Fox Interactive Media's net income declined in the most recent quarter, but executives at News Corp., FIM's parent company, are optimistic about the future, thanks in large part to increased ad sales at MySpace.

Revenue at FIM was up to $225 million for the quarter, but income fell to $6 million, down from $24 million a year ago, due to in-house expenses such as website improvements.

One of the reasons executives have stayed cheerful is a dramatic increase in display advertising on MySpace, and several display categories have grown by 100 percent in the past year, according to the Washington Post. MySpace has long touted its ability to hypertarget directly to an audience based on the information users share in their profiles, and the CPMs for hypertargeted campaigns have doubled.

"We're actually quite pleased with the momentum at MySpace," said News Corp. CFO Dave Devoe. "We're pacing well against internal expectations."

The social network underwent the first steps in a redesign in the last quarter, and big-name advertisers are taking advantage of the new look and the ability to buy homepage takeovers, according to ClickZ. More ads are apparently making a better user experience, because MySpace members spent 54 percent more time on the website compared to the same quarter a year ago, according to FIM.