ITV defies weak economy with strong fiscal 2012
Editor | 27-02-2013
Three years into its fabled Transformation Plan, ITV has delivered what can be described as a relatively robust set of results for 2012.
The UK's leading independent broadcaster achieved double digit earnings growth for the third year running, posting total external revenues of £2.2 billion, a 3% rise on 2011 despite flat national advertising revenue (NAR). Total non-NAR revenues for the year rose 12% to £1.036 billion, with online, pay and interactive revenues being particularly strong growing 26% year-on-year to £102 million.
As has been the case for the last year or so, and justifying the company's strategy to seek out new territories for its programmes, ITV's Studio business was a key money earner bringing in to £712 million, 16% more than at the end of the previous 12-month period.
However, the broadcaster recognised that its Share of Viewing fell by 3% due to what it called the "unprecedented number of major one-off events" such as the Olympics and Diamond Jubilee. That said, it did not expect any other such events to impact ad performance in 2013.
Commenting on what he regarded as a satisfying 12 months despite the ongoing weakness in the UK's economy, Adam Crozier, ITV chief executive, said: "We're now almost three years into our Transformation Plan and our strong performance is delivering growth right across ITV, enabling us to build a stronger and more balanced business ... our audience is in high demand from advertisers. [Online, Pay & Interactive] are now a material and rapidly growing part of ITV ... We're positioning ourselves to take advantage of the opportunities arising from the increasing number of platforms needing high quality content and from changes in consumer behaviour, in particular the surge in mobile viewing. While there is still much to do, this is clear evidence that ITV is transforming into a more robust, efficient and balanced company."