News Corp publishing arm lost $2.08 bln last year
London: Media tycoon Rupert Murdoch’s publishing operations would have lost 2.08 billion dollars as a standalone company last year, News Corporation has said.
The News Corp. revealed the full extent of the financial troubles at its newspaper and books businesses.
The publishing business was hit by 2.8 billion dollars of “impairment and restructuring” write-downs, following the phone hacking scandal at News International, last year, the Telegraph said.
In addition to NI, publisher of The Times and The Sun, the “new News Corp” will include America’s Wall Street Journal, Dow Jones newsire, book publisher HarperCollins and News Corp’s education arm, the paper added.
According to the paper, the firm’s poor performance continued into the current financial year, when the publishing company would have lost 92 million dollars as a standalone division, compared to 38 million dollars profit the previous year.
That was also largely because of a restructuring charge, and legal fees relating to the hacking scandal, the paper said.
Profits across the entire News Corp group have also fell to 782 million dollars from 1.2 billion dollars in the year to 30 June, led by a 19 percent drop in earnings before interest, tax and depreciation at the newspaper and books business, it added.