DirecTV's Profit Leaps 43%
NEW YORK: Rupert Murdoch loves the Wall Street Journal - most of whose readers also love Rupert Murdoch! Even if the same can't be said of the newspaper's controlling stockholders, editorial staff and other employees.
In an era of declining newspaper circulations and uncertain TV viewing numbers, News Corporation continues to deliver robust profits - $843 million (€622.19m; £422.28m) in its fiscal third quarter to March 31 2007.
The result equates to earnings per share of 28 cents, compared with a loss of 14 cents a share in the year ago period, mainly due to a $1 billion write-down in the value of its TV station broadcasting licenses.
Revenue rose 4.1% to $5.91bn versus $5.68bn in Q3 2006, although operating income fell 6.4% to $851m due to a dive in the often volatile earnings of NewsCorp's box office-driven film and TV production business. However, there were gains the Fox broadcast and cable television networks.
NewsCorp-controlled satellite TV giant DirecTV posted a 43% jump in first-quarter net income from $235.2m a year earlier to $336.4m, helped by a reduction in subscriber 'churn'.
Revenue rose to $3.91bn from $3.39bn last time, and the company ended the March quarter with 16.2m customers.
Ownership of DirecTV is in process of transfer to Liberty Media, following the deal reached earlier this year between Clan Murdoch and cable entrepreneur John Malone [WARC News: 05-Apr-07].
Data sourced from multiple origins; additional content by WARC staff