WASHINGTON (dpa-AFX) - News Corp. (NWS, NWSA), the company owned by media baron Rupert Murdoch, Monday posted a loss for the first quarter compared to a profit last year, driven largely by drop in revenues.
The New York-based media company reported a first-quarter loss of $15 million or $0.03 per share, compared to a profit of $175 million or $0.30 per share last year. Adjusted loss from continuing operations were $6 million or $0.01 per share.
Revenues for the quarter dropped 2 percent to $1.97 billion from $2.01 billion last year.
Revenue at key news and information services segment, which includes Dow Jones and The Wall Street Journal, declined 5 percent from a year ago to $1.22 billion. Among smaller segments, book publishing dropped 5 percent; digital real estate jumped 18 percent, and cable network programming climbed 3 percent.
Chief Executive Robert Thomson said, 'News Corp made real progress as it continued to drive higher digital revenues and position the Company for long-term growth. While the quarter presented some obvious challenges, particularly in print advertising and the weakness of the Pound Sterling, our revenues were relatively stable, underscoring the strength and scale of our portfolio and shift to digital.'
Digital revenues increased to 24 percent of News and Information Services segment revenues, compared to 20 percent last year. The company said that the Wall Street Journal's digital subscribers rose to 967,000, up 18 percent year over year.
News Corp separated itself in 2013 after Rupert Murdoch spun off its more profitable entertainment and TV assets into Twenty-First Century Fox (FOX, FOXA).
NWSA closed Monday's trading at $12.22, up $0.33 or 2.78%, on the Nasdaq. The stock further gained $0.03 or 0.29% in the after-hours trade.
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