5.6% 5.4% 5.5% 5.2% 5.4% 5.3% 5.5% 5.5% Discount rate for service cost N/A N/A N/A 4.6% 5.3% 5.4% N/A 5.6% 5.5% Discount rate for interest on PBO 5.0% 5.5% 5.5% 5.1% 5.1% 5.7% 4.9% 5.4% 5.6% Expected return on plan assets 6.0% 5.8% 6.0% 6.5% 5.9% 5.4% N/A N/A N/A Rate of increase in future compensation N/A N/A N/A 2.6% 2.9% 3.9% N/A N/A N/A The following assumed health care cost trend rates as of June 30 were also used in accounting for postretirement benefits: Postretirement benefits 2026 2025 Health care cost trend rate 8.0 % 6.6 % Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) 5.0 % 5.4 % Year that the rate reaches the ultimate trend rate 2041 2031 The following table sets forth the estimated benefit payments for the next five fiscal years, and in aggregate for the five fiscal years thereafter. The expected benefits are estimated based on the same assumptions used to measure the Company’s benefit obligation at the end of the fiscal year and include benefits attributable to estimated future employee service: Expected Benefit Payments Pension Benefits Postretirement Benefits Total Domestic Foreign (in millions) Fiscal Year 2027 $ 20 $ 48 $ 6 $ 74 2028 19 46 6 71 2029 19 45 5 69 2030 18 45 5 68 2031 17 46 5 68 2032 to 2036 80 216 19 315 Plan Assets The Company applies the provisions of ASC 715, which requires disclosures including: (i) investment policies and strategies; (ii) the major categories of plan assets; (iii) the inputs and valuation techniques used to measure plan assets; (iv) the effect of fair value measurements using significant unobservable inputs on changes in plan assets for the period; and (v) significant concentrations of risk within plan assets. The table below presents the Company’s plan assets by level within the fair value hierarchy, as described in Note 2—Summary of Significant Accounting Policies, as of June 30, 2026 and 2025: 99 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 2026 2025 Fair Value Measurements at Reporting Date Using TotalFairValue Fair Value Measurements at Reporting Date Using TotalFairValue Level 1 Level 2 Level 3 NAV Level 1 Level 2 Level 3 NAV (in millions) Assets Pooled funds:(a) Domestic equity funds $ — $ — $ — $ 26 $ 26 $ — $ — $ — $ 35 $ 35 International equity funds — — — 16 16 — 19 — 20 39 Domestic fixed income funds — — — 132 132 — — — 111 111 International fixed income funds — 513 — 94 607 — 533 — 119 652 Balanced funds — 29 — — 29 — 28 — — 28 Other 11 28 6 18 63 16 5 6 19 46 Total $ 11 $ 570 $ 6 $ 286 $ 873 $ 16 $ 585 $ 6 $ 304 $ 911 (a)Open-ended pooled funds that are registered and/or available to the general public are valued at the daily published net asset value (“NAV”). Other pooled funds are valued at the NAV provided by the fund issuer. The Company’s investment strategy for its pension plans is to maximize the long-term rate of return on plan assets within an acceptable level of risk in order to minimize the cost of providing pension benefits while maintaining adequate funding levels. The Company’s practice is to conduct a periodic strategic review of its asset allocation. The Company’s current broad strategic targets are to have a pension asset portfolio comprised of 5% equity securities, 87% fixed income securities and 8% in cash and other investments. In developing the expected long-term rate of return, the Company considered the pension asset portfolio’s past average rate of returns and future return expectations of the various asset classes. A portion of the other allocation is reserved in cash to provide for expected benefits to be paid in the short term. The Company’s equity portfolios are managed in such a way as to target optimal diversity. The Company’s fixed income portfolio is investment grade in the aggregate. The Company does not manage any assets internally. The Company’s benefit plan weighted-average asset allocations, by asset category, are as follows: Pension Assets As of June 30, 2026 2025 Asset Category Equity securities 6 % 10 % Debt securities 89 % 84 % Cash and other 5 % 6 % Total 100 % 100 % Required pension plan contributions for the next fiscal year are expected to be approximately $1 million; however, actual contributions may be affected by pension asset and liability valuation changes during the year. The Company will continue to make voluntary contributions as necessary to improve funded status. NOTE 18. OTHER POSTRETIREMENT BENEFITS Defined Contribution Plans The Company has defined contribution plans for the benefit of substantially all employees meeting certain eligibility requirements. Employer contributions to such plans were $146 million, $136 million and $134 million for the fiscal years ended June 30, 2026, 2025 and 2024, respectively. 