News Corp reported on revenue for the fourth quarter, which did not reach forecasts, since the Wall Street Journal, which owns the newspaper, is struggling with a decline in demand for advertising in the printing industry.
The company, which owns Dow Jones Newswires, reduces the number of staff and resorts to other cost-cutting measures in the division to which the Dow Jones belongs, and which includes the Wall Street Journal, while developing a division of online real estate services.
Revenue of the last unit, which includes REA Group Ltd, a real estate advertising company in Australia, grew by about 10% to $ 251 million, exceeding the forecast of $ 243.2 million, according to the analytical company FactSet.
Revenue from advertising, which is the main source of revenue for the company, fell 8.2% to $ 737 million in the fourth quarter.
Total revenue decreased by 6.6% to $ 2.08 billion, not reaching the forecast at $ 2.10 billion.
Sales of print ads that have been down for the last ten years are expected to fall 13% in the US in 2017, according to research firm Magna Intelligence.
News Corp, controlled by media tycoon Rupert Murdoch, reported a net loss attributable to shareholders of $ 430 million, or 74 cents per share, in the fourth quarter that ended June 30, against a profit of $ 89 million, or 15 cents per share, in the year earlier.
The company said it earned 11 cents per share on an adjusted basis against 9 cents per share forecast, according to Thomson Reuters I/B/E/S.
On Friday, the US stock markets opened higher for the first time in four days due to data that pointed to low inflation, which could prevent the Fed from raising the rate this year, although investors remained cautious due to increased tensions between the US and North Korea.
Nevertheless, the S&P 500 may show a maximum weekly decline in about nine months.