Media tycoon Rupert Murdoc’s News Corp (ASX:NWS)
is projected to record the highest level of earnings in 8 years, having reported a 23 per cent hike in profitability in the March quarter of FY21.
News Corp revealed a 3 per cent surge in revenue to $US2.34 billion ($3.01 billion) in the third quarter. The company has bounced back from last year’s net loss of $US 1 billion to a profit of $US 96 million.
The media conglomerate has linked the profit growth to the expansion of its property and book publishing divisions, as News Corp streamed more capital investment into these areas.
Newscorp’s CEO Robert Thomson stated “The financial year is on a trajectory to be the most profitable since our reincarnation in 2013. This highlights the transformed character of the Company.”
The content powerhouse also orchestrated a transformation campaign to accelerate the digitisation of its Foxtel brands. The ramp-up in online streaming capabilities substantially contributed to reducing operational expenses and optimised resources.
The parent operator of news.com.au, The Australian and The Daily Telegraph also sealed a content-sharing deal with digital giants Google and Facebook in February and March respectively, under the new media bargaining code.
Shares in News Corp (ASX:NWS)
are trading 0.5 per cent lower at $30.54