100 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Deferred Compensation Plan The Company has non-qualified deferred compensation plans for the benefit of certain management employees. The investment funds offered to the participants generally correspond to the funds offered in the Company’s 401(k) plan, and the account balance fluctuates with the investment returns on those funds. The unfunded obligations of the plans included in Other liabilities as of June 30, 2026 and 2025 were $62 million and $57 million, respectively, and the majority of these plans are closed to new employees. NOTE 19. INCOME TAXES Income taxes are recognized for the amount of taxes payable for the current year and for the impact of deferred tax assets and liabilities, which represent future tax consequences of events that have been recognized differently in the financial statements than for tax purposes. Deferred tax assets and liabilities are established using the enacted statutory tax rates and are adjusted for any changes in such rates in the period of change. Income before income tax expense from continuing operations was attributable to the following jurisdictions: For the fiscal years ended June 30, 2026 2025 2024 (in millions) U.S. $ 350 $ 213 $ 148 Foreign 696 710 437 Income before income tax expense from continuing operations $ 1,046 $ 923 $ 585 The significant components of the Company’s income tax expense were as follows: For the fiscal years ended June 30, 2026 2025 2024 (in millions) Current U.S. Federal $ 4 $ — $ 1 State & Local 12 12 10 Foreign 246 180 165 Total current tax 262 192 176 Deferred U.S. Federal 26 29 22 State & Local 7 9 3 Foreign 8 45 5 Total deferred tax 41 83 30 Total income tax expense $ 303 $ 275 $ 206 101 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS The reconciliation between the Company’s actual effective tax rate and the statutory U.S. Federal income tax rate for the fiscal year ended June 30, 2026 was as follows: For the fiscal year ended June 30, 2026 (in millions, except %) U.S. federal statutory tax rate $ 220 21.0 % State and local income taxes, net of federal income tax effect(a) 18 1.7 Foreign tax effects(b) Australia Statutory rate differential 58 5.5 Other 1 0.1 U.K. 15 1.4 Other foreign jurisdictions 23 2.2 Tax credits: U.S. foreign tax credits (18) (1.8) U.S. research and development tax credits (9) (0.8) Nontaxable or nondeductible items 12 1.2 Changes in unrecognized tax benefits (19) (1.8) Other adjustments 2 0.2 Effective tax rate $ 303 28.9 % (a)State taxes in New York, Illinois, New York City, Massachusetts, New Jersey and Texas make up the majority (greater than 50 percent) of the tax effects in this category. (b)The Company’s effective tax rate is impacted by the geographic mix of its income. The Company’s foreign operations are located primarily in Australia and the U.K., which have higher statutory income tax rates than the U.S. The reconciliation between the Company’s actual effective tax rate and the statutory U.S. Federal income tax rate for the fiscal years ended June 30, 2025 and 2024 was as follows: For the fiscal years ended June 30, 2025 2024 U.S. federal income tax rate 21 % 21 % State and local taxes, net 2 2 Effect of foreign operations (a) 10 12 Non-deductible goodwill and asset impairments — 1 Non-deductible compensation and benefits 1 2 R&D tax credits (1) (3) Impact of dispositions (3) — Effective tax rate 30 % 35 % (a)The Company’s effective tax rate is impacted by the geographic mix of its income. The Company’s foreign operations are located primarily in Australia and the U.K., which have a higher statutory income tax rate than the U.S. The Company recognized deferred income taxes in the Balance Sheets as follows: As of June 30, 2026 2025 (in millions) Deferred income tax assets $ 251 $ 254 Deferred income tax liabilities (108) (57) Net deferred tax assets $ 143 $ 197 102 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS The significant components of the Company’s deferred tax assets and liabilities were as follows: As of June 30, 2026 2025 (in millions) Deferred tax assets Accrued liabilities $ 136 $ 137 Capital loss carryforwards 1,787 1,723 Net operating loss