SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C.  20549


                                    FORM 10-Q


                   QUARTERLY REPORT UNDER SECTION 13 OR 15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934


For Quarter Ended October 31, 1996    Commission File #0-15284



                         J2 COMMUNICATIONS                       
             (Exact name of registrant as specified in its charter)


        California                            95-4053296         
(State or other jurisdiction         (IRS Employer Identification
incorporation or organization)                 Number)


10850 Wilshire Blvd., Ste. 1000, Los Angeles, CA  90024         
                     (Address of principal executive office)


Registrant's telephone number, including area code: 310-474-5252


Indicate by check mark whether the registrant (1) has filed all
reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act of 1934 during the preceding 12 months
and (2) has been subject to such filing requirements for the past
90 days.  Yes   X      No      


Number of shares outstanding of each of the issuers classes of
common stock as of the latest practicable date:  3,599,987
common shares, no par value were outstanding as of November 25,
1996.

     



J2 COMMUNICATIONS AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
<TABLE>
<S>                                            <C>                      <C>
                                             10/31/96            7/31/96
                                             Unaudited                        
Assets       

Cash and cash equivalents                         $  509,000         $  120,000
Short term investments                         916,000          1,014,000 
Accounts receivable - net                             37,000             36,000
Inventories - net                               13,000             14,000
Intangible assets, less accumulated
  amortization of $1,889,000 and
  $1,829,000 as of 10/31/96 and
  7/31/96, respectively                            4,076,000          4,136,000
Other assets                                    47,000                  47,000
                                                                          
Total assets                                $5,598,000         $5,367,000

Liabilities and Shareholders' Equity

Liabilities:

Accounts payable                            $  127,000         $  112,000
Accrued expenses                               730,000            683,000
Accrued royalties                              472,000            466,000
Accrued income taxes                                  38,000             38,000
Deferred income                                215,000            213,000
Common stock payable                                 203,000            203,000
                                                                          
Total liabilities                                  1,785,000          1,715,000

Shareholders' Equity:

Preferred stock, no par value; authorized
  2,000,000 shares; none issued and outstanding                -                  
     -

Common stock, no par value; authorized 8,000,000
  shares; issued and outstanding, 3,600,000
  as of 10/31/96 and 7/31/96                       8,650,000          8,648,000
Less: notes receivable on common stock              (117,000)          (115,000)
Accumulated deficit                               (4,720,000)        (4,881,000)
                                                                          
Total shareholders' equity                         3,813,000          3,652,000
                                                                          
Total liabilities and shareholders' equity        $5,598,000         $5,367,000 

</TABLE>



J2 COMMUNICATIONS AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
THREE MONTHS ENDED OCTOBER 31, 1996 AND 1995
<TABLE>
<S>                                     <C>            <C>       
                                          1996           1995  
  

Revenues:
 Movies, television, and theatrical     $ 350,000      $ 209,000
 Video sales, net of returns               26,000         43,000
 Royalty income                            26,000         14,000
 Magazine                                   1,000          4,000
 Other                                     15,000         24,000
                                                                 
  Total revenues                          418,000        294,000
                                                                 
Costs and expenses:
 Cost of videocassettes sold               15,000         21,000
 Royalty expense                           12,000          7,000
 Selling, general and administrative      175,000        177,000
 Amortization of intangible assets         60,000         60,000
                                                                 
   Total expenses                         262,000        265,000   
                                                                 
Income from operations                    156,000         29,000   
                
   
Other income:

 Interest income                           12,000         15,000
                                                                 
                            
Income before income taxes                168,000         44,000

Provision for income taxes                  7,000           -      
     
                                                                 
Net income                              $ 161,000      $  44,000 



Income per common share:

 Net income per share                       $0.04          $0.01 

 Weighted average number of shares
  of common stock outstanding           3,600,000      3,600,000

</TABLE> 
J2 COMMUNICATIONS AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
THREE MONTHS ENDED OCTOBER 31, 1996 AND 1995
<TABLE>
<S>                                   <C>               <C>

                                           1996                      1995    

Cash flows from operating activities:

Net income                             $161,000           $ 44,000   
Adjustments to reconcile net income to
 net cash provided by (used in)
 operating activities:

    Amortization of intangible assets          60,000              60,000
    Changes in assets and liabilities:
    Accounts receivable, net                   (1,000)             (9,000)
    Inventory                                   1,000              (2,000)
    Accounts payable                           15,000              (3,000)
    Accrued expenses                           47,000              26,000
    Accrued royalties                           6,000             (20,000) 
    Deferred revenues                           2,000                   -   
                                                                             
    Net cash provided by 
    operating activities                      291,000              96,000
                                                                             

Cash flows from investing activities:

    Purchase of short-term investments       (192,000)           (140,000) 
    Sale of short-term investments            290,000                   -
                                                                             
    Net cash provided by (used in) investing
     activities                                98,000                  (140,000)  
 

