| MUMBAI:
News Corp has posted a revenue of $8.7 billion for the fiscal second quarter ended
December, up 10 per cent from the earlier year, as a result of double-digit percentage
growth at the majority of its business segments.
Net income stood at
$254 million as compared to a net loss of $6.4 billion in the second quarter a
year ago. The financial results include a one-time $500 million pre-tax charge
related to the settlement of litigation filed against the company's integrated
marketing services business.
Pan
Asian broadcaster Star's second quarter operating results improved versus the
same quarter a year ago on ad revenue gains.
News Corp chairman and
CEO Rupert Murdoch says, "Our strong top-line revenue growth demonstrates
that News Corporation is emerging from this recession with renewed vigour and
strength. Moreover, our underlying operating trends this quarter far outpace those
of the same quarter last year. We continue to reap the benefits from the restructuring
and cost containment measures we instituted before the downturn began and I am
pleased that our unrelenting focus has translated to growth across our businesses
that will reward stockholders for years to come."
Cable Network
Programming reported second quarter segment operating income of $604 million,
an increase of $156 million over the second quarter a year ago. The 35 per cent
growth primarily reflects increased contributions from Star, Fox News Channel
(FNC), the Regional Sports Networks (RSNs) and the Fox International Channels.
FNC achieved its highest ever quarterly profit and increased its operating income
51 per cent versus the second quarter a year ago primarily from affiliate revenue
rate increases. The
Television segment reported second quarter segment operating income of $29 million,
compared to the segment operating loss of $2 million a year ago. The improved
results reflect increased contributions from the Fox Television Stations (FTS)
and reduced losses at MyNetworkTV which were partially offset by lower contributions
from Fox Broadcasting Company. Fox
Broadcasting Company.s second quarter results were lower due to higher programming
costs driven by increased license fees for returning series and sports that more
than offset higher advertising revenue. The
film segment reported fiscal second quarter segment operating income of $324 million,
nearly tripling the $112 million reported in the same period a year ago. This
year's second quarter results reflect the home entertainment performances of Ice
Age: Dawn of the Dinosaurs, X-Men Origins: Wolverine and Night at the
Museum: Battle of the Smithsonian, as well as the pay-TV performance of Taken.
The current quarter film results also include launch costs for the successful
worldwide theatrical release of Avatar and Alvin and the Chipmunks:
The Squeakuel. Avatar,
which has surpassed Titanic as the highest grossing film of all time, has
already garnered more than $2 billion worldwide and remains the number one box
office draw after seven weeks in release. Alvin and the Chipmunks: The Squeakuel
has generated over $400 million in worldwide box office receipts to date. | 
