MAIN NEWS HEADLINES
February 7 – February, 2008 Edition
$13 million Gain
In Second Quarter
NEW YORK, NY/2/4/08–HarperCollins Publishers reported second quarter operating income of $67 million, ending December 31 2007, an increase of $13 million versus the same period a year ago, due to charges relating to the bankruptcy filing of a major distributor. The 24% growth included strong sales of The Daring Book for Girls by Andrea J. Buchanan and Miriam Peskowitz, The Dangerous Book for Boys by Conn and Hal Iggulden and Deceptively Delicious by Jessica Seinfeld.
During the quarter, HarperCollins had 40 books on The New York Times bestseller list, including 5 titles that reached the #1 spot.
Meanwhile its parent News Corporation reported record seocn quarter operating income of $1.4 billion, al 24% increase on revenue growth of 10%. Net income increased to $832 million.
Commenting on the results, Chairman and Chief Executive Officer Rupert Murdoch said: “We are obviously proud of the results we delivered during the second quarter, the highest operating income quarter in our history, but most important is the balanced nature of our earnings momentum with double-digit growth at nearly every operating segment. Domestically, the strength of our broadcast network and cable assets has enabled us to capitalize on the current advertising market, while at the same time we continue to ramp up affiliate revenues across our cable channels. And our internet platform is now delivering real profits from locked in search revenues as well as from advertising revenue growth as a result of our hyper-targeting initiatives. We are also generating increased profits internationally led by continued subscriber growth at Sky Italia, expanded offerings from our Fox International Cable channels, and sustained strength at our Australian newspaper group. Our unrelenting focus on exploring new opportunities as consumer choice evolves and developing market leadership positions regardless of borders has enabled us to deliver consistently strong financial results irrespective of individual market conditions.”
News Corporation’s consolidated operating income for the second quarter of $1.4 billion was up 24% versus the $1.1 billion reported a year ago, primarily driven by double-digit percentage increases at nearly every operating segment and a $74 million improvement in the Direct Broadcast Satellite segment.