Rupert Murdoch's News Corp empire has just seen its profits halved

Remind me what News Corp is?

It is Rupert Murdoch’s business which is the publisher of the Sun and the Times and also behind the books publisher, HarperCollins.

What were the profits like in the quarter to 31 March?

The company saw profits more than halve as advertising revenues continued to decline and the strong dollar took its toll. Net income attributable to shareholders dropped by 52 per cent to $23m (£15m). Total earnings across the group before interest, tax, depreciation and amortisation fell by seven per cent to $175m. These figures included a charge of $15m relating to the phone-hacking scandal at the News of the World.

How about sales?

Total turnover for the global group slipped one per cent to $2.06bn. But the HarperCollins division performed well, up 14 per cent. It had success with American Sniper, the autobiography of the late Chris Kyle, which was made into a film starring Bradley Cooper.

Any other highlights?

Acquisitions helped offset lost revenue. In the online housing market sector it bought Move, which it has integrated with its realtor.com site. As a result of the deal, the digital real estate services sector saw a 67 per cent increase in sales.

What does chief executive Robert Thomson say?

“We believe the company is firmly on track and the signs are positive for year-over-year EBITDA growth in the fourth quarter.”

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