Shares of Time Warner, Inc. (NYSE:TWX.DL) stock rose over 3% in early trading today after reporting better than expected third-quarter results. Here's a closer look at the final totals versus Wall Street's projections:

Time Warner
YoY Growth
YoY Growth

Consensus estimate

$6,153.72 million




Q3 actuals

$6,243 million





+$89.28 million




Sources: S&P Capital IQ, Time Warner press materials.

"As we discussed at our Investor Event last month, we've refocused the Company over the past few years to aggressively pursue the huge global opportunities we see in video content. And once again, we are seeing the benefits of our increased investments in great content and storytelling. In the quarter, both Turner and HBO had double-digit increases in subscription revenues, reflecting the growing strength and appeal of their programming," CEO Jeff Bewkes said in a press release.

What went right: Every segment enjoyed some top-line growth, but HBO led the way with a 10% boost to $1.3 billion in Q3 revenue. Turner improved sales by 4% while Warner Bros. -- which is preparing to cut about 1,000 jobs -- rose 3%. Subscription revenues for both HBO and Turner improved 10%.

What went wrong: Previously announced restructuring costs took a toll in the third quarter. All told Warner paid $303 million in restructuring costs as adjusted operating income fell 38%. The company's decision to cut back on some programming at Turner Broadcasting also played a role. Separately, a net tax benefit of $639 million added artificial sweetener to Warner's earnings per share. Stripping away all the excess left Time Warner with $0.97 a share in third-quarter earnings, a smaller but still noticeable beat.

What's next: Looking ahead, Time Warner upped its forecast for full-year earnings per share to be in the "high teens" off a 2013 base of $3.51. According to S&P Capital IQ, analysts are calling for $4.01 a share in full-year profit -- a 14.2% increase. The aforementioned tax kicker could help Warner outperform that result by at least a couple of percentage points.

"This outlook reflects an estimated net benefit of approximately $0.15 from the reversal of certain tax reserves offset in part by programming, restructuring and severance charges in the third and fourth quarters," Time Warner said in a press release announcing the updated guidance.