News Corp. (NYSE: NWS)said on Wednesday that its third quarter profits rose by 6.2 percent from the previous year on strong performance from its film and cable news divisions.
The firm said it earned $871 million, or 27 cents a share, compared to the $820 million or 26 cents a share in the same period a year ago.
The company, whose U.S. properties include the Fox television network, and the New York Post, said revenue rose 21 percent to $7.53 billion.
News Corp. match analysts estimates for net income and exceeded the forecast for revenue. Analysts polled by Thomson Financial were expecting a profit of 27 cents per share on $6.81 billion in sales.
Income from the company's film and television studios soared 82 percent to operating income of $410 million. The quarter included a number of theatrical releases, as well as DVD titles such as The Devil Wears Prada.
We continue to be pleased with the broad-based momentum we are achieving across our various operating segments, said chairman and CEO Rupert Murdoch, in a statement. While filmed entertainment's record quarter was the biggest driver of our 23% operating income and 21% revenue growth, it was far from our only catalyst.
Cable-network revenue, from such channels as FX, Fox News Channel and the regional Fox Sports networks, rose 34 percent to $282 million from $211 million last year.
In the category News Corp. classifies as other, which includes the social networking site MySpace, operating income rose to $104 million from $59 million.
The company confirmed last week that it had made a $5 billion bid for Dow Jones & Co., owner of the Wall Street Journal, Barrons, and Marketwatch.com. Acquiring Dow Jones could help News Corp. bolster its entry into its already planned financial news cable channel.
On Monday the news giant also sold its 7.5 percent stake in Australian newspaper publisher Jon Fairfax Holdings Ltd for $310 million.