News Corp B (NWS)
Profitability ratios
Return on sales
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | |
|---|---|---|---|---|---|
| Gross profit margin | 50.37% | 100.00% | 100.00% | 100.00% | 100.00% |
| Operating profit margin | 11.42% | 7.98% | 7.15% | 9.45% | 6.34% |
| Pretax margin | 10.92% | 5.41% | 3.34% | 7.82% | 4.81% |
| Net profit margin | 5.49% | 2.64% | 1.51% | 6.00% | 3.53% |
The profitability ratios of News Corp B over the period from June 30, 2021, to June 30, 2025, reveal a complex landscape of operational performance. The gross profit margin remained consistently high at 100.00% from June 2021 through June 2024, indicative of either minimal cost of goods sold, unique accounting recognition, or possible anomalies. However, a significant decline to 50.37% in June 2025 suggests either a reduction in gross profitability, increased cost of sales, or changes in revenue recognition.
The operating profit margin exhibited fluctuations within the period. Starting at 6.34% in June 2021, it increased to 9.45% in June 2022, followed by a slight decline to 7.15% in June 2023. A modest recovery is observed in June 2024 to 7.98%, with a notable increase to 11.42% in June 2025, indicating improved operational efficiency or cost management in the final year.
Pretax profit margin followed a similar pattern, rising from 4.81% in June 2021 to 7.82% in June 2022, then decreasing to 3.34% in June 2023. After a slight increase in June 2024 to 5.41%, there was a substantial improvement in June 2025 to 10.92%, reflecting enhanced pre-tax profitability and possibly better management of operational expenses, interest, and other pre-tax costs.
The net profit margin demonstrated a generally upward trend over the period. Beginning at 3.53% in June 2021, it increased significantly to 6.00% in June 2022, but then dropped sharply to 1.51% in June 2023. Subsequently, it recovered incrementally to 2.64% in June 2024 and achieved a notable rise to 5.49% in June 2025. This suggests that while the company experienced some periods of diminished profitability after 2022, recent improvements point toward better net income management or favorable tax conditions.
Overall, the data indicates that News Corp B has experienced volatility in its profitability metrics over this period. The surge in margins in June 2025, especially in pretax and net profit margins, signals a potential turnaround or strategic improvement in profitability. Meanwhile, the stark fluctuation in gross profit margin warrants further investigation into revenue recognition, cost structures, or accounting practices.
Return on investment
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 6.22% | 4.82% | 4.17% | 5.70% | 3.54% |
| Return on assets (ROA) | 2.99% | 1.59% | 0.88% | 3.62% | 1.97% |
| Return on total capital | 10.63% | 7.77% | 5.33% | 12.67% | 7.49% |
| Return on equity (ROE) | 5.29% | 3.28% | 1.85% | 7.58% | 4.02% |
The analysis of News Corp B's profitability ratios over the period from June 2021 to June 2025 reveals several key trends and insights.
Operating Return on Assets (Operating ROA):
The Operating ROA exhibits a general upward trend over the analyzed period. It increased from 3.54% in June 2021 to 5.70% in June 2022, indicating improved efficiency in generating operating income relative to the company's assets. Although it declined slightly to 4.17% in June 2023, it subsequently resumed growth, reaching 4.82% in June 2024 and further increasing to 6.22% in June 2025. This pattern suggests that while there were some fluctuations, the company has generally enhanced its operational efficiency over time.
Return on Assets (ROA):
The ROA, which considers net income relative to total assets, demonstrates a similar trajectory. It rose from 1.97% in June 2021 to 3.62% in June 2022, then dropped significantly to 0.88% in June 2023. After this decline, it shows signs of recovery, climbing to 1.59% in June 2024 and reaching 2.99% in June 2025. The decline in 2023 may reflect temporary challenges or increased expenses impacting net income, but the subsequent recovery indicates a potential turnaround in asset efficiency.
Return on Total Capital:
The return on total capital, which evaluates profitability relative to both debt and equity, indicates considerable volatility. It peaked at 12.67% in June 2022, then decreased sharply to 5.33% in June 2023. However, it recovered in the following years, reaching 7.77% in June 2024 and improving further to 10.63% in June 2025. The fluctuations suggest varying effectiveness in utilizing all sources of capital, with notable improvement in recent years.
Return on Equity (ROE):
The ROE, reflecting net income attributable to shareholders, displays a more volatile pattern. It increased substantially from 4.02% in June 2021 to 7.58% in June 2022, but then declined sharply to 1.85% in June 2023. It modestly increased to 3.28% in June 2024 and further to 5.29% in June 2025. The decline in 2023 is indicative of reduced profitability from shareholders’ perspective, possibly due to lower net income or increased equity. The subsequent slight recovery suggests some stabilization.
Summary:
Overall, News Corp B's profitability ratios depict a company that experienced growth and improved operational efficiencies through 2022, followed by a period of volatility and decline in some key ratios in 2023. Recent data indicates a degree of recovery and potential stabilizing trend, particularly in Operating ROA and Return on Total Capital. The sharp fluctuations in ROE point to challenges in net income generation from the shareholders' perspective, which however appear to be mitigated in the latest fiscal year.