Crisis-stricken News Corp's net profit down 5% to $738m although revenue up 7%
Hamish Mackay
Crisis-stricken News Corp has seen net profit down 5% in the first quarter of its 2012 financial year to $738 million although revenue was up 7% to $7.96 billion.
The multi-national said revenue growth during the quarter ending September 30 was driven by its cable, broadcast and satellite television networks and its movie releases.
The quarterly results included a fee related to the withdrawal of its bid for British broadcaster BSkyB and a $91 million restructuring charge related to its British newspaper business which includes The Sun, The Times and the Sunday Times.
News Corp abandoned its bid for BSkyB following the phone-hacking scandal in Britain that led to the closure of the News of the World.
Chairman and chief executive Rupert Murdoch said in a statement that News Corp's "core operations are strong" and the company is "on course to achieve our strategic and financial objectives."
"While we continue to remain mindful of the persistent economic uncertainty in many parts of the globe, I am proud of News Corporation's achievements over the past quarters," Murdoch said.
"We have leveraged our strong assets and solid management team to successfully navigate these unpredictable times.
"Coupled with our long-term view, I have every confidence that we will build upon these results in the coming quarters and continue to provide consistent stockholder value," he said.