News Corp. ( NWS) capped off an eventful 2004 Wednesday with a strong fiscal second quarter.

The New York-based media company, which late last year completed a move from Australia, cited strong DVD sales at the company's majority owned Fox Entertainment ( FOX) subsidiary.

Operating income rose 24% from a year ago to $954 million, ahead of the $922 million mean forecast. Revenue jumped 18% to $6.56 billion, beating the revenue forecast of $6.09 million.

But per-share earnings, hurt by the fair value change of certain securities, fell short of the consensus estimate. For its quarter ended Dec. 31, News Corp. earned $386 million, or 12 cents a share, up from the year-ago $215 million, or 7 cents a share. Analysts surveyed by Thomson First call had expected earnings of 17 cents a share.

"While our country of incorporation changed in the second quarter, the growth we continue to deliver remains the same," CEO Rupert Murdoch said.

Early Wednesday, News Corp. rose 13 cents to $17.75.

Operating income at the Fox film division grew 57%to $407 million, driven by what News Corp. said wasits biggest quarter ever in home entertainmentrevenue. DVC releases included Day AfterTomorrow, Garfield and Dodgeball: A TrueUnderdog Story.

TV shows with strong DVD sales in the quarterincluded The Simpsons, Family Guy and 24.

Cable Networks operating income benefited from theNational Hockey League lockout, the company said. Thenonseason is resulting in lower rights costs as wellas higher basketball ratings, even considering the "dismal" performance of the Lakers.

The results "add up to avery good story for our company," Murdochtold analysts on a Wednesday conference call.

This quarter was the first News Corp. reported asa U.S. company. The conglomerate is in the process ofbuying back the shares of Fox it doesn't already own.

On Wednesday, News Corp.'s voting shares rose 22cents to $17.84, while its Class A nonvoting sharesrose 26 cents to $17.16. Fox shares rose 24 cents to$34.14.

More from Technology

Worries About a Trade War Could Throw Wrench Into the Tech Stock Rally

Worries About a Trade War Could Throw Wrench Into the Tech Stock Rally

5 Stock Picks Under $10 for Millennials

5 Stock Picks Under $10 for Millennials

3 Apps Than Make Retirement Planning Fun for Millennials

3 Apps Than Make Retirement Planning Fun for Millennials

Decision on AT&T's Merger With Time Warner Marks a Monumental Week for M&A

Decision on AT&T's Merger With Time Warner Marks a Monumental Week for M&A

3 Things Amazon Still Hasn't Figured Out At Whole Foods 1 Year In

3 Things Amazon Still Hasn't Figured Out At Whole Foods 1 Year In