Time Warner profit comes in as expected

NEW YORK – Time Warner Inc. today said it expected profit growth this year to be in the range of 7% to 9%, down from 17% in 2007 but in line with Wall Street’s expectations.

The world’s largest media company reported a fourth-quarter profit of $1 billion, or 28 cents a share, down 41% from the year-earlier figure of $1.8 billion, or 43 cents a share. The 2006 fourth quarter had been boosted by one-time gains from asset sales, including parts of the AOL Internet unit. Excluding those items, the earlier quarter’s profit was 22 cents a share.

Fourth-quarter revenue rose 2% to $12.6 billion, with movies and cable TV programming leading the way.

Chief Executive Jeffrey Bewkes, who stepped into that job in December, was expected in a conference call with analysts later this morning to discuss strategic moves such as a spinoff of the company’s stake in Time Warner Cable. He also was expected to address the fate of AOL, which is under increased competitive pressure since Microsoft Corp.’s surprise $44-billion bid Friday for rival Yahoo Inc.

thomas.mulligan@latimes.com