Losses Continue for Crown Media

For the second quarter in a row, Crown Media Holdings Inc. reported a net loss. For the period ending June 30, the owner of the Hallmark Channel reported a loss of $227,000, or $2.17 per diluted share, on revenue of $50.5 million. That figure is an increase from the net loss of $56,225, or $0.54 per diluted share, on revenue of $45.6 million from the same reporting period in 2005. For the six month period ending June 30, Studio City-based Crown reported revenue of $95.4 million, an increase of nearly 11 percent from the $86.2 million in revenue for the first six months of 2005. The Hallmark Channel increased its subscriber base by 7 percent to 73.3 million by the end of the quarter. In June, the company announced it acquired the rights to a package of 39 Warner Bros. films, including the exclusive television premiers of “March of the Penguins” and “Troy.” “The fundamentals of our business are strong,” Crown Media Chief Operating Officer Paul FitzPatrick said, in a statement. “We are adding new subscribers even at these high levels of penetration, the appeal of our programming are driving record ratings, and the growth in our advertising revenues reflects the continued success of our programming strategy.”