carryforwards 213 222 Business tax credits 124 122 Operating lease liabilities 237 244 Other 239 217 Total deferred tax assets 2,736 2,665 Deferred tax liabilities Asset basis difference and amortization (230) (135) Operating lease right-of-use asset (217) (224) Other (25) (21) Total deferred tax liabilities (472) (380) Net deferred tax asset before valuation allowance 2,264 2,285 Less: valuation allowance (See Note 22—Valuation and Qualifying Accounts) (2,121) (2,088) Net deferred tax assets $ 143 $ 197 Significant judgment is applied in determining the ability to realize the Company’s deferred tax assets. Management assesses available positive and negative evidence, including historical results and future income forecasts, to determine whether deferred tax assets will be realized. Based on its assessment, management has concluded that it is more likely than not that certain deferred tax assets may not be realized and therefore, a valuation allowance has been established against those tax assets. Certain of the Company’s businesses may incur losses in the future resulting in additional valuation allowances being recorded. As of June 30, 2026, the Company had income tax net operating loss (“NOL”) carryforwards (gross, net of uncertain tax benefits) in various jurisdictions as follows: Jurisdiction Expiration Amount (in millions) U.S. Federal 2034 $ 34 U.S. States Various 467 Australia Indefinite 175 U.K. Indefinite 15 Other Foreign Various 566 Utilization of the NOLs is dependent on generating sufficient taxable income from the Company’s operations in each of the respective jurisdictions to which the NOLs relate, while taking into account tax filing groups and limitations and/or restrictions on its ability to use them. Certain of the Company’s U.S. federal NOLs were acquired as part of the acquisition of Move and are subject to limitations as promulgated under Section 382 of the Internal Revenue Code of 1986, as amended (the “Code”). Section 382 of the Code limits the amount of NOLs that the Company can use on an annual basis to offset consolidated U.S. taxable income. The NOLs are also subject to review by relevant tax authorities in the jurisdictions to which they relate. The Company recorded a deferred tax asset of $213 million and $222 million associated with its NOLs (net of approximately $63 million and $77 million, respectively, of uncertain tax benefits recorded against deferred tax assets) as of June 30, 2026 and 2025, respectively. Valuation allowances of $126 million and $136 million have been established to reduce the deferred tax asset associated with the Company’s NOLs to an amount that will more likely than not be realized as of June 30, 2026 and 2025, respectively. 103 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of June 30, 2026, the Company had approximately $3.7 billion, $1.6 billion and $1.1 billion of capital loss carryforwards in Australia, the U.K. and the U.S., respectively. The Australia and U.K. capital losses may be carried forward indefinitely. The U.S. capital loss expires in the fiscal year ending June 30, 2030. The capital loss carryforwards are also subject to review by relevant tax authorities in the jurisdictions to which they relate. Realization of the Company’s capital losses is dependent on generating capital gain taxable income and satisfying certain continuity of ownership and/or business requirements. The Company recorded a deferred tax asset of $1.8 billion and $1.7 billion as of June 30, 2026 and 2025, respectively, for these capital loss carryforwards. It is more likely than not that the Company will not generate capital gain income in the normal course of business in these jurisdictions, and accordingly, valuation allowances of $1.8 billion and $1.7 billion have been established to reduce the capital loss carryforward deferred tax asset to an amount that will more likely than not be realized as of June 30, 2026 and 2025, respectively. As of June 30, 2026, the Company had approximately $108 million of U.S. federal tax credit carryforwards which includes $31 million of foreign tax credits and $77 million of general business credits, which begin to expire in 2032 and 2037, respectively. As of June 30, 2026, the Company had approximately $8 million of non-U.S. tax credit carryforwards which expire in various amounts beginning in 2027 and $8 million of state tax credit carryforwards (net of U.S. federal benefit), which expire in various amounts