Subscriptions for the cable channel HBO, which launched Sex in the City, have increased

To date "Miss Congeniality" has contributed $160m to the coffers of Warner Bros.

Top worldwide sellers in the company's music division included Enya, Eric Clapton and Madonna.

Meanwhile CNN reinforced its position during the quarter as the leading 24-hour cable news network in terms of total viewers.

The network presented the top five of the most watched cable news programmes.

And, HBO, the entertainment network that launched the popular series "Sex in the City" and "The Sopranos", benefited from increased subscriber revenues.

Subscription growth

Growth in both the online and cable television subscriptions business was the engine driving the company's profits increase.

Total subscriptions rose by nearly 16%, while advertising and commerce revenues increased by 37% at AOL and 17% at Time Warner Cable.

"This outstanding quarter underscores the unique promise of AOL Time Warner, and the ability of our management team to collaborate in a focused, disciplined way," added Mr Levin.

Net loss

On a net basis, the company made a loss of $1.4bn. This includes merger costs and a $620m charge for the writedown of investments.

But the loss has narrowed from a year earlier when it was $1.5bn.

Last year's results were reported on an adjusted basis, assuming that the $106.2bn merger between AOL and Time Warner would be completed by 1 January.

Shares in AOL Time Warner were trading up $4.71 to $48.61 at 1630 GMT.