News Corp 70% profit drop, 'worst over'

Finishing up a dismal earnings season for media, News Corp reported a 70 per cent drop in net income to $300 million, excluding one-time events, and a 16 per cent drop in revenue to $7.37 billion for the quarter ended March 31st.

Non-broadcast channels were the one bright spot with increased affiliate revenue for Fox News Channel and growth from international TV channels boosted revenue 11 per cent to $1.42 billion and operating income by 30 per cent to $429 million. Fox TV network, the studios and newspapers worldwide all suffered from the advertising slump.

Though it didn't break out the website separately, News Corp. also noted that MySpace was hurt by the advertising slump. Rupert Murdoch, chairman, said he believed the worst might be over.

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