beginning in 2026. A valuation allowance of $31 million has been established to reduce the deferred tax asset associated with the Company’s U.S. federal tax credits, non-U.S. tax credits and state tax credit carryforwards to an amount that will more likely than not be realized as of June 30, 2026. Uncertain Tax Positions The following table sets forth the change in the Company’s unrecognized tax benefits, excluding interest and penalties: For the fiscal years ended June 30, 2026 2025 2024 (in millions) Balance, beginning of period $ 103 $ 100 $ 105 Additions for prior year tax positions — 2 — Additions for current year tax positions 3 2 2 Reduction for prior year tax positions (22) (4) (3) Reduction for current year tax positions (1) (1) — Lapse of the statute of limitations (8) (3) (3) Impact of currency translations (2) 7 (1) Balance, end of period $ 73 $ 103 $ 100 The Company recognizes interest and penalty charges related to unrecognized tax benefits as income tax expense (benefit), which is consistent with the recognition in prior reporting periods. For the fiscal year ended June 30, 2026, the Company recognized a net benefit related to interest and penalties of $5 million, primarily reflecting write-downs of previously accrued interest and the effect of settlements of certain uncertain tax positions during the period, and an expense related to interest and penalties of $3 million and $1 million for the fiscal years ended June 30, 2025 and 2024, respectively. The Company recorded liabilities for accrued interest and penalties of approximately $4 million, $10 million and $7 million as of June 30, 2026, 2025 and 2024, respectively. 104 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS The Company’s tax returns are subject to on-going review and examination by various tax authorities. Tax authorities may not agree with the treatment of items reported in the Company’s tax returns, and therefore the outcome of tax reviews and examinations can be unpredictable. The Company is currently undergoing audits with the U.S. Internal Revenue Service for the year ended June 30, 2024 as well as certain U.S. states and foreign jurisdictions for various years. The Company believes it has appropriately accrued for the expected outcome of uncertain tax matters and believes such liabilities represent a reasonable provision for taxes ultimately expected to be paid. However, the Company may need to accrue additional income tax expense and its liability may need to be adjusted as new information becomes known and as these tax examinations continue to progress, or as settlements or litigations occur. The following is a summary of major tax jurisdictions for which tax authorities may assert additional taxes based upon tax years currently under audit and subsequent years that could be audited by the respective taxing authorities. Jurisdiction Fiscal Years Open to Examination U.S. Federal 2023-2025 U.S. States Various Australia 2021-2025 U.K. 2000, 2003, 2005 and 2012-2025 It is reasonably possible that uncertain tax positions may increase or decrease in the next fiscal year, however, actual developments in this area could differ from those currently expected. As of June 30, 2026, approximately $13 million would affect the Company’s effective income tax rate, if and when recognized in future fiscal years. Other On July 4, 2025, H.R. 1 - One Big Beautiful Bill Act (“OBBBA”) was enacted into law. The OBBBA makes permanent key elements of the Tax Cuts and Jobs Act (“Tax Act”), including 100% bonus depreciation, domestic research cost expensing, and the business interest expense limitation. Certain provisions of OBBBA are effective for fiscal 2026, while others will take effect beginning in fiscal 2027. ASC 740 requires the effects of changes in tax rates and laws on deferred tax balances to be recognized in the period in which the legislation is enacted. The OBBBA maintains the U.S. Federal income tax rate of 21%. The Company does not expect OBBBA to materially impact its effective tax rate, however the Company continues to assess the impact of OBBBA including future expected guidance from the U.S. Treasury Department and States. The Organization for Economic Cooperation and Development (“OECD”) has proposed a global minimum tax of 15% of reported profits (“Pillar 2”) that has been agreed upon in principle by over 140 countries. Following an executive order issued by the United States in January 2025 