News Corp (NASDAQ:NWSA) (NASDAQ:NWS) announced its earnings for the first three months of 2013 today, Wednesday May 8, after the market closed. The company showed earnings of $36 cent per share for the quarter, which the company records as its third fiscal quarter. In the first three months of the year News Corp (NASDAQ:NWSA) took in revenue of $9.54 billion.

news corp logo

On today’s market, shares in News Corp (NASDAQ:NWSA) (NASDAQ:NWS) trended down and closed on today’s market at $31.86. So far in 2013 shares in the media conglomerate have gained more than 21 percent, beating the gains of the wider market. Many large hedge funds are betting on News Corp (NASDAQ:NWSA) (NASDAQ:NWS) hoping it can compound recent growth. The firm has gained more than 60 percent in the last twelve months.

In anticipation of the release of these numbers, analysts following News Corp (NASDAQ:NWSA) (NASDAQ:NWS) were looking for earnings of 38 cents per b-class share on revenue of $9.1 billion. The first three months of 2012 saw the company take in 37 cents per b-class share on revenue of $8.4 billion. In the hours leading up to the revelation of the company’s earnings report, whisper numbers suggested that News Corp (NASDAQ:NWSA) (NASDAQ:NWS) would beat the estimates set by analysts by 8-10 percent on earnings.

News Corp (NASDAQ:NWSA) (NASDAQ:NWS) is currently having trouble in Italy. Its Italian subsidiary Sky Italia has seen a huge exodus from its subscriber base on problems in the wider Italian economy. News Corp is also losing money in the United States, as one of its most famous brands, American Idol, begins to sink into obscurity.

A move announced in April will see News Corp (NASDAQ:NWSA) (NASDAQ:NWS) stick with the company’s poorly performing publishing arm while the firm’s other media offerings will be traded under the name 21st Century Fox. The spin off is expected to take place in the coming months.

Media conglomerates are constantly prone to problems with changing customer tastes, and American Idol has been around long enough for News Corp (NASDAQ:NWSA) (NASDAQ:NWS) to put it to rest without too much regret. The problem lies in finding something to replace the giant, but Fox has regularly managed to provide huge amounts of quality content.

Once News Corp (NASDAQ:NWSA) (NASDAQ:NWS) is split, there could be a great deal of value for shareholders. The media arm has long been held back by poor numbers from publishing, and investors might prefer a future unfettered by wasted newspaper.