Rupert Murdoch “”I think the worst may be behind us”
August 6, 2009 by Bill Sobel
Filed under People
image courtesy of scrapetv.com
UPDATE: Nat Worden | August 06, 2009
Dow Jones Newswires
RUPERT Murdoch said today News Corporation was poised to return to profit as the global economy rebounds.
News Corp poised to return to profit
The comments by chief executive and chairman of the media giant came after the company swung to a fourth-quarter loss as a strong performance from its cable networks couldn’t make up for the economic downturn and advertising slump.
Its full-year results were roughly in line with its forecast, which News Corp had lowered twice as the financial crisis engulfed Wall Street and the global recession hit around the world. It posted a 32.5 per cent drop in fiscal-year adjusted operating income after telling investors in May that it expected a decline of around 30 per cent.
Like other media giants, News Corp is struggling to find growth sources while the rise of digital communications wreaks havoc on the industry’s traditional business models.
Its shares have lost more than a quarter of their value over the last 12 months, although the stock has rallied by nearly 16 per cent in 2009 on hopes that an economic recovery is near.
“I am certain that News Corp is poised to profit, and deliver strong returns, as the economy rebounds,” said Mr Murdoch.
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