News Corp. Profit Meets Views

News Corp. (NWS.A) reported a 24% jump in fourth-quarter earnings from continuing operations, as profit growth at its cable and newspaper divisions offset weaker TV and movie results.

Rupert Murdoch's media conglomerate posted income from continuing operations of $890 million, or 28 cents a share, for the quarter ended June 30, up from $718 million, or 23 cents a share, a year earlier. The results matched analysts' average estimate, according to Thomson Financial.

Revenue rose to $7.37 billion from $6.78 billion last year, compared with analysts' forecast for revenue of $7.27 billion.

News Corp.'s biggest division, television, saw operating income slip to $385 million from $403 million. The company attributed the decline to losses from its startup MyNetworkTV division and lower income from its Fox television statements.

Fox Broadcasting, meanwhile, saw strong gains due to higher advertising pricing and volume, driven by strong series like American Idol and House.

The movies division also had profit declines from a year earlier, when results were boosted by the hit Ice Age: The Meltdown. Operating income fell to $106 million from $200 million last year.

At News Corp.'s cable division, operating income climbed to $284 million from $194 million a year ago. The Fox News Channel recorded 41% operating income growth, while its other other channels collectively saw a 49% surge in profits.

Newspaper income jumped to $203 million from $170 million, as favorable foreign currency fluctuations helped increase contributions from its U.S. and Australian newspaper holdings.

Last week, News Corp. made a big foray to expand its newspaper business, signing a $5 billion deal to buy Wall Street Journal publisher Dow Jones(DJ).

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