Huge rise in News Corp net profit

China National News Thursday 9th February, 2012

NEW YORK - Profits of Rupert Murdoch's News Corporation have risen sharply by 65 per cent in the quarter ending December, despite an ongoing investigations into the closure of the 'News of the World' that has cost the media giant a whopping $ $104 million last year.

Net profit rose 65 per cent year on year to $1.06 billion in the three months, according to the latest figure from News Corp that owns the Fox television networks and 20th Century Fox movie studio in addition to newspapers in Australia, Britain and the United States.

Its revenue rose two per cent to $8.98 billion in the period.

The company said the results were fuelled by income from advertising and fees at its cable television networks.

"The significant growth we reported in the quarter in the cable network programming, television and filmed entertainment segments clearly validates our strategy to develop and distribute superior wide-ranging content," said chairman and chief executive Rupert Murdoch.

"I am particularly pleased with the success of our business strategies in spite of the uncertain economic conditions that we continue to face."

News Corp's film division has performed well, according to the figures, generating income of $393 million for the quarter, up from $189 million in the same period a year ago.

The company said the results included an $87 million charge related to the costs of the ongoing investigations stemming from phone-hacking at the closed News of the World.