News Corporation (NWS) saw its loss narrow to $5 million, or $0.01 a share for the quarter ended Mar. 31, 2017. In the previous year period, the company reported a loss of $149 million, or $0.26 a share. On the other hand, adjusted net income for the quarter stood at $39 million, or $0.07 a share compared with $25 million or $0.04 a share, a year ago. Revenue during the quarter grew 4.60 percent to $1,978 million from $1,891 million in the previous year period.
Commenting on the results, chief executive Robert Thomson said: "In the third quarter, we saw particular progress in our quest to be more digital and global, while there was tangible improvement in operating efficiencies. We posted solid revenue growth and substantial earnings growth, highlighted by momentum in Digital Real Estate Services, where realtor.com continued to expand traffic, revenue and profitability.
Operating cash flow drops significantlyNews Corporation has generated cash of $219 million from operating activities during the nine month period, down 58.13 percent or $304 million, when compared with the last year period. The company has spent $49 million cash to meet investing activities during the nine month period as against cash outgo of $688 million in the last year period.
The company has spent $152 million cash to carry out financing activities during the nine month period as against cash inflow of $204 million in the last year period.
Cash and cash equivalents stood at $1,850 million as on Mar. 31, 2017, down 6.19 percent or $122 million from $1,972 million on Mar. 31, 2016.
Working capital increases marginally
News Corporation has recorded an increase in the working capital over the last year. It stood at $1,301 million as at Mar. 31, 2017, up 3.50 percent or $44 million from $1,257 million on Mar. 31, 2016. Current ratio was at 1.53 as on Mar. 31, 2017, up from 1.47 on Mar. 31, 2016.
Days sales outstanding went down to 62 days for the quarter compared with 64 days for the same period last year.
Debt comes down significantly
News Corporation has recorded a decline in total debt over the last one year. It stood at $273 million as on Mar. 31, 2017, down 26.02 percent or $96 million from $369 million on Mar. 31, 2016. NEWS has recorded a decline in long-term debt over the last one year. Total debt was 1.83 percent of total assets as on Mar. 31, 2017, compared with 2.35 percent on Mar. 31, 2016. Debt to equity ratio was almost stable at 0.02 as on Mar. 31, 2017, when compared with the last year. Interest coverage ratio improved to 485.38 for the quarter from 368.55 for the same period last year. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
