Streaming surges but revenues slide in ITV Q1
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Editor
| 11 May 2023
Even though it argued that it made significant strategic progress and that all parts of its business performed in line with expectations, ITV has reported a mixed first quarter of 2023 with digital business rises failing to offset falls in advertising and studio business.
ITV logo large 19 Oct 2020
For the three months ending 31 March 2023, the UK’s leading commercial broadcaster posted total external revenue of £776 million, down 7% year-on-year, while business at commercial powerhouse ITV Studios was flat at £457 million with the phasing of deliveries in 2023 expected to be weighted to the second half of 2023.

ITV Media & Entertainment (M&E) revenue was down 9% compared with Q1 2022 at £495 million with total advertising revenue (TAR) plunging 10%. However, ITV stressed that this was better than the wider TV advertising market. Total M&E non-advertising revenue in the quarter was flat.

Yet digital advertising revenue soared 30% on an annual basis to £87 million . Total digital revenues were up 29% compared with the same period in 2022 and total streaming hours were up 49% in Q1 as ITVX, the company’s rebooted free, ad-funded streaming service, continued to perform strongly.

Assessing the first quarter trading and forthcoming quarters, ITV chief executive Carolyn McCall said the company was on track to deliver mid-single digit revenue growth, ahead of the market, following record revenues in Q4 2022 and the phasing of deliveries within 2023 weighted to the second half. The company noted was particularly looking forward to Q3 with Love Island and the Rugby World Cup set to draw large broadcast and streaming audiences.

"ITV is successfully executing Phase Two of its More Than TV strategy, despite the current challenging macro and geopolitical environment, as we continue to satisfy the growing demand for content globally and the desire for advertisers to secure both mass reach and targeted digital audiences," McCall remarked.