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Goodwill Charges Lead Discovery Holding to Q3 Loss

Nov 13, 2006  •  Post A Comment

Discovery Holding Co. on Monday reported a net loss of $76.6 million in the third quarter, with $93 million in goodwill charges reversing $1.2 million in net earnings a year ago.

Net revenue rose to $169.9 million from $168 million a year ago.

Discovery Holding Co. comprises a 50 percent interest in Discovery Communications, a 100 percent interest in Ascent Media Group and 100 percent ownership interest in Ascent Media.

Revenues for Discovery Communications’ U.S. cable networks increased 10 percent to $469 million and operating cash flow improved 14 percent to $188 million. A 1 percent decline in advertising revenues caused by what the company described as lower sell-out rates and a soft ad market were offset by a gain of 18 percent in distribution revenues.