News Corp., the newspaper publisher controlled by billionaire Rupert Murdoch, reported quarterly earnings that missed analysts’ estimates after print advertising continued to fall and currency swings ate into revenue.
Profit excluding some items was 5 cents a share in the fiscal third quarter ended in March, the company said in a statement Tuesday, compared with the 7 cents analysts estimated on average, according to data compiled by Bloomberg. Revenue fell 0.8 percent to $2.06 billion. Analysts anticipated $2.14 billion.
The majority of the sales drop comes from the negative impact of foreign exchange and lower advertising revenue in the news unit, which publishes the New York Post and the Wall Street Journal, News Corp. said.
The company has been focused on increasing digital revenue to compensate for print declines. Industrywide ad spending on newspapers is expected to drop almost 11 percent to $14.4 billion this year, which will bring the decline over the past 10 years to about 71 percent, according to MagnaGlobal.
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