News Corp reported earnings for its third quarter, ended March 27. Revenues were down year-over-year from $8.8 billion to $7.4 billion, a better-than-expected drop of only 16 per cent. Profits, meanwhile, were flat at $2.7 billion. Operating income, however, was down year-over-year from $1.4 billion to $755 million, a drop of 47%.
In prepared remarks, Rupert Murdoch attributed the results to the weak economy, yet noted that Fox News nearly doubled its operating income over the quarter and boasted about how its film division saw an increase in its operating income. That increase was only 8%, though, and filmed entertainment revenues were down year-over-year.) The company saw major losses in operating income for its television and newspaper divisions, which were down 72% and 97%.
Here’s how the company’s revenues and adjusted operating income break down by segment:
- Filmed Entertainment: Revenues were $1.5 billion down from $1.6 billion last year. Operating income was $282 million, up from $261 million last year.
- Television: Revenues were $1.3 billion down from $1.8 billion last year. Operating income was down to $4 million from $419 million last year.
- Cable Network Programming: Revenues were $1.4 billion, up from $1.3 billion last year. Operating income was up $429 millon from $330 million last year.
- Direct Broadcast Satellite Television: Revenues were $924 million, down from $993 million. Operating income was $63 million, down from $97 million last year.
- Magazines and Inserts: Revenues were $316 million, up from $299 million. Operating income was $97 million, up from $93 million.
- Newspapers and Information Services: Revenues were down $1.2 billion from $1.7 billion. Operating income was $7 million, down sharply from $216 million.
- Book Publishing: Revenues were $243 million, down from $302 million. The division suffered a loss in its operating income fo $38 million compared to a profit of $29 million last year.
- Other (including MySpace): Revenues were $471 million, down from $725 million. This division suffered a wider loss than last year, losing $89 million, compared to a $7 million loss last year.
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