Fairfax Media (FXJ) is a blue chip diversified media company with a market capitalization of over $3.4 billion.

FXJ has posted a FY10 net profit of $282.1 million, swinging from a $380.1 million loss a year earlier.

On an underlying basis, net profit rose 23% to $278.7 million, beating market forecasts, with core earnings at most of FXJ’s divisions recording growth from a year ago, making it one of the ASX stock picks.

Earnings at the Australian Regional Media business fell 2% amid lower advertising revenue, however this was offset by strong growth at FXJ’s online division.

The first seven trading weeks of FY11 have been positive for FXJ, with revenues up 5% on-year, and if current trends continue, first-half earnings are expected to grow by the high single digits.

FXJ declared a final dividend of 1.4 cents per share, and its share price soared 4.4% on Friday.