Cablevision and Liberty Post Q3 Losses

14 November 2001

Two US media groups – Cablevision and Liberty Media – had mixed results for the third quarter.

Despite healthy growth at its cable-TV unit, Cablevision – owner of Madison Square Garden and the New York Knicks basketball team – posted a Q3 loss of $77.1 million, wider than last year’s $40.1m.

The group’s cable business, which has some 3m subscribers around New York, saw revenue increase 5% to $490m, while sales of its high-speed web service jumped 289%. The Rainbow Media Group unit, which houses cable networks such as Bravo and American Movie Classics, reported net income of $4.2m, up from $752,000 last year. Cablevision blamed the overall loss on the write-off of “certain Knicks players’ contracts”, but declined to elaborate.

Liberty Media – the investment vehicle of John Malone spun off from AT&T over the summer – posted a Q3 net loss of $215m, down from $1.76bn net income a year earlier (though the latter figure was boosted by asset sales). Revenues rose 19% to $521m.

The company’s pay-TV cable business Starz Encore saw cash-flow for the period jump 40% to $91m, with revenue up 15% to $217m.

News source: Wall Street Journal