Time Warner’s Q3 Results Show Revenue Gain

NEW YORK: For the third quarter of 2011, Time Warner posted revenues of $7.1 billion, up 11 percent on the same period a year prior and marking the highest growth rate for the company since Q3 2007.

Time Warner had a net income of $822 million, up 57 percent from the $522 million reported in 2010.

Revenues in the Filmed Entertainment segment grew 19 percent to $3.3 billion, led by the strong theatrical performance of Harry Potter and the Deathly Hallows: Part 2 as well as higher TV license fees from the off-network availability of The Big Bang Theory. For Turner Broadcasting and HBO, revenues were up 7 percent to $3.2 billion, getting a boost of 6 percent from subscription revenues and 9 percent from ad revenues.

Jeff Bewkes, Time Warner’s chairman and CEO, said: “This was another terrific quarter for us, financially and strategically, putting us on pace to exceed our prior financial goals for the year. Our results demonstrate the success of Time Warner’s focus on investing in great content that audiences love and leading the evolution of how it’s delivered. Warner Bros. had a record-setting quarter, led by Harry Potter and the Deathly Hallows: Part 2, which grossed $1.3 billion at the box office globally, ranking as the 3rd highest grossing film ever and capping an unprecedented franchise run. Warner Bros. also has had an excellent start in the new TV season with returning series such as The Big Bang Theory, Mike & Molly and Two and a Half Men, and new shows including 2 Broke Girls, Suburgatory and Person of Interest. We’re also pleased with the early success of The Big Bang Theory on TBS, illustrating how our content can create value across the company.”

Bewkes continued: “At the studio, networks and publishing, this dedication to quality content is generating results and accolades, including HBO winning more Primetime Emmy Awards than any other network for the tenth straight year. And, with our partner CBS, we recently concluded new licensing deals for The CW network with Netflix and Hulu that exemplify our value-enhancing approach to new digital platforms and reinforce the increasing demand for our high quality content. Underscoring our confidence in the value of our stock and our strategic position, during the last few months we accelerated the pace of our stock repurchases, and we have repurchased $3.7 billion of our stock so far this year.”