What risks could impact NWS's Q3 2025 forecast?

News Corporation (NWS) may face several risks impacting its Q3 2025 forecast, including:

1. Declining Print Revenue: The company's reliance on traditional print media, such as The Wall Street Journal, poses a risk as readers increasingly turn to digital platforms. This trend could lead to continued declines in print revenue, as seen in the Q2 2025 report where News Media segment revenue fell by 2%.
2. Market Volatility in Digital Real Estate: News Corp's Digital Real Estate Services segment has shown resilience but is not immune to market fluctuations. Changes in the real estate market or technological disruptions could affect this segment's performance, impacting overall revenue.
3. Strategic Initiatives: The success of recent strategic initiatives, such as the introduction of carbon credit indices and advancements in analytics, is crucial for continued growth. If these initiatives do not meet expectations, they could hinder Q3 2025's performance.
4. Partnership with OpenAI: While the partnership with OpenAI is expected to contribute to digital advertising growth, the pace and impact of this contribution are uncertain. Delays or changes in this partnership could affect digital advertising revenue.
5. Geopolitical Factors: News Corp's global operations make it susceptible to geopolitical factors, such as changes in regulatory environments or economic instability in key markets. These factors could impact advertising revenue and operational costs.
6. Technological Advancement: The rapid pace of technological change, particularly in the digital space, requires significant investments in innovation to stay competitive. Failure to keep pace could lead to a loss of market share and revenue.
7. Balance Sheet and Capital Intensity: The sale of Foxtel to DAZN has strengthened News Corp's balance sheet, but future capital-intensive investments or acquisitions could strain financial resources, impacting Q3 2025's financial health.

These risks highlight the importance of careful strategic planning and operational agility for News Corporation to navigate potential challenges in Q3 2025 and beyond.