News Corp, the publisher of the Herald Sun and other newspapers in Australia, is considering the possible sale of its pay TV business, Foxtel, due to third party interest.
Robert Thomson provided an update on the company’s financial performance for the 2024 fiscal period during a conference call.
He noted that the company is still focused on returning value to its shareholders.
According to Mr. Thomson, the company is currently evaluating its options regarding the possible sale of the company’s Australian pay TV business, Foxtel. He noted that News Corp had no immediate plans to sell the company.
However, it is considering various strategic and financial options for the business.
According to the report, Foxtel Group experienced strong streaming performance during the financial year.
It had over 3.2 million total paying subscribers. Mr. Thomson noted that revenue grew during the fourth quarter as the company benefited from the strength of its streaming platform.
The chief executive noted that the increasing number of people watching over-the-top television programs is a trend that is expected to continue.
News Corp has a 65 percent stake in Foxtel, while Telstra has a 35 percent ownership.
The company’s streaming services, such as Kayo, Binge, and Foxtel Now, have over 3.25 million total paying subscribers.
These services represent around 70 percent of the company’s total subscriber base.
Binge now has 1.554 million users, while Kayo has 1.606 million. The report also stated that News Corp’s fourth-quarter revenue reached $2.58 billion, which is a six-percent increase from the previous year’s $2.33 billion.
The company attributed the growth to its digital real estate services, book publishing, and Dow Jones segments.
A spokesperson for Australia’s telecommunications company, which has a 35 percent stake in the company, said that it is not aware of the exact timing of any potential transaction or change in strategy related to the strategic review.