UNITED STATES
                    SECURITIES AND EXCHANGE COMMISSION
                        WASHINGTON, D.C.  20549



                               FORM 10-QSB


(Mark One)

/x/	Quarterly Report Pursuant to Section 13 or 15(d) of the Securities 
Exchange Act of 1934

                For the quarterly period ended March 31, 1996

OR

/ /	Transition Report Pursuant to Section 13 or 15(d) of the 
Securities Exchange Act of 1934

    For the transition period from _______________ to _______________


                      Commission file number 0-17219


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


             Utah                                        87-0398877
  (State or other jurisdiction of                      (IRS Employer
   incorporation or organization)                    Identification No.)

  1825 Research Way, Salt Lake City, Utah                  84119
  (Address of principal executive offices)               (Zip Code)


   Registrant's telephone number, including area code:  (801) 975-7200


                              NOT APPLICABLE
             (Former name, former address and former fiscal year,
                        if changed since last report.)


      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 (or for such shorter
period that the registrant was required to file such reports), and (2) 
has been subject to such filing requirements for the past 90 days.

                           /x/  Yes     / /  No

      Indicate the number of shares outstanding of each of the issuer's
classes of common stock as of the latest practicable date.

      Class of Common Stock                              May 10, 1996
         $0.001 par value                              7,662,375 shares




                    GENTNER COMMUNICATIONS CORPORATION

                            BALANCE SHEETS


                                                (Unaudited)
                                                 March 31,      June 30,
                                                    1996          1995
                                                 ---------     ---------
                     ASSETS
Current assets:
  Cash and cash equivalents . . . . . . . . . .$   196,590  $    119,238
  Accounts receivable . . . . . . . . . . . . .  1,316,678     1,644,376
  Inventory . . . . . . . . . . . . . . . . . .  3,596,578     3,324,866
  Other current assets . . . . . . . . . . . .     192,763       140,088
                                                 ---------     ---------
    Total current assets . . . . . . . . . . .   5,302,609     5,228,568

Property and equipment, net . . . . . . . . . .  1,577,123     1,829,161
Other assets, net . . . . . . . . . . . . . . .    129,486       140,731
                                                 ---------     ---------
    Total assets . . . . . . . . . . . . . . . $ 7,009,218  $  7,198,460
                                                 =========     =========

      LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
  Notes payable . . . . . . . . . . . . . . . .$ 1,125,382  $  1,508,687

  Accounts payable . . . . . . . . . . . . . .     614,266       943,723
  Accrued expenses . . . . . . . . . . . . . .     223,247       297,426
  Current portion of long-term debt . . . . . .    167,829        93,506
  Current portion of capital lease obligations     136,129       128,486
                                                 ---------     ---------
    Total current liabilities . . . . . . . . .  2,266,853     2,971,828

Long-term debt . . . . . . . . . . . . . . . .     459,231       229,372
Capital lease obligations . . . . . . . . . . .    198,104       283,799
                                                 ---------     ---------
    Total liabilities . . . . . . . . . . . . .  2,924,188     3,484,999

Shareholders' equity:
  Common stock, 50,000,000 shares authorized, par
   value $.001, 7,662,375 and 7,455,375 shares
   issued and outstanding at March 31, 1996
   and June 30, 1995 . . . . . . . . . . . . .       7,662         7,455
  Additional paid-in capital . . . . . . . . .   4,386,747     4,244,641
  Accumulated deficit . . . . . . . . . . . . .   (309,379)     (538,635)
                                                 ---------     ---------
    Total shareholders' equity . . . . . . . .   4,085,030     3,713,461
                                                 ---------     ---------
    Total liabilities and shareholders' equity $ 7,009,218  $  7,198,460
                                                 =========     =========




                    GENTNER COMMUNICATIONS CORPORATION

                         STATEMENTS OF OPERATIONS


                                                       (Unaudited)
                                                    Three Months Ended
                                                        March 31,
                                                 -----------------------
                                                    1996          1995
                                                 ---------     ---------
Net sales . . . . . . . . . . . . . . . . . . .$ 2,378,502  $  3,046,771
Cost of goods sold . . . . . . . . . . . . . .   1,315,558     1,882,207
                                                 ---------     ---------
    Gross profit . . . . . . . . . . . . . . .   1,062,944     1,164,564

Operating expenses:
  Marketing and selling . . . . . . . . . . . .    542,712       625,709
  General and administrative . . . . . . . . .     326,940       362,825
  Product development . . . . . . . . . . . . .    266,607        88,817
                                                 ---------     ---------
    Total operating expenses . . . . . . . . .   1,136,259     1,077,351
                                                 ---------     ---------
    Operating income (loss) . . . . . . . . . .    (73,315)       87,213

