Profits edge up for 21st Century Fox
Rupert Murdoch (left) and his son Lachlan, share the title of executive chairman at media-entertainment group 21st Century Fox. (AFP/Drew Angerer)
WASHINGTON: Media-entertainment group 21st Century Fox said on Wednesday (Nov 8) profits edged higher in the past quarter, fuelled by revenue growth in its television, cable networks and Hollywood film operations.Net profit in the fiscal first quarter for Sep 30 was up four per cent from a year ago at US$855 million for the group controlled by media mogul Rupert Murdoch and his family.Revenues were up eight per cent to US$7 billion in the period.The report comes amid unconfirmed reports that the Murdoch family held talks to sell most of the media-entertainment giant to rival Disney.According to the reports, the Murdochs had been in discussions to sell Fox's movie and television studios and leave a media company tightly focused on news and sports.The company's cable network programming division which includes Fox News and an array of sports channels generated some US$4.2 billion in revenues and US$1.5 billion in operating profit, making it the largest segment.
Its filmed entertainment unit, which includes the Fox Hollywood studios, produced some US$1.9 billion in revenue and US$256 million in operating earnings.The profits from film fell from a year ago when the company had revenues from TV licensing of its "X-Men: Days of Future Past" and "The Martian," with no comparable titles licensed in the current quarter.The television division, which includes the over-the-air Fox broadcast network, accounted for US$1.1 billion in revenue and US$122 million in operating profit.The results "demonstrate our strength in the dynamic global market for distinctive video brands and content, across both established distributors and new entrants," said a statement from Rupert and his son Lachlan Murdoch, who share the role of executive chairman.
"We delivered top-line growth at all of our businesses, backed by stand-out storytelling, sports and news, as well as a product focus that will drive greater consumption and compelling opportunities for financial returns on our content investment."Fox was formed by the 2013 breakup of Murdoch's News Corp into two separate firms as part of a plan to "unlock value" for shareholders. The News Corp name was retained for the company which operates newspapers around the world including the Wall Street Journal.Murdoch, 86, began a gradual withdrawal from both companies in 2013, and now shares the title of chairman with his eldest son Lachlan at both firms.
Source : http://www.channelnewsasia.com/news/business/profits-edge-up-for-21st-century-fox-9389252