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News Corp. Swings to Profit

News Corp. swings to a profit during the fourth quarter and the year on higher revenue and lower costs.



) --

News Corp.

(NWSA) - Get News Corporation Report

swung to a profit during the fourth quarter, driven by higher revenues and lower expenses.

For the quarter ended June 30, the company saw earnings swing to a profit of $875 million, or 33 cents per diluted share, compared with a loss of $203 million, or 8 cents per diluted share, in the same period a year ago. Earnings bested analysts' expectations of 20 cents per share by a wide margin.

Earnings for the quarter were 33 cents a share, well ahead of analyst estimates of 20 cents a share.

Revenue rose 5.7% to $8.11 billion from $7.67 billion during the quarter, with major gains in its filmed entertainment and television segments.

"Despite the volatility of world economies, News Corp. continues to thrive on a truly global scale," said Rupert Murdoch, chairman and CEO. "Having the biggest worldwide movie in history helped us achieve these fiscal 2010 results, but that was just a part of a much broader improvement at News Corporation."

The hit movie


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helped drive the company's film entertainment revenue up 4.1% for the quarter, and 28.6% for the year.

Revenue related to the company's television segment was up 11.6% to $1.1 billion from $938 million largely in part to Fox's television stations. Local television advertising revenue at Fox was up 29% for the quarter and 9% for the year.

For the year ended June 30, earnings swung to a profit of $2.54 billion, or 97 cents a share, compared with a loss of $3.38 billion, or $1.29 a share, in the same period a year ago.

Revenue rose 7.7% to $32.78 billion from $30.42 billion.

Management plans to expand its franchises and continue to use new technology and platforms to reach a larger audience.

"As we turn to fiscal 2011 and beyond, I am confident in our businesses and in our people to deliver superior results," said Murdoch.

News Corp. shares closed up more than 1.5% at $13.85 per share.

-- Reported by Theresa McCabe in Boston.

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