News Corporation's (NWSA) CEO Robert Thomson on Q3 2022 Results - Earnings Call Transcript

News Corporation (NASDAQ:NWSA) Q3 2022 Earnings Conference Call May 5, 2022 5:00 PM ET

Company Participants

Mike Florin – Senior Vice President and Head-Investor Relations

Robert Thomson – Chief Executive Officer

Susan Panuccio – Chief Financial Officer

Conference Call Participants

Entcho Raykovski – Credit Suisse

Kane Hannan – Goldman Sachs

John Gaudioso – JPMorgan

Darren Leung – Macquarie

Brian Han – Morningstar

Operator

Good day, and welcome to the News Corp 3Q Fiscal 2022 Conference Call. Today's conference is being recorded. Media will be on a listen-only basis.

At this time, I would like to turn the conference over to Mike Florin, Senior Vice President and Head of Investor Relations. Please go ahead.

Mike Florin

Thank you very much, operator. Hello, everyone, and welcome to News Corp's fiscal third quarter 2022 earnings call.

We issued our earnings press release about 30 minutes ago, and it's now posted on our website at newscorp.com.

On the call today are Robert Thomson, Chief Executive; and Susan Panuccio, Chief Financial Officer.

We will open with some prepared remarks, and then we'll be happy to take questions from the investment community.

This call may include certain forward-looking information with respect to News Corp's business and strategy. Actual results could differ materially from what is said. News Corp's Form 10-K and Form 10-Q filings identify risks and uncertainties that could cause actual results to differ and contain cautionary statements regarding forward-looking information.

Additionally, this call will include certain non-GAAP financial measurements such as total segment EBITDA, adjusted segment EBITDA and adjusted EPS. The definitions and GAAP to non-GAAP reconciliations of such measures can be found in our earnings release.

With that, I'll pass it over to Robert Thomson for some opening comments.

Robert Thomson

Thank you, Mike. I'm delighted to report that revenues and profitability were at a new record for the third quarter, since the company's rebirth in 2013, building comprehensively on the momentum of our record performance in preceding quarters News Corp delivered $2.5 billion of revenues up 7%, despite the vicissitudes of currency volatility. While profitability improved by 20% and that was despite the one time transaction costs for our Opus acquisition. The tangible benefits to revenue and profitability of that transaction should be obvious in coming quarters.

To put the results in a broader context, we attained more in profitability at over $1.3 billion through the first three quarters of fiscal 2022 than we did in any entire fiscal year, since our rebirth in 2013. And there is certainly more to come in the fourth quarter. Given the impact of the pandemic and not so transitional inflation, both exogenous in the extreme, these sterling results are testament to the strength of the company's culture created and curated by Rupert and Locklin Murdoch and the commitment, creativity, and passion of all our employees.