Cash flows from financing activities:
                                                                             
    Net cash used in financing
     activities                                     -                   -
                                                                             
Net increase (decrease) in cash 
 and cash equivalents                         389,000             (44,000)
Cash and cash equivalents,
 beginning of quarter                         120,000             301,000  
                                                                             
Cash and cash equivalents,
 end of quarter                             $ 509,000                $  257,000    
</TABLE>

                         J2 COMMUNICATIONS
       NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS
            FOR THE THREE MONTHS ENDED OCTOBER 31, 1996


Item 1

Basis of Financial Statement Presentation

The consolidated financial statements of J2 Communications and
subsidiaries (collectively the "Company") have been prepared in
accordance with generally accepted accounting principles for
interim financial information.  Interim financial statements do
not include all of the information and footnotes required by
generally accepted accounting principles for complete year-end
financial statements.  The accompanying financial statements
should be read in conjunction with the more detailed financial
statements and related footnotes for the fiscal year ended July
31, 1996, as included in the Company's 1996 Annual Report on Form
10-K (the "Annual Report") filed with the Securities and Exchange
Commission.  A signed independent accountant's report relating to
the July 31, 1996 balance sheet is included in the Annual Report. 
Significant accounting policies used by the Company are
summarized in Note 1 to the financial statements included in the
Annual Report.

In the opinion of management, all adjustments (which include only
recurring normal adjustments) required for a fair presentation of
the financial position of the Company as of October 31, 1996, and
the results of its operations and cash flows for the periods
ended October 31, 1996 and 1995 respectively, have been made. 
Operating results for the three-month period ended October 31,
1996, are not necessarily indicative of the operating results for
the entire fiscal year.
 

Earnings Per Share

Earnings per share are calculated using the weighted average
number of common shares outstanding during the period.  The
inclusion of outstanding warrants and stock options in the
earnings per share calculation would have no dilutive effect on
the earnings per share in 1996 or 1995.

Shareholders Equity

The increase in common stock during the period relates to accrued
interest on notes receivable on common stock.





               MANAGEMENT'S DISCUSSION AND ANALYSIS
         OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS


Results of Operations

Quarter Ended October 31, 1996 Versus October 31, 1995

Total revenues for the period were $418,000 compared with
$294,000 in the prior year quarter.  Movies, television and
theatrical revenues were $350,000 compared with $209,000 in the
prior year period. The improvement was due primarily to an
increase of $143,000 in the profit participation from the film
"National Lampoon's Animal House" that was originally released in
1978.  "National Lampoon's Loaded Weapon I", originally released
in 1993, produced income of $102,000 in the current quarter
compared with $126,000 in the prior year quarter.  Video sales of
$26,000 were down $17,000 from the corresponding 1995 quarter. 
The Company has de-emphasized this segment of its business due to
declining profitability.

Cost of videocassettes sold as a percent of sales increased to
58% in the first quarter of fiscal 1996 compared with 49% in
fiscal 1995 due primarily to price discounting.
 
Selling, general and administrative expenses were $175,000 in the
current quarter, compared with $177,000 in the corresponding
prior period.  There was no major change in any individual
category of expense.

There was no significant provision for income taxes in either
quarter because of the utilization of tax loss carryforwards.

Net income for the current quarter was $161,000 equal to $0.04
per share compared with a net income of $44,000 in the
corresponding prior year quarter, equal to $0.01 per share.  The
improvement is primarily due to the increase in revenues from
movies.

Liquidity and Capital Resources

Cash and short term investments at October 31, 1996 totaled
$1,425,000, an increase of $291,000 from the July 31, 1996 fiscal
year end.  The improvement primarily reflects net income of
$161,000, a non-cash charge of $60,000 for the amortization of
intangible assets and an increase in accrued expenses of $47,000.


The Company has no current plans for any significant capital
expenditures in its current line of business and believes that
its current level of cash and cash equivalents, augmented by
internally generated funds, will provide sufficient cash
resources through fiscal 1997.  

The Company is considering establishing a restaurant chain to be
called "National Lampoon Cafe".  Should it enter this new line of
business, significant capital would be required.







                              PART II

Item 1 - Legal Proceedings

         None

Item 2 - Changes in Securities

         None

Item 3 - Defaults Upon Senior Securities

         None

Item 4 - Submission Of Matters For A Vote Of Security Holders

         None

Item 5 - Other Information

         Not Applicable

Item 6 - Exhibits And Reports On Form 8-K

         Exhibit 27 Financial Data Schedule


 




                            SIGNATURES



     Pursuant to the requirements of the Securities Exchange Act
of 1934, the Registrant has duly caused this report to be signed
on its behalf by its duly authorized officers.





Date_________________         By:______________________
                                 JAMES P. JIMIRRO
                                 Chairman of the Board
                                 President




Date_________________         By:______________________
                                 GARY G.COWAN
                                 Chief Financial Officer