Wonder Woman powers up Time Warner's second quarter earnings

 
Courtney Goldsmith
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Premiere Of Warner Bros. Pictures' 'Wonder Woman' - Arrivals
Gal Gadot starred as Wonder Woman in the box office hit (Source: Getty)

Media conglomerate Time Warner's profit rose to beat analyst expectations in the second quarter thanks to blockbuster hit Wonder Woman.

The US company announced a six per cent decline in advertising revenues in the last quarter which is a trend it expects to continue with another low single-digit drop in the third quarter.

However, online TV and film services are seeing a boost that's helped offset losses from ads. Revenue from Time Warner's Warner Bros arm rose 12.4 per cent to $2.99bn (£2.26bn), beating analysts' expectations of $2.90bn.

The company's earnings were $1.33 per share, beating Thomson Reuters estimates of $1.19 per share, while revenue rose 5.4 per cent to $7.33bn, in line with forecasts.

The firm's share price closed up 0.1 per cent to $102.52.

Time Warner is currently being bought by AT&T for around $85bn, and the deal is on track to close before the end of the year.

Chairman and chief executive Jeff Bewkes said the firm looks forward to accelerating its pace of innovation and connecting more directly with consumers through the merger.

Bewkes said:

Our performance is a result of the continued successful execution of our strategic objectives – with the strong subscription revenue growth at home box office and Turner a great example of this – along with the investments we’re making in our brands and high-quality video content.

Warner Bros. is home to the biggest cinematic hit of the summer so far with Wonder Woman, which has grossed approximately $800m at the global box office to date, and dazzled audiences again last month with the critically acclaimed Dunkirk.

Read more: Time Warner posts strong results in the wake of AT&T deal

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