announcing opposition to aspects of these rules, the G7 issued a statement on June 28, 2025 acknowledging that U.S. parented groups would be exempt from certain aspects of Pillar 2 in recognition of existing U.S. minimum tax rules to which they are subject. On January 5, 2026, the OECD announced a political and technical agreement by the Inclusive Framework on a comprehensive package for a “side-by-side arrangement” (the “Package”). The Package, in the form of administrative guidance, includes a new Simplified Effective Tax Rate Safe Harbour, a one-year extension of the Transitional Country-by-Country Reporting Safe Harbour, a new Substance-based Tax Incentive Safe Harbour and two Safe Harbours related to a Side-by-Side System. This administrative guidance will be incorporated into the Commentary to the Global Anti-Base Erosion Model Rules. The Company does not expect the Package to materially impact its effective tax rate, however the Company continues to assess the impact of the Package, including future expected guidance from the OECD. Prior to the enactment of the Tax Cuts and Jobs Act (“Tax Act”), the Company’s undistributed foreign earnings were considered permanently reinvested and as such, United States federal and state income taxes were not previously recorded on these earnings. As a result of the Tax Act, substantially all of the Company’s earnings in foreign subsidiaries generated prior to the enactment of the Tax Act were deemed to have been repatriated and taxed accordingly. As of June 30, 2026, the Company has approximately $1.2 billion of undistributed foreign earnings generated after the Tax Act that it intends to reinvest permanently. It is not practicable to estimate the amount of tax that might be payable if these earnings were repatriated. The Company may repatriate future earnings of certain foreign subsidiaries in which case the Company may be required to accrue and pay additional taxes, including any applicable foreign withholding taxes and income taxes. 105 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS The following table sets forth the significant components of the Company’s cash paid for taxes, net of refunds received for the fiscal year ended June 30, 2026: For the fiscal year ended June 30, 2026 (in millions) U.S. Federal $ 1 U.S. States 15 Foreign: Australia 185 U.K. 54 Other 17 Total Foreign 256 Total net cash paid for taxes(a) $ 272 (a)Includes income tax refunds received of $2 million for the fiscal year ended June 30, 2026. During the fiscal years ended June 30, 2025 and 2024, the Company paid gross income taxes of $208 million and $156 million, respectively, and received income tax refunds of $4 million and $17 million, respectively. NOTE 20. SEGMENT INFORMATION The Company manages and reports its businesses in the following five segments: •Dow Jones—The Dow Jones segment consists of Dow Jones, a global provider of news, data and business information whose products target individual consumers and enterprise customers and are distributed through a variety of media channels including websites, mobile apps, newspapers, newswires, newsletters, magazines, proprietary databases, live journalism, video and podcasts. Dow Jones’s news products include premier brands such as The Wall Street Journal, Barron’s, MarketWatch and Investor’s Business Daily. Dow Jones’s professional information products, which target enterprise customers, include Dow Jones Risk & Compliance, a leading provider of data and other solutions to help customers identify and manage regulatory, corporate, geopolitical, security and reputational risk with tools focused on financial crime, sanctions, trade and other risks and compliance requirements, Dow Jones Energy, a leading provider of pricing data, news, insights, analysis and other information for energy commodities and key base chemicals, Factiva, a leading provider of global business content, and Dow Jones Newswires, which distributes real-time business news, information and analysis to financial professionals and investors. •Digital Real Estate Services—The Digital Real Estate Services segment consists of the Company’s 62.0% interest in REA Group and 80% interest in Move. The remaining 20% interest in Move is held by REA Group. REA Group is a market-leading digital media business specializing in property and is listed on the Australian Securities Exchange (“ASX”) (ASX: REA). REA Group advertises property and property-related services