{"id":40061,"date":"2017-08-11T05:10:16","date_gmt":"2017-08-11T05:10:16","guid":{"rendered":"https:\/\/www.biphoo.com\/bipnews\/?p=40061"},"modified":"2017-08-11T05:10:16","modified_gmt":"2017-08-11T05:10:16","slug":"news-corp-revenue-misses-on-weak-demand-for-print-advertising","status":"publish","type":"post","link":"https:\/\/www.biphoo.com\/bipnews\/business\/news-corp-revenue-misses-on-weak-demand-for-print-advertising.html","title":{"rendered":"News Corp revenue misses on weak demand for print advertising"},"content":{"rendered":"<h2 style=\"text-align: justify\"><span style=\"font-size: 18pt\"><strong><span style=\"font-family: Arial, Helvetica, sans-serif;color: #000000\">News Corp revenue misses on weak demand for print advertising<\/span><\/strong><\/span><\/h2>\n<p style=\"text-align: justify\"><span style=\"font-family: Arial, Helvetica, sans-serif;font-size: 14pt;color: #000000\">News Corp revenue misses on weak demand for print advertising: News Corp (NWSA.O) on Thursday reported fourth-quarter revenue that missed estimates as the owner of the Wall Street Journal grapples with a declining demand for advertising in the print industry.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"font-family: Arial, Helvetica, sans-serif;font-size: 14pt;color: #000000\">The company, which owns Dow Jones Newswires, has been reducing staff and implementing other cost-cutting measures in its Dow Jones division, which includes the Wall Street Journal, while building up its digital real estate business.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"font-family: Arial, Helvetica, sans-serif;font-size: 14pt;color: #000000\">Revenue from its digital real estate services unit \u2014 which consists of REA Group Ltd (REA.AX), a real estate advertising company in Australia \u2014 rose about 10 percent to $251 million beating estimates of $243.2 million, according to financial data and analytics firm FactSet.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"font-family: Arial, Helvetica, sans-serif;font-size: 14pt;color: #000000\">The first quarter should benefit from higher prices for Dow Jones subscriptions as well as increased cover prices in the UK and Australia, the company said on a post-earnings call.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"font-family: Arial, Helvetica, sans-serif;font-size: 14pt;color: #000000\">&#8220;We assume continued print declines into fiscal 2018, but we&#8217;ll aggressively seek out cost reductions,&#8221; Susan Panuccio, the company&#8217;s chief financial officer said on the call.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"font-family: Arial, Helvetica, sans-serif;font-size: 14pt;color: #000000\">Advertising revenue, the company&#8217;s biggest source of revenue, fell 8.2 percent to $737 million in the reported quarter.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"font-family: Arial, Helvetica, sans-serif;font-size: 14pt;color: #000000\">Sales of print-based advertising, which has been declining for the last ten years, is expected to fall 13 percent in the United States in 2017, according to media research firm Magna Intelligence. (bit.ly\/2uszRC6)<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"font-family: Arial, Helvetica, sans-serif;font-size: 14pt;color: #000000\">The company, controlled by media mogul Rupert Murdoch, reported a net loss available to shareholders of $430 million, or 74 cents per share, in the fourth quarter ended June 30, compared with a profit of $89 million, or 15 cents per share, a year earlier.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"font-family: Arial, Helvetica, sans-serif;font-size: 14pt;color: #000000\">The company said the loss in the quarter was due to a pre-tax non-cash impairment charge of $464 million, mainly related to the write-down of fixed assets at its UK newspapers.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"font-family: Arial, Helvetica, sans-serif;font-size: 14pt;color: #000000\">News Corp \u2014 which owns book publisher HarperCollins and newspapers including the New York Post \u2014 said it earned 11 cents per share on an adjusted basis, beating estimates of 9 cents per share, according to Thomson Reuters I\/B\/E\/S.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"font-family: Arial, Helvetica, sans-serif;font-size: 14pt;color: #000000\">Total revenue fell 6.6 percent to $2.08 billion, missing estimates of $2.10 billion.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"font-family: Arial, Helvetica, sans-serif;font-size: 14pt;color: #000000\">The company&#8217;s shares, which closed at $3.68 on Thursday, have risen about 20 percent this year.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"font-family: Arial, Helvetica, sans-serif;font-size: 14pt;color: #000000\">Thomson Reuters (TRI.N) (TRI.TO), the parent of Reuters News, competes with Dow Jones Newswires.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"font-family: Arial, Helvetica, sans-serif;font-size: 8pt;color: #000000\">Source: http:\/\/www.reuters.com\/article\/us-news-corp-results-idUSKBN1AQ2G6<\/span><\/p>\n<div class=\"fb-background-color\">\n\t\t\t  <div \n\t\t\t  \tclass = \"fb-comments\" \n\t\t\t  \tdata-href = \"https:\/\/www.biphoo.com\/bipnews\/business\/news-corp-revenue-misses-on-weak-demand-for-print-advertising.html\"\n\t\t\t  \tdata-numposts = \"10\"\n\t\t\t  \tdata-lazy = \"true\"\n\t\t\t\tdata-colorscheme = \"light\"\n\t\t\t\tdata-order-by = \"social\"\n\t\t\t\tdata-mobile=true>\n\t\t\t  <\/div><\/div>\n\t\t  <style>\n\t\t    .fb-background-color {\n\t\t\t\tbackground: #ffffff !important;\n\t\t\t}\n\t\t\t.fb_iframe_widget_fluid_desktop iframe {\n\t\t\t    width: 630px !important;\n\t\t\t}\n\t\t  <\/style>\n\t\t  ","protected":false},"excerpt":{"rendered":"<p>News Corp revenue misses on weak demand for print advertising News Corp revenue misses on weak demand for print advertising: News Corp (NWSA.O) on Thursday reported fourth-quarter revenue that missed estimates as the owner of the Wall Street Journal grapples with a declining demand for advertising in the print industry. 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