Scottish broadcaster STV yesterday posted a 14 per cent rise in profits for 2014, with a surprise quadrupling of its dividend, as its chief executive celebrated “the fruits of our work”.
Revenues at STV, which holds the two ITV franchises for Scotland, increased seven per cent year-on-year to £120.4m, up from £112.1m in 2013, while profits hit £17.3m.
The business, while sat under nearly £200m of debt in 2007, reported this had fallen a further 18 per cent last year to just £29.4m.
“This is a company that has gone through a turnaround which I have led for eight years. These results are the fruits of our work,” chief executive Rob Woodward told City A.M.
“STV full-year 2014 results were in line with expectations but the company surprised on its dividend announcement with a higher than expected payout,” wrote Liberum analyst Ian Whittaker who held a target price of 440p on the stock.
“The positive surprise is on the dividend, which has quadrupled to 8p [we had 6p] and are targeting 10p for 2015 [we have 8p currently].”
Shares in the group rose 1.88 per cent following the results to close at 380p in London.