Other income (expense):
  Interest income . . . . . . . . . . . . . . .        500           359
  Interest expense . . . . . . . . . . . . . .     (37,357)      (59,885)
  Other, net . . . . . . . . . . . . . . . . .     (12,587)       (5,678)
                                                 ---------     ---------
    Total other income (expense) . . . . . . .     (49,444)      (65,204)
                                                 ---------     ---------
Income before income taxes . . . . . . . . . .    (122,759)       22,009

Provision (benefit) for income taxes . . . . .     (26,757)         -
                                                 ---------     ---------
    Net income (loss) . . . . . . . . . . . . .$   (96,002) $     22,009
                                                 =========     =========




Net earnings (loss) per common share . . . . . $     (0.01) $       -
                                                 =========     =========




                    GENTNER COMMUNICATIONS CORPORATION

                         STATEMENTS OF OPERATIONS


                                                       (Unaudited)
                                                    Nine Months Ended
                                                        March 31,
                                                 -----------------------
                                                    1996          1995
                                                 ---------     ---------
Net sales . . . . . . . . . . . . . . . . . . .$ 8,228,662  $  7,985,150
Cost of goods sold . . . . . . . . . . . . . .   4,388,948     4,651,902
                                                 ---------     ---------
    Gross profit . . . . . . . . . . . . . . .   3,839,714     3,333,248

Operating expenses:
  Marketing and selling . . . . . . . . . . . .  1,706,118     1,707,853
  General and administrative . . . . . . . . .   1,026,936     1,291,859
  Product development . . . . . . . . . . . . .    718,819       570,856
                                                 ---------     ---------
    Total operating expenses . . . . . . . . .   3,451,873     3,570,568
                                                 ---------     ---------
    Operating income (loss)  . . . . . . . . .     387,841      (237,320)

Other income (expense):
  Interest income . . . . . . . . . . . . . . .      1,987        11,495
  Interest expense . . . . . . . . . . . . . .    (135,882)     (116,861)
  Other, net . . . . . . . . . . . . . . . . .     (24,690)        2,509
                                                 ---------     ---------
    Total other income (expense) . . . . . . .    (158,585)     (102,857)
                                                 ---------     ---------
Income (loss) before income taxes . . . . . . .    229,256      (340,177)

Provision (benefit) for income taxes  . . . . .       -             -
                                                 ---------     ---------
    Net income (loss) . . . . . . . . . . . . .$   229,256  $   (340,177)
                                                 =========     =========




Net earnings (loss) per common share . . . . . $      0.03  $      (0.05)
                                                 =========     =========



                    GENTNER COMMUNICATIONS CORPORATION

                    CONDENSED STATEMENTS OF CASH FLOWS

                                                      (Unaudited)
                                                   Nine Months Ended
                                                       March 31,
                                               -------------------------
                                                  1996           1995
                                               ----------     ----------
Cash flows from operating activities:
  Cash received from customers . . . . . . . $  8,518,852  $   7,547,888
  Cash paid to suppliers and employees . . .   (8,150,951)    (9,523,333)
  Interest received . . . . . . . . . . . . .       3,862         10,370
  Interest paid . . . . . . . . . . . . . . .    (144,178)      (111,873)
  Income taxes refunded (paid) . . . . . . .      (25,900)       243,743
                                               ----------     ----------
    Net cash provided by (used in) operating
     activities . . . . . . . . . . . . . . .     201,685     (1,833,205)
                                               ----------     ----------
Cash flows from investing activities:
  Purchases of property and equipment . . . .    (109,925)      (592,584)
  Increase in capitalized software development
   and purchased software costs. . . . . . .         -           (95,700)
  Decrease (increase) in other assets . . . .      25,944        (17,697)
                                               ----------     ----------
    Net cash used in investing activities . .     (83,981)      (705,981)
                                               ----------     ----------
Cash flows from financing activities:
  Proceeds from employee stock option exercises   142,313           -
  Net borrowings (repayments) under line of
   credit . . . . . . . . . . . . . . . . . . .   (99,618)     1,450,000
  Issuance of short-term notes to vendors . .        -           602,902
  Principal payments of short-term notes to
   vendor . . . . . . . . . . . . . . . . . .    (283,687)          -
  Proceeds from issuance of long-term debt .      400,000        282,500
  Principal payments of capital lease obligations(103,542)      (130,049)
  Principal payments of long-term debt . . .      (95,818)       (59,149)
                                               ----------     ----------
    Net cash provided by (used in) financing
     activities . . . . . . . . . . . . . . .     (40,352)     2,146,204
                                               ----------     ----------
Net increase (decrease) in cash . . . . . . .      77,352       (392,982)
Cash at the beginning of the year . . . . . .     119,238        433,824
                                               ----------     ----------
Cash at the end of the period . . . . . . . .$    196,590  $      40,842
                                               ==========     ==========


