News Corp posts $422 m first-quarter profit

NEW YORK: Things are looking up at Rupert Murodoch's media conglomerate News Corp. The company has reported that its first-quarter profit more than doubled on strong DVD movie sales of Daredevil and Phone Booth as well as ad gains at its Fox News channel.

The Sydney, Australia-based owner of the New York Post, 20th Century Fox studios and Gemstar-TV Guide posted a net profit of $422 million, or 32 cents per American depositary receipts, compared with $162 million, or 12 cents per ADR, a year ago.

However Fox's television network suffered a 20 per cent decline in prime-time ratings in the quarter. Reports indicate that the drop suggests some of the difficulty that the company faces finding successors to its recent reality television hits like American Idol and Joe Millionaire. In India the latter airs on Star World. Revenue at the television division fell to A$1.01 billion from A$1.02 billion.

At the company's Filmed Entertainment division, the biggest contributor to its earnings, revenue rose to A$1.25 billion from $882 million in the first quarter of the previous year, Looking ahead the company is placing its bets on the Russell Crowe starrer Master And Commander which recently opened in the US.

However due to the disappointing performance at the television outfit its operating income, which accounts for a quarter of the company's total, fell five per cent, to $179 million. The Fox Broadcasting Network reported an operating loss of $45 million, compared with a loss of $8 million a year earlier. This managed to offset higher profits for Star TV.

News Corp COO Peter Chernin attributed this to the cancellation of several new shows like The Ortegas and Cedric. Reports also indicate that News Corp gets about 75 per cent of its revenues and around 80 per cent of its operating income from the US.

Meanwhile, the newly appointed chief executive of BSkyB, James Murdoch has pledged to resume dividend payments of the company after a five-year gap. "There is a resolution at the board to discuss future dividends and that will be done," he says.

Murdoch also says that BSkyB's cash flow would not be diverted to funding projects for News Corp, the media empire controlled by his father Rupert Murdoch that owns about 35 percent of BSkyB.

Calls for a resumption of dividend payouts rose earlier this year when BSkyB reported its first annual profit in five years for the year to June, as it continued to add subscribers and grow revenue.

Also, revenues for the Big Three broadcasters, ABC, CBS and NBC have also gone up almost six per cent in the third quarter, according to data compiled by accounting firm Ernst & Young.

Latest Reads
Network18 reports improved numbers for Q2 FY19

Mukesh Dhirubhai Ambani’s media arm, Network18, reported improved numbers for the quarter ended 30 September 2018 (Q2 2019, quarter under review) as compared to the corresponding year ago quarter Q2 2018). The company reported 9 per cent y-o-y growth in consolidated revenue for Q2 2019 at Rs 1,237...

Television TV Channels GECs
ZMCL reports more than quadruple profit for second quarter

The company’s consolidated operating revenue increased 35.5 per cent y-o-y in Q2 2019 at Rs 168.66 crore as compared to Rs 124.51 crore in the year ago quarter. Total income increased 34.7 per cent y-o-y in Q2 2019 to Rs 170.66 crore from Rs 126.71 crore in Q2 2018.

Television TV Channels News Broadcasting
Eros Now Partners with Celcom; Consolidates Distribution in Malaysia

Eros International Plc (NYSE: EROS) (“Eros”), a leading global company in the Indian film entertainment industry, announced today that Eros Now, its digital over-the-top distribution service

Television TV Channels Music and Youth
TV Today Network subsidiary receives IT demand notices

TV Today Network Limited (TVTN) has informed the bourses that its wholly owned non-material subsidiary India Today Online Private Limited (ITOPL) has received separate demand notices from the Income Tax department.

Television TV Channels News Broadcasting
BBC Studios India and Mindshare’s I Can You Can wins two Silvers - Best Branded Content and Best Media Strategy at the Emvies 2018

BBC Studios India and Mindshare, India’s largest media agency, announced that it has won two Silvers at EMVIES 2018

Television TV Channels News Broadcasting
NDTV launches India’s first mobile-only portrait live channel

New Delhi Television Ltd (NDTV) has launched India’s first mobile-only vertical live channel with the name NDTV HOP Live. India has nearly 432 million internet users and this number is growing at a rate of 4-8 per cent, according to Deloitte’s Technology, Media and Telecommunication (TMT)...

Television TV Channels News Broadcasting
Movies NOW, Romedy NOW and MNX celebrates this festive season with a special programming line-up

Celebrating the spirit of this festive season, Times Network's English Entertainment channels

Television TV Channels English Entertainment
Running Wild with Bear Grylls’ on Discovery channel gets extraordinary traction from advertisers

The premiere of new series Running Wild with Bear Grylls on Discovery and Discovery World HD

Television TV Channels Factual @ Discovery
Woh Talent Hi Kya Jo Kisi Ke Kaam Na Aaye; COLORS Announces the Launch of India’s Got Talent

Don’t let talent go to waste advocates COLORS’ flagship reality show – Maruti Suzuki Arena presents India’s Got Talent powered by Vaseline and Frooti as it returns to wow viewers with some mind-boggling acts in its eighth edition.

Television TV Channels GECs

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories