A strong quarter from HBO helped Time Warner (NYSE:TWX) improve profitability during Q2.
HBO subscription revenue rose 10% to $101M and content revenue soared 56% to $98M. Licensing of HBO content to Amazon Prime was a sales driver.
Turner saw higher domestic ad rates boost contribute to results during the quarter.
Segment revenue: HBO +16.5% to $1.42B; Warner Bros. -2.4% to $2.87B; Turner +4.7% to $2.75B.
The company authorizes an additional $1.5B in share buybacks.
TWX -11.1% premarket as yesterday's withdrawal by 21st Century Fox of its buyout offer sets the tone.