Time Warner has reported a strong quarterly profit and slightly higher revenue from its hit movies.

The company, which last year carved off its Time Warner Cable and AOL divisions, has posted fourth-quarter net income of $627 million, on the strength of movies such as “Sherlock Holmes" and "The Hangover."

With a business increasingly concentrated on movies, magazine and TV shows, Time Warner plans to use part of its cash to return money to shareholders.

The group has already unveiled plans to boost its dividend by 13.3 percent and increase money set aside to repurchase stock to $3 billion from $1 billion.