UPDATE: Time Warner Posts Higher Q4 Profit, Lifts Dividend

Time Warner TWX reported a 51% rise in its fourth-quarter earnings. The company also announced its plans to increase its quarterly cash dividend to 28.75 cents per share from 26 cents per share. Time Warner's quarterly profit surged to $1.17 billion, or $1.21 per share, from $773 million, or $0.76 per share, in the year-ago period. Excluding one-time items, it earned $1.17 per share. Its revenue came in at $8.2 billion. However, analysts were expecting earnings of $1.10 per share on $8.2 billion in revenue. Its gross margin rose to 45.7% from 42.2% Time Warner shares closed at $49.96 yesterday.