• by Wayne Friedman , November 5, 2010

Liberty Media Corp.'s main businesses -- cable network retailer QVC and pay-TV network Starz Entertainment and Starz Media -- posted solid financial gains in its third-quarter reporting period.

Its Interactive Group -- primarily QVC -- posted revenue gains of 8% to $2.0 billion with operating income improving 13% to $220 million.

Company officials say QVC gained from new revenues by opening up new international territories and improvements in existing overseas markets. Overall, there was steady growth in accessories, apparel and home products. Liberty noted a decline in jewelry sales.

Liberty Starz -- the group that contains Starz Entertainment, its premium cable brand of movie channels -- posted a revenue increase of 5% to $319 million, with operating income up 15% to $87 million.

Starz Entertainment had 9% higher operating expenses due to raised programming costs associated with original programming, and pricier movie titles. At its Starz channels, subscription units gained 1%; with its Encore network brand subscriptions gaining 4%.

The company's other unit -- Liberty Capital Group, which houses Starz Media, its theatrical and home entertainment business and its Overture Films brand -- had a revenue gain of 47% to $89 million. The unit narrowed its operating losses substantially to $7 million from $73 million in the third quarter of 2009.

The improved Capital Group situation is due to the number and timing of films released theatrically, on home video and through television, as well as the marketing expenses associated with these films. Liberty says Starz Media businesses will move to the Liberty Starz unit in the future.

Liberty also has significant investments in other digital business, which have grown. InterActive Corp., Expedia, HSN, and others realized a value of $3.09 billion in the third quarter from $2.25 billion in the second quarter of 2010. (Financial results were assigned to Liberty Interactive Group.)

Investments in Sirius XM and other holdings have climbed to $6.1 billion from $5.3 billion over three months, assigned to Liberty Capital Group.