on its websites and mobile apps, including Australia’s leading residential, commercial and share property websites, realestate.com.au, realcommercial.com.au and Flatmates.com.au, and property portals in India. In addition, REA Group provides financial services through a digital property search and financing experience, a mortgage broking offering and property-related data services to the financial sector. Move is a leading provider of digital real estate services in the U.S. and primarily operates Realtor.com®, a premier real estate information, advertising and services platform. Move offers real estate advertising solutions to agents and brokers, including its RealPRO SelectSM, ConnectionsSM Plus and Listing Toolkit products as well as its referral-based services, including RealChoiceTM Selling. Move also offers Realtor.com®+TM, its collaborative home search platform that helps real estate professionals and consumers connect, as well as online tools and services to do-it-yourself landlords and tenants. 106 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS •Book Publishing—The Book Publishing segment consists of HarperCollins, the second largest consumer book publisher in the world, with operations in 15 countries and particular strengths in general fiction, nonfiction, children’s and religious publishing. HarperCollins owns more than 120 branded publishing imprints, including Harper, William Morrow, Mariner, HarperCollins Children’s Books, Avon, Harlequin and Christian publishers Zondervan and Thomas Nelson, and publishes works by well-known authors such as Harper Lee, George Orwell, Agatha Christie and Zora Neale Hurston, as well as global author brands including J.R.R. Tolkien, C.S. Lewis, Daniel Silva, Karin Slaughter and Dr. Martin Luther King, Jr. It is home to many beloved children’s books and series and a significant Christian publishing business. •News Media—The News Media segment consists primarily of News Corp Australia, News UK and the New York Post and includes The Australian, The Daily Telegraph, Herald Sun, The Courier Mail, The Advertiser and the news.com.au website in Australia, The Times, The Sunday Times, The Sun, The Sun on Sunday and thesun.co.uk in the U.K. and the-sun.com in the U.S. This segment also includes News Broadcasting (formerly Wireless Group), operator of talkSPORT, the leading sports radio network in the U.K., and Australian News Channel, which operates the News24 network (formerly Sky News Australia), Australia’s 24-hour multi-channel, multi-platform news service. •Other—The Other segment consists primarily of general corporate overhead expenses, strategy costs and costs related to the U.K. Newspaper Matters. The Company’s chief operating decision maker (“CODM”) is its Chief Executive Officer. Segment EBITDA is the primary measure used by the Company’s CODM to evaluate the performance of, and allocate resources within, the Company’s businesses. The CODM uses Segment EBITDA to compare actual results to budget and uses this information to, among other things, allocate resources such as incentive compensation to segment managers. Segment EBITDA is defined as revenues less operating expenses and selling, general and administrative expenses. Segment EBITDA does not include: depreciation and amortization, impairment and restructuring charges, equity losses of affiliates, interest (expense) income, net, other, net, income tax (expense) benefit and net income (loss) from discontinued operations, net of tax. Segment EBITDA may not be comparable to similarly titled measures reported by other companies, since companies and investors may differ as to what items should be included in the calculation of Segment EBITDA. Segment EBITDA provides management, investors and equity analysts with a measure to analyze the operating performance of each of the Company’s business segments and its enterprise value against historical data and competitors’ data, although historical results may not be indicative of future results (as operating performance is highly contingent on many factors, including customer tastes and preferences). 