Live Entertainment Posts 36% Decline in Net Income

Live Entertainment Inc., a Van Nuys home video supplier, reported declines in its net income for the latest quarter and nine-month period, despite large gains in revenues for both periods.

For the third quarter that ended Sept. 30, Live earned $7.95 million, down 36% from $12.4 million a year earlier. Revenues rose 84% to $182.7 million from $99.3 million.

In the nine months that ended Sept. 30, Live’s net income dropped 21% to $11.9 million from $15.5 million, while revenues increased 86% to $475.5 million from $256.1 million.

Live said the lower net income figures were recorded despite higher operating profits for both periods, and reflected a higher effective tax rate in 1990 and favorable tax treatment in 1989 because of life insurance proceeds.