Liberty sees $2.13 B Q2 net loss, revenue up 34%
Newly independent Liberty Media saw its second-quarter revenue rise by 34 percent, but reports a net loss of $2.13 billion, or 82 cents a share.
The company, which split from AT&T last week, also expects to acquire a 100 percent interest in six of Deutsche Telekom's nine cable TV companies sometime in the next few weeks.
The company's $2.13 billion net loss compares with a net income of $267 million, or 10 cents a share, a year ago. Revenue reached $513 million, up 34 percent from $382 million a year ago. Another $2 billion loss stems from Liberty's share in affiliate companies and is far wider than the $412 million loss from affiliates a year ago. Liberty's investments in other companies, including many throughout Europe, have dropped in value with the industry downturn.
Liberty also updated investors on the proposed purchase of Deutsche Telekom's cable TV companies for $4.7 billion, noting that negotiations should wrap up in the next few weeks. The deal also would give Liberty control of all of Deutsche Telekom's remaining cable activities in regions served by Deutsche Telekom Kabel-Services GmbH and Media Services GmbH. The company also indicated an agreement in principle to grant an unnamed third party an option to buy a 24.9 percent interest in the cable activities.