Time Warner (News - Alert) Cable’s net income in the third quarter dropped by about 1 percent to $356 million, according to a company statement.

The company also said that 3Q revenues of $4.9 billion were 3.7 percent higher than the amount the company earned in the third quarter of 2010. 

In a company statement, it was additionally reported that 3Q 2011 revenue from residential services edged up 2.0 percent to $4.3 billion, when compared to the same time period in 2010.

“We posted steady financial progress in the third quarter, powered by residential broadband and business services, and we’re pleased with the stronger subscriber results in August and September,” Time Warner Cable CEO Glenn Britt said in the press release. “We continue to focus our efforts on maximizing our growth opportunities.”

Business services revenues jumped 34.8 percent to $387 million but advertising revenues dropped 3.1 percent to $216 million, the company said.

Those revenues included in the “other revenues” category edged up 1.8 percent to $58 million.

The company explained that revenue increases from residential services was fueled by increases in high-speed data and voice. There was, however, “a slight decline” in revenues from videos, the company said.

In addition, revenue growth in residential high-speed data related to subscribers and increases in average revenues per subscriber, the company said. There were both price increases and a higher number of subscribers opting for higher-priced service levels, the company adds.

Also, residential voice revenues increased with more voice subscribers, the company said. 

“Business services revenue growth was due primarily to increases in high-speed data and voice subscribers, an increase in cell tower backhaul revenues and $34 million of revenues from NaviSite (News - Alert), Inc., which was acquired in the second quarter of 2011,” the company added in the press release. 

Also, advertising revenues decreased with a drop in political advertising revenues and “weakness” in the advertising market, the company said.

In its analysis of the quarterly results, the Associated Press reported that “Time Warner lost about 128,000 residential video subscribers during the quarter, ending the period with about 11.9 million.”

But the company also “gained about 89,000 residential high-speed data customers, ending the quarter with 9.8 million,” the AP added.

Like other cable companies, Time Warner has seen its subscribers opt to use the Internet to view films and television programs.

When looking at the company last month, TMCnet’s David Sims noted that Time Warner Cable Time Warner was the second-largest U.S. cable company.

During the second quarter, the company lost “130,000 residential video subscribers while adding 54,000 residential broadband customers,” TMCnet reported last month.