107 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Segment information is summarized as follows: For the fiscal year ended June 30, 2026 Dow Jones Digital Real Estate Services Book Publishing News Media Other Total (in millions) Segment information: Revenues $ 2,497 $ 2,016 $ 2,288 $ 2,227 $ — $ 9,028 Significant segment expenses: Operating expenses (965) (196) (1,550) (1,181) — (3,892) Selling, general and administrative (869) (1,079) (451) (907) (203) (3,509) Segment EBITDA $ 663 $ 741 $ 287 $ 139 $ (203) $ 1,627 Depreciation and amortization (485) Impairment and restructuring charges (113) Equity losses of affiliates (8) Interest income, net 29 Other, net (4) Income before income tax expense from continuing operations 1,046 Income tax expense from continuing operations (303) Net income from continuing operations 743 Net income from discontinued operations, net of tax — Net income $ 743 For the fiscal year ended June 30, 2025 Dow Jones Digital Real Estate Services Book Publishing News Media Other Total (in millions) Segment information: Revenues $ 2,331 $ 1,802 $ 2,149 $ 2,170 $ — $ 8,452 Significant segment expenses: Operating expenses (958) (186) (1,450) (1,142) — (3,736) Selling, general and administrative (785) (1,015) (403) (875) (223) (3,301) Segment EBITDA $ 588 $ 601 $ 296 $ 153 $ (223) $ 1,415 Depreciation and amortization (459) Impairment and restructuring charges (132) Equity losses of affiliates (15) Interest income, net 3 Other, net 111 Income before income tax expense from continuing operations 923 Income tax expense from continuing operations (275) Net income from continuing operations 648 Net income from discontinued operations, net of tax 692 Net income $ 1,340 108 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the fiscal year ended June 30, 2024 Dow Jones Digital Real Estate Services Book Publishing News Media Other Total (in millions) Segment information: Revenues $ 2,231 $ 1,658 $ 2,093 $ 2,270 $ — $ 8,252 Significant segment expenses: Operating expenses (919) (190) (1,441) (1,264) — (3,814) Selling, general and administrative (770) (960) (383) (873) (211) (3,197) Segment EBITDA $ 542 $ 508 $ 269 $ 133 $ (211) $ 1,241 Depreciation and amortization (440) Impairment and restructuring charges (133) Equity losses of affiliates (6) Interest expense, net (18) Other, net (59) Income before income tax expense from continuing operations 585 Income tax expense from continuing operations (206) Net income from continuing operations 379 Net loss from discontinued operations, net of tax (25) Net income $ 354 For the fiscal years ended June 30, 2026 2025 2024 (in millions) Depreciation and amortization: Dow Jones $ 164 $ 156 $ 153 Digital Real Estate Services 155 146 137 Book Publishing 60 54 54 News Media 101 99 91 Other 5 4 5 Total Depreciation and amortization $ 485 $ 459 $ 440 For the fiscal years ended June 30, 2026 2025 2024 (in millions) Capital expenditures: Dow Jones $ 105 $ 130 $ 100 Digital Real Estate Services 160 154 131 Book Publishing 31 17 32 News Media 117 103 93 Other 13 3 1 Total Capital expenditures $ 426 $ 407 $ 357 109 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of June 30, 2026 2025 (in millions) Total assets: Dow Jones $ 4,159 $ 4,134 Digital Real Estate Services 3,515 3,202 Book Publishing 2,743 2,767 News Media 2,044 2,102 Other(a) 2,081 2,283 Investments 1,002 1,016 Total assets $ 15,544 $ 15,504 (a)The Other segment primarily includes Cash and cash equivalents. As of June 30, 2026 2025 (in millions) Goodwill and intangible assets, net: Dow Jones $ 3,244 $ 3,256 Digital Real Estate Services 1,931 1,798 Book Publishing 907 941 News Media 297 308 Other — — Total Goodwill and intangible assets, net $ 6,379 $ 6,303 Geographic Segments For the fiscal years ended June 30, 2026 2025 2024 (in millions) Revenues:(a) U.S. and Canada(b) $ 4,368 $ 4,121 $ 4,004 Europe(c) 1,830 1,710 1,734 Australasia and Other(d) 2,830 2,621 2,514 Total Revenues $ 9,028 $ 8,452 $ 8,252 (a)Revenues are attributed to region based on location of customer. (b)Revenues include approximately $4.2 billion for fiscal 2026, $4.0 billion for fiscal 2025 and $3.9 billion for fiscal 2024 from customers in the U.S. (c)Revenues include approximately $1.3 billion for fiscal 2026, $1.2 billion for fiscal 2025 and $1.3 billion for fiscal 2024 from customers in the U.K. (d)Australasia comprises Australia, Asia, Papua New Guinea and New Zealand. Revenues include approximately $2.4 billion for fiscal 2026, $2.2 billion for fiscal 2025 and $2.1 billion for fiscal 2024 from customers in Australia. 