Supplemental disclosure of cash flow information:
  Property and equipment financed by capital
   leases . . . . . . . . . . . . . . . . .  $     25,490  $     127,113
                                               ==========     ==========




                    GENTNER COMMUNICATIONS CORPORATION

                       NOTES TO FINANCIAL STATEMENTS
                              March 31, 1996
                                (Unaudited)

1. Basis of Presentation

  The accompanying unaudited financial statements have been prepared
in accordance with generally accepted accounting principles for interim
financial information and with the instructions to Form 10-QSB of 
Regulation S-B.  Accordingly, certain information and footnote 
disclosures normally included in complete financial statements have been 
condensed or omitted.  These financial statements should be read in 
conjunction with the financial statements and footnotes thereto included 
in the Company's 1995 Annual Report on Form 10-KSB.

  In the opinion of management, all adjustments (consisting of normal 
recurring adjustments) considered necessary for a fair presentation have 
been included.  The results of operations for interim periods are not 
necessarily indicative of the results of operations to be expected for
the full year.


2. Earnings (Loss) Per Common Share

  Earnings (loss) per common share was calculated using the modified 
treasury stock method.  The weighted average number of common shares 
outstanding for the three months ended March 31, 1996 and 1995 were 
7,662,375 and 7,338,375, respectively.  Amounts for the nine months 
ended March 31, 1996 and 1995 were 7,632,139 and 7,338,375, 
respectively.  Stock options and warrants to purchase common stock have 
been excluded from the per share amounts for all periods inasmuch as the 
effects were antidilutive.


3. Inventory

  Inventory is summarized as follows:
                                                (Unaudited)
                                                 March 31,    June 30,
                                                   1996         1995
                                                 ---------    ---------
      Raw materials . . . . . . . . . . . . . .$   987,496 $    959,478
      Work in progress . . . . . . . . . . . .     971,578    1,380,393
      Finished goods . . . . . . . . . . . . .   1,637,504      984,995
                                                 ---------    ---------
        Total inventory . . . . . . . . . . . .$ 3,596,578 $  3,324,866
                                                 =========    =========




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



Results of Operations

	Sales for the three months ended March 31, 1996 decreased 22% 
compared to the same period during the prior fiscal year.  Weather 
factors and the federal government shutdown were the primary reasons for 
the third quarter decline.  The decrease was virtually offset by sales 
increases earlier in the fiscal year attributable to shipments of new 
products.  As a result, sales for the nine-month period grew 3% over the 
same period during fiscal 1995.

	Broadcast sales decreased 23% during the third quarter of fiscal 
1996.  The Company distributes a significant amount of its broadcast 
products through dealers located in the Northeastern part of the United 
States.  During the month of January, severe winter weather conditions 
in that area affected several of these businesses and their customers 
who postponed orders.  In addition, capital investment plans by 
broadcast customers were uncertain until the passage of recent 
Telecommunications legislation.  After the Telecommunications bill was 
passed, the approval of station ownership changes affecting such plans 
were interrupted by the temporary shutdown of the Federal Communications 
Commission.  Despite the quarterly decline, Broadcast market sales for 
the nine months ended March 31, 1996 were up 6% over the same comparable 
period during fiscal 1995.  The increased sales from earlier in the 
fiscal year were due to the Company's new TS612 talk show telephone 
system.  The Company has received favorable customer response to this 
product, and has finalized new system enhancements which it introduced 
during the last three months.  Increased sales also resulted from 
another new product, the Company's recently introduced Telehybrid 
telephone interface unit.  This new product allows broadcasters to make 
easy connections to either digital or analog phone lines in various "on-
air" broadcast applications.  Sales during the coming year are also 
anticipated to increase as a result of the new GSC-3000 product series 
that was unveiled at the April National Association of Broadcasters 
trade show in Las Vegas.  The new hardware and software products are 
designed to augment the Company's existing transmitter site control 
products by allowing station managers to monitor several different sites 
using PC-based networked systems.

