Revenues

9 Months Ended

Mar. 31, 2021

Revenue from Contract with Customer [Abstract]

Revenues

REVENUES

The following tables present the Company’s disaggregated revenues by type and segment for the three and nine months ended March 31, 2021 and 2020:

	For the three months ended March 31, 2021
	Digital Real Estate Services		Subscription Video Services		Dow Jones		Book Publishing		News Media		Other		Total Revenues
	(in millions)
Revenues:
Circulation and subscription	$	6	$	469	$	329	$	—	$	272	$	—	$	1,076
Advertising	31		46		85		—		212		—		374
Consumer	—		—		—		472		—		—		472
Real estate	291		—		—		—		—		—		291
Other	23		8		7		18		66		—		122
Total Revenues	$	351	$	523	$	421	$	490	$	550	$	—	$	2,335

	For the three months ended March 31, 2020
	Digital Real Estate Services		Subscription Video Services		Dow Jones		Book Publishing		News Media		Other		Total Revenues
	(in millions)
Revenues:
Circulation and subscription	$	9	$	414	$	303	$	—	$	240	$	—	$	966
Advertising	25		40		84		—		427		—		576
Consumer	—		—		—		396		—		—		396
Real estate	209		—		—		—		—		—		209
Other	18		8		10		16		66		1		119
Total Revenues	$	261	$	462	$	397	$	412	$	733	$	1	$	2,266

	For the nine months ended March 31, 2021
	Digital Real Estate Services		Subscription Video Services		Dow Jones		Book Publishing		News Media		Other		Total Revenues
	(in millions)
Revenues:
Circulation and subscription	$	22	$	1,352	$	959	$	—	$	775	$	—	$	3,108
Advertising	89		151		270		—		644		—		1,154
Consumer	—		—		—		1,436		—		—		1,436
Real estate	807		—		—		—		—		—		807
Other	62		27		24		56		191		1		361
Total Revenues	$	980	$	1,530	$	1,253	$	1,492	$	1,610	$	1	$	6,866

	For the nine months ended March 31, 2020
	Digital Real Estate Services		Subscription Video Services		Dow Jones		Book Publishing		News Media		Other		Total Revenues
	(in millions)
Revenues:
Circulation and subscription	$	28	$	1,304	$	888	$	—	$	730	$	1	$	2,951
Advertising	77		144		288		—		1,352		—		1,861
Consumer	—		—		—		1,204		—		—		1,204
Real estate	669		—		—		—		—		—		669
Other	53		29		33		55		229		1		400
Total Revenues	$	827	$	1,477	$	1,209	$	1,259	$	2,311	$	2	$	7,085

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 three and nine months ended March 31, 2021 and 2020:

	For the three months ended March 31,				For the nine months ended March 31,
	2021		2020		2021		2020
	(in millions)
Balance, beginning of period	$	400	$	411	$	398	$	428
Deferral of revenue	823		851		2,285		2,426
Recognition of deferred revenue(a)	(780)		(807)		(2,260)		(2,398)
Other(b)	6		(68)		26		(69)
Balance, end of period	$	449	$	387	$	449	$	387

(a)For the three and nine months ended March 31, 2021, the Company recognized $224 million and $359 million, respectively, of revenue which was included in the opening deferred revenue balance. For the three and nine months ended March 31, 2020, the Company recognized $226 million and $371 million, respectively, of revenue which was included in the opening deferred revenue balance.

(b)For the three and nine months ended March 31, 2020, the Company reclassified $46 million of deferred revenue to other current liabilities in connection with the sale of News America Marketing.

Contract assets were immaterial for disclosure as of March 31, 2021 and 2020.

Other revenue disclosures

The Company typically expenses sales commissions incurred to obtain a customer contract as those amounts are incurred as the amortization period is 12 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 12 months or less, or the receipt of consideration is received within 12 months or less of the transfer of the good or service.

For the three and nine months ended March 31, 2021, the Company recognized approximately $116 million and $296 million, respectively, 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 March 31, 2021 was approximately $417 million, of which approximately $56 million is expected to be recognized over the remainder of fiscal 2021, approximately $154 million is expected to be recognized in fiscal 2022 and approximately $69 million is expected to be recognized in fiscal 2023, 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, “Revenue From Contracts With Customers.”