News Corp., owner of the Wall Street Journal and HarperCollins, reported a decline in quarterly revenue and profit due to foreign currency changes and a drop in ad sales at its newspapers.

Total revenue for the third quarter fell 1% to $2.06 billion. Analysts were expecting revenue of $2.11 billion, according to Thomson Reuters.

Revenue at its news and information services unit, which represents about 65% of the company’s overall revenue, declined 9% to $1.35 billion.

Advertising revenue from its newspapers fell 12% while circulation revenue declined 6% partly due to foreign currency fluctuations. At the Wall Street Journal advertising revenue fell 11%.

The company, which is controlled by Rupert Murdoch, has been diversifying into other areas most notably into digital real estate services. Revenue from that business increased 67% to $170 million.

Robert Thomson, CEO of News Corp, said in a statement that real estate will “underpin long-term expansion."

At its book publishing unit, revenue rose 14% to $402 million.

Net income attributable to shareholders fell to $23 million, or 4 cents per share, for the third quarter ended 31 March, from $48 million, or 8 cents per share, a year earlier.

Adjusted for items related to the hacking scandal in Britain, earnings per share was 5 cents. Reuters

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