	Sales to the audio segment of the Teleconferencing market (the 
"Audioconferencing" market) were also comparatively lower, decreasing by 
22% during the three-month period as compared to the previous fiscal 
year.  Weather conditions caused similar problems with customers in this 
market as well.  However, these sales decreases were affected more by 
the federal government situation.  A significant number of the Company's 
audioconferencing systems are utilized in distance learning applications 
located at higher education facilities.  The Company's dealers bid many 
of these systems to universities and colleges who purchase the equipment 
using federal grants.  While grant approvals at federal agencies were 
temporarily suspended, time-sensitive bids expired requiring dealers to 
prepare new bid packages.  Sales during the first part of the fiscal 
year were higher than in fiscal 1995, resulting in year-to-date 
Audioconferencing sales remaining relatively flat.  The higher sales 
experienced earlier in the year were primarily due to shipments of the 
new AVT line of products.  These units were designed specifically for 
use in conjunction with videoconferencing  and distance learning.  Also 
contributing to Audioconferencing sales throughout the current fiscal 
year were shipments of the ET100 portable audioconferencer.  The Company 
spent time earlier in the 1996 fiscal year making design modifications 
and improvements to the ET100, and released version 2.0 during the 
second fiscal quarter.  The Company expects sales of its portable 
audioconferencers to grow further, particularly as a result of shipments 
of its recently announced ET10 portable audioconferencer, the first full 
duplex conferencing product designed for use in an individual office or 
cubicle.  The Company began ET10 shipments during February of 1996.

	The Company's gross profit margin percentage increased from 38% to 
45% during the three months ended March 31, 1996, as compared to last 
year's third quarter.  Most of the difference is because the gross 
profit margin was lower than usual during last year's third quarter.  
During the three months ended March 31, 1995, the Company made several 
improvements in manufacturing processes.  Included therein were 
extensive revisions and updates made to the standard costs of several 
products and product subassemblies.  These adjustments resulted in a 
devaluation of the total recorded inventory cost by approximately 
$160,000.  Accordingly, the Company reflected the change as additional 
cost of goods sold during that quarter.  The revised product costs, 
coupled with a moderate price increase which took effect July 1, 1995, 
resulted in improved margins over the next three quarters ended June 30, 
September 30, and December 31, 1995, when gross profit margins were 46%, 
48%, and 47%, respectively.  These improvements have resulted in the 
current fiscal year-to-date gross profit margin improving to 47% 
compared to last year's 42%.  As anticipated, slightly lower profit 
margins of new products introduced during the quarter ended March 31, 
1996, along with the aforementioned lower sales of other 
audioconferencing products resulted in the 45% margin experienced during 
this last quarter.  The Company believes that margins experienced during 
the rest of the 1996 calendar year will be at approximately this same 
level or slightly lower as sales of these new products become more 
significant.  However, the Company also anticipates higher gross profits 
resulting from the overall increase in sales.

	Operating expenses for the third quarter increased by 5% compared 
to last year.  The higher costs were due primarily to increased product 
development efforts aimed at new products brought to market during the 
third quarter, and some that will be introduced later this year.  However, 
the 200% increase in quarterly product development expenses over last 
year also reflect the fact that approximately $75,000 of software 
development costs were capitalized during the prior year's third 
quarter.  Had such costs been expensed, product development expenses 
would have increased by 63%.  Marketing and selling expenses for the 
quarter decreased 13% as compared to last year.  This was due to 
decreased costs associated with the lower sales levels, along with lower 
marketing expenses incurred compared to last year when the Company was 
heavily promoting the ET100 and TS612 products.  General and 
administrative expenses were lower by 10%.  This reflected cost saving 
efforts and efficiencies gained by modifying the organizational 
structure, a process which began yielding results during the latter half 
of fiscal 1995.

	For the nine-month period ended March 31, 1996 operating expenses 
overall were down by 3% compared to the same period a year earlier, 
mainly as a result of the 21% decrease in general and administrative 
costs.  Such expenses were lower for the same cost-saving reasons 
mentioned above in connection with the third quarter.  Offsetting these 
savings, however, were increases in product development costs year-to-
date, which were up 26%.  This was due primarily to expenses incurred 
during the current fiscal year's second and third quarters associated 
with new product and product enhancements, and also as a result of the 
aforementioned lower third quarter expenses during fiscal 1995.  
Marketing and selling expenses, despite this year's third quarter 
decline, remained flat year-to-date.

	The differences in interest expense incurred during the three and 
nine-month periods ended March 31, 1996 stemmed from differences in 
usage of the Company's line of credit facility.  In addition, due to 
utilizing much of its excess cash beginning in fiscal 1995, the Company 
earned significantly less interest income during the first half of 
fiscal 1996.

