ITV claims 5-year plan delivering early and despite recession

Editor ©RapidTVNews | 01-03-2012

Any broadcasting business currently defying the economic times is one to be admired but ITV can be truly pleased with the results for its 2011 financial year.
The UK’s largest independent broadcaster has shrugged off the continuing inclement times posting £2.140 billion in revenues, a 4% year on year rise. Drilling deeper reveals the source of the rise: broadcasting and online revenue was £1.82 billion, up 3%, and ITV Studios (external) revenue was £320 million, up 9%. Such revenues drove overall profits of £462 million, split £397 million and £83 million between the two respective aforementioned divisions.
National advertising revenue across the ITV Family was up 1%, outperforming the television advertising market which had risen 0.7%. Even though ITV remained cautious on the outlook for advertising, expecting to outperform the market over the full year, it did warn that Family NAR would be down 2% in Q1 2012, and broadly flat thereafter.
Commenting on the results and what it means for the broadcaster, Adam Crozier, CEO of ITV, said: “We’re now almost two years into our five-year Transformation Plan and our continued growth in revenue and profit - at a time when the advertising market is broadly flat - demonstrates that we’re performing in line with our strategic priorities...We have our first positive net cash position since ITV was created in 2004 and more than delivered our targeted cost savings.”
Crozier was particularly keen to emphasise was just how online and digital revenues had grown, highlight the increasing importance of the ITV Player as it was rolled out across more platforms. “‘On screen we have grown family SOV and we continue to outperform the advertising market. We have seen strong growth in online video views as ITV Player was rolled out across more platforms. The VOD and pay deals we recently signed with Sky, Netflix and LOVEFiLM open up new pay revenue streams, which we will continue to build as part of our pay strategy,” Crozier added.