Inbetweeners success takes Channel 4 past 1BN in revs, 30M profits

Editor RapidTVNews | 15-05-2012

After a year in which it has posted record audiences for its TV services, especially online, Channel 4 has also reaped financial rewards in 2011.
In its Report and Financial Statements for 2011, the UKs fourth largest broadcaster reported that its revenues increased by 6.2 million to 941.4 million, including sales from UKTV from the beginning of the year, Channel 4 says its sales achieved its target of 1 billion. As well as delivering a profit after tax of 34.5 million, Channel 4 posted future media revenues of 52.8 million, a year on year growth of 8.5 million as 4Rights revenues increased by 17.8 million to 65.6 million.
The channel attributes the strong commercial performance to an equally robust creative outlook and sees the 2011 figures as a vindication of the sustainability of the Channel 4 business model and providing the stability for increased investment in UK content.
Expenditure on originated content in 2011 was 419 million, up 16% on 2010 and originated content represented 71% of the overall budget of 592 million invested in content, up from 63% in 2010. Channel 4 also claimed that in 2011 it had the strongest portfolio share growth amongst public service broadcasters and ended the year up 2% at 11.6% with leadership in commercial VOD with 429 million full-length programme views initiated on demand, 15% up on 2010.
After confirming a further 5 million increase to the content budget for UK commissions in 2012 taking it to a new historic high of 455 million, Channel 4 Chairman, Lord Burns, said: "2011 has been a year of considerable progress and demonstrates it is possible to make a creative and commercial success of Channel 4. Under the leadership of David Abraham the channel is making an outstanding creative impact on British audiences through the breadth and quality of its content - it has a unique status and important role in supporting the UK creative economy. I am pleased to confirm, following robust revenue performance and prudent financial management, that this year we will be investing more in UK originated content than ever before."
Chief Executive, David Abraham, added: "Across 2011 Channel 4 underwent the biggest diversification of its schedule in a decade. I am proud of the range of content we delivered from Top Boy and Black Mirror to Educating Essex, Hugh's Fish Fight and Sri Lanka's Killing Fields. We increased investment in UK content by 16% and the number of new or one off programmes in peak by 10%. In our first year without Big Brother we grew portfolio share and stemmed decline on the main channel. We remain the commercial leader in VOD and Film4 is in rude health; delivering a home-grown creative and commercial hit in the form of the Inbetweeners film. Building on these strong foundations we will continue to engage our audiences with challenging and stimulating content in 2012, investing more money with a wider range of producers."