Financial Condition and Liquidity

	The Company's current ratio increased from 1.8:1 to 2.3:1 during 
the nine months since June 30, 1995.  The factor contributing most to 
the change was an adjustment of short-term debt which occurred during 
fiscal 1996's first quarter.  The Company obtained permanent long-term 
financing for several items of furniture and equipment acquired over the 
previous two years, and applied the proceeds towards the short-term line 
of credit.  This enabled the Company during the second quarter of fiscal 
1996 to significantly reduce the amounts owing to vendors, thus reducing 
the accounts payable balance by 18% by December 31, 1995.  Accounts 
payable balances were then reduced by another 21% during this last third 
quarter in part by using funds collected from customers, thereby 
reducing the balance in accounts receivable.  Inventory has increased 8% 
during the nine-month period as a result of the Company continuing its 
efforts of providing adequate finished product availability to satisfy 
current and expected customer demand.  Yet the Company also intends to 
continue benefiting from ongoing inventory management programs started 
during fiscal 1995.  Such efforts, intended to improve raw material 
purchasing efficiencies and reduce inventory size overall, began 
yielding results during the second quarter of fiscal 1996, and served to 
reduce raw materials 21% during the three months ended March 31, 1996.  
Unfortunately, the sales decline during the same period resulted in 
finished goods inventory levels rising during the quarter by 35%, a rate 
faster than anticipated.  As a result, the Company adjusted purchasing 
and manufacturing schedules in an effort to temporarily reduce the 
production of finished goods until sales decreases the stock on hand.  
The 16% decline in work in progress inventory reflects these efforts.

	During the first quarter of fiscal 1996, the Company renewed its 
line of credit arrangement with a commercial bank.  The terms of the 
arrangement remained the same as before, with $1.75 million available at 
1% over prime, maturing on October 31, 1996.  There was $1.13 million 
outstanding at March 31, 1996.

	The Company is continuing to maximize its efforts to maintain 
stable cash flows during an overall period of sales growth and ongoing 
product development.  Changing its short-term debt position helped to 
increase available cash reserves.  However, the Company believes that 
ongoing cash flows will improve more as a result of continuing 
management's focus on maintaining satisfactory profitability following 
last fiscal year's period of operational expansion and intense product 
promotion.  Already the Company has seen the positive operational cash 
flow results from this course of action.  As sales continue to increase 
and profits are achieved, the Company is confident that it can achieve 
its business plan through a combination of internally generated funds, 
and short-term and/or long-term borrowing, if necessary.




 
                        PART II - OTHER INFORMATION



      Item 6.  Exhibits and Reports on Form 8-K

            (a) Exhibits
                  None

            (b) Reports on Form 8-K
                  There were no reports on Form 8-K filed during the quarter.




                               SIGNATURES

  Pursuant to the requirements of the Securities and Exchange Act of 
1934, the registrant has duly caused this report to be signed on its 
behalf by the undersigned thereunto duly authorized.


                                      GENTNER COMMUNICATIONS CORPORATION



                                      /s/  David L. Harmon
                                      -----------------------------
                                      David L. Harmon
                                      Chief Financial Officer










Date: May 10, 1996







<TABLE> <S> <C>

<ARTICLE> 5
<LEGEND>

THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM
FINANCIAL STATEMENTS AND FOOTNOTES INCLUDED IN FORM 10-QSB FOR THE QUARTER
ENDED MARCH 31, 1996 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO
SUCH FINANCIAL STATEMENTS.

</LEGEND>
       
<S>                             <C>
<PERIOD-TYPE>                   9-MOS
<FISCAL-YEAR-END>                          JUN-30-1996
<PERIOD-END>                               MAR-31-1996
<CASH>                                         196,590
<SECURITIES>                                         0
<RECEIVABLES>                                1,316,678
<ALLOWANCES>                                         0
<INVENTORY>                                  3,596,578
<CURRENT-ASSETS>                             5,302,609
<PP&E>                                       1,577,123
<DEPRECIATION>                                       0
<TOTAL-ASSETS>                               7,009,218
<CURRENT-LIABILITIES>                        2,266,853
<BONDS>                                        657,335
<COMMON>                                         7,662
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<OTHER-SE>                                   4,386,747
<TOTAL-LIABILITY-AND-EQUITY>                 7,009,218
<SALES>                                      8,228,662
<TOTAL-REVENUES>                             8,228,662
<CGS>                                        4,388,948
<TOTAL-COSTS>                                4,388,948
<OTHER-EXPENSES>                                     0
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                             135,882
<INCOME-PRETAX>                                229,256
<INCOME-TAX>                                         0
<INCOME-CONTINUING>                            229,256
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                   229,256
<EPS-PRIMARY>                                     0.03
<EPS-DILUTED>                                     0.03
        

</TABLE>