110 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of June 30, 2026 2025 (in millions) Long-lived assets:(a) U.S. and Canada $ 1,686 $ 1,415 Europe 901 924 Australasia and Other 843 781 Total long-lived assets $ 3,430 $ 3,120 (a)Reflects total assets less current assets, goodwill, intangible assets, investments and deferred income tax assets. There is no material reliance on any single customer. Revenues are attributed to countries based on location of customers. NOTE 21. ADDITIONAL FINANCIAL INFORMATION Other Non-Current Assets The following table sets forth the components of Other non-current assets included in the Balance Sheets: As of June 30, 2026 2025 (in millions) Royalty advances to authors $ 386 $ 377 Non-current receivables 368 320 Retirement benefit assets 169 165 News America Marketing deferred consideration(a) 212 — Other 143 138 Total Other non-current assets $ 1,278 $ 1,000 (a)The balance of the News America Marketing deferred consideration was reclassified to Other non-current assets during the fiscal year ended June 30, 2026, as the Company has amended the agreement to extend the payment due date. Other Current Liabilities The following table sets forth the components of Other current liabilities included in the Balance Sheets: As of June 30, 2026 2025 (in millions) Royalties and commissions payable $ 215 $ 202 Allowance for sales returns 126 138 Current operating lease liabilities 86 74 Other 299 300 Total Other current liabilities $ 726 $ 714 111 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Accumulated Other Comprehensive Loss The components of Accumulated other comprehensive loss were as follows: For the fiscal years ended June 30, 2026 2025 2024 (in millions) Accumulated other comprehensive loss, net of tax: Cash flow hedge adjustments: Balance, beginning of year $ 9 $ 22 $ 33 Fiscal year activity(a) (4) (13) (11) Balance, end of year $ 5 $ 9 $ 22 Benefit plan adjustments: Balance, beginning of year $ (327) $ (309) $ (328) Fiscal year activity(b) 18 (18) 19 Balance, end of year $ (309) $ (327) $ (309) Foreign currency translation adjustments: Balance, beginning of year $ (1,225) $ (964) $ (952) Fiscal year activity (19) (261) (12) Balance, end of year $ (1,244) $ (1,225) $ (964) Total accumulated other comprehensive loss, net of tax: Balance, beginning of year $ (1,543) $ (1,251) $ (1,247) Fiscal year activity, net of income taxes(c) (5) (292) (4) Balance, end of year $ (1,548) $ (1,543) $ (1,251) (a)Net of income tax expense (benefit) of $(1) million, $(4) million and $(4) million for the fiscal years ended June 30, 2026, 2025 and 2024, respectively. (b)Net of income tax expense (benefit) of $6 million, $(7) million and $6 million for the fiscal years ended June 30, 2026, 2025 and 2024, respectively. (c)Excludes $38 million, $(33) million and $(1) million relating to noncontrolling interests for the fiscal years ended June 30, 2026, 2025 and 2024, respectively. Other, net The following table sets forth the components of Other, net included in the Statements of Operations: For the fiscal years ended June 30, 2026 2025 2024 (in millions) Remeasurement of equity securities $ (20) $ 21 $ (13) Gain on sale of investment in PropertyGuru — 87 — Other 16 3 (46) Total Other, net $ (4) $ 111 $ (59) Supplemental Cash Flow Information The following table sets forth the Company’s gross cash paid for interest and taxes: For the fiscal years ended June 30, 2026 2025 2024 (in millions) Cash paid for interest $ 90 $ 93 $ 97 Cash paid for taxes 274 208 156 112 Table of Contents NEWS CORPORATION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS NOTE 22. VALUATION AND QUALIFYING ACCOUNTS Balance at beginning of year Additions Acquisitions and disposals Utilization Foreign exchange Balance at end of year (in millions) Fiscal 2026 Allowances for doubtful accounts $ (56) $ (4) $ — $ 10 $ — $ (50) Allowances for sales returns (138) (415) (1) 427 1 (126) Deferred tax valuation allowance (2,088) (23) — 33 (43) (2,121) Fiscal 2025 Allowances for doubtful accounts $ (58) $ (8) $ — $ 10 $ — $ (56) Allowances for sales returns (141) (420) (1) 427 (3) (138) Deferred tax valuation allowance (1,541) (549) — 27 (25) (2,088) Fiscal 2024 Allowances for doubtful accounts $ (52) $ (13) $ (2) $ 9 $ — $ (58) Allowances for sales returns (154) (446) — 458 1 (141) Deferred tax valuation allowance (1,528) (9) (7) 5 (2) (1,541) NOTE 23. SUBSEQUENT EVENTS Dividend Declaration In August 2026, the Company declared a semi-annual cash dividend of $0.10 per share for Class A Common Stock and Class B Common Stock. This dividend is payable on October 7, 2026 to stockholders of record as of September 9, 2026. 113 Table of Contents