Time Warner Q1 Profit Down; Backs 2015 Adj. EPS View - Quick Facts

(RTTNews) - Time Warner Inc. (TWX) reported that its net income for first quarter ended March 31, 2015 declined to $970 million from $1.292 billion in the prior year. Net income per share was $1.15, lower than last year's $1.42.

Income per common share from continuing operations was $1.10 compared to $1.50 in the prior year quarter.

Adjusted income per common share from continuing operations was $1.19, up 23% from $0.97 for the year-ago quarter. Analysts polled by Thomson Reuters expected the company to report earnings of $1.09 per share for the quarter. Analysts' estimates typically exclude special items. The increase in Adjusted EPS primarily reflected higher adjusted operating income and fewer shares outstanding.

Adjusted Operating Income grew 12% to $1.8 billion due to growth at Turner, offset in part by declines at Warner Bros. and Home Box Office. Operating Income decreased 13% to $1.8 billion primarily due to a $441 million gain in the prior year quarter in connection with the sale and leaseback of the Company's space in Time Warner Center.

Revenues increased 5% to $7.1 billion due to growth across all divisions. Wall Street expected revenues of $7.00 billion.

Time Warner continues to expect its 2015 full-year Adjusted Income per Common Share from Continuing Operations to be in the range of $4.60 to $4.70. Analysts expect annual earnings of $4.65 per share.