Rupert Murdoch's News Corp has swung to a loss partly due to the weakness of its publishing business, which includes newspapers like the Times and the Sun.
The fourth quarter net loss was $1.6bn(£1bn) compared with a net income of $683m in the same period last year.
The loss included a $2.9bn pre-tax restructuring charge.
The company plans to split into two, separating its profitable film and TV business from UK newspapers, embroiled in a phone-hacking scandal.
"News Corporation is in a strong operational, strategic and financial position, which should only be enhanced by the proposed separation of the media and entertainment and publishing businesses," Mr Murdoch said.
Its publishing division reported quarterly operating income of $139m, down from $270m reported in the same period a year ago, reflecting lower advertising revenues and the lack of sales from closed tabloid News of the World.
The $2.9bn charge is for "impairment and restructuring" - possibly ahead of the corporate split.
For the last financial year as a whole, the results include a $224m charge related to the legal costs over the phone-hacking scandal.
BBC
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