News Corp (NASDAQ:NWSA), owner of the Wall Street Journal and HarperCollins, reported a decline in quarterly revenue and profit due to foreign currency changes and a drop in ad sales at its newspapers.
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Total revenue for the third quarter fell 1 percent to $2.06 billion. Analysts were expecting revenue of $2.11 billion, according to Thomson Reuters I/B/E/S.
Revenue at its News and Information Services unit, which represents about 65 percent of the company's overall revenue, declined 9 percent to $1.35 billion.
Advertising revenue from its newspapers fell 12 percent while circulation revenue declined 6 percent partly due to foreign currency fluctuations. At the Wall Street Journal advertising revenue fell 11 percent.
The company, which is controlled by Rupert Murdoch, has been diversifying into other areas most notably into digital real estate services. Revenue from that business increased 67 percent to $170 million.
Robert Thomson, CEO of News Corp, said in a statement that real estate will "underpin long-term expansion."
At its book publishing unit, revenue rose 14 percent to $402 million.
Net income attributable to shareholders fell to $23 million, or 4 cents per share, for the third quarter ended March 31, from $48 million, or 8 cents per share, a year earlier.
Adjusted for items related to the hacking scandal in Britain, earnings per share was 5 cents.
(By Jennifer Saba; Additional reporting by Anya George Tharakan in Bengaluru; Editing by Bernard Orr)