Time Warner tops estimates, plans buyback as Fox walks

Time Warner Inc, a day after Rupert Murdoch withdrew his $75-billion takeover bid, reported second-quarter earnings that beat analysts' estimates and said it plans to buy back $5 billion of its shares.

Earnings, excluding one-time items and the Time Inc magazine unit, were 98 cents a share, the New York-based company said on Wednesday in a statement. Analysts predicted 84 cents on average. Sales increased to $6.79 billion, missing the average estimate of $6.88 billion.

"I would just encourage everybody to look at all sides of the issue when contemplating the benefits and risks of putting very large companies together," CEO Jeff Bewkes said.

The results help support Chief Executive Officer Jeff Bewkes's argument that Time Warner's own growth plan will create more value than any proposal Murdoch's 21st Century Fox Inc "is in a position to offer." Bewkes needs to keep proving his standalone plan to investors after Fox on Tuesday withdrew its $85-a-share bid for the owner of the HBO and TNT cable channels and the Warner Bros film studio.