A jump in advertising sales powered AOL's third quarter results past Wall Street's expectations, leading CEO Tim Armstrong to call the 6-percent revenue surge an emerging "megatrend" within the industry.
AOL was forced to absorb a host of restructuring costs and write-downs primarily related to Patch, its struggling local news arm, which pushed its profit down a whopping 90 percent from the comparable year-ago period. However, that was offset by a nearly 14-percent surge in the media company's ad revenues, which hit $386 million.
In an interview on CNBC's "Squawk Box," CEO Tim Armstrong called his company's ad performance part of a bigger theme playing out in technology and media. He said the company was positioning itself amid the "disruption of technology in media" sweeping the industry.