Fox Interactive Media (NWS-A), of which MySpace is part of, scored its first profitable year, bringing in $550 million in revenue with $10 million of that profit. That's especially impressive because it had amortization and retention costs of $80 million.
Executives at News Corp. had a good hand on the pulse of the division as they projected revenue of about $500 million for the second year of the company under their ownership.
In comparison to the first year, FIM doubled revenue for the quarter over last years same quarter. MySpace is the key generator of the revenue, as News Corp. CEO Rupert Murdoch said it's all on the back of MySpace.
Murdoch believes the company could break a billion in the next fiscal year, with operating margins of 20 percent. He projects MySpace will bring in over $800 million during that time.
Comment Preview