Revenue declines weigh on ITV as investors await arrival of new CEO Carolyn McCall

 
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The broadcaster said it has a healthy pipeline of new and returning shows such as Victoria (cast pictured) for 2018 (Source: Getty)

Shares in ITV slipped this morning after its revenue declined, but the broadcaster said it was confident in the strength of the business ahead of new chief executive Carolyn McCall's arrival.

The figures

In the nine months to 30 September, total external revenue was down one per cent to £2.1bn, based on a mixed performance across different areas.

While broadcast and online revenues sank four per cent to £1.45bn, online, pay and interactive revenues jumped eight per cent, while ITV studios revenue was up nine per cent at just over £1bn.

Shares were down 1.75 per cent to 151.3p in early trading.

Why it's interesting

Online viewing was up 41 per cent in the period, and ITV Hub now has over 21m users including 75 per cent of 16 to 24 year olds. This helped the company push up online and pay revenues even while traditional broadcasting declined.

ITV also has a joint venture with the BBC called Britbox: a streaming service for British TV aimed at the American market. The group said this was progressing well, having scooped a raft of programmes from FremantleMedia last month.

ITV itself bought Italian producer Cattleya last month in a bid to create more high-quality European dramas. It said that it had a healthy pipeline of new and returning programmes for 2018.

While political uncertainty continues to dent corporate confidence in the UK and negatively impacts ad spending, ITV said it was seeing a return to advertising from some consumer goods firms and grocers.

Read more: Facebook's advertising revenue soars above $10bn

What ITV said

Chairman Sir Peter Bazalgette said: "We will enter 2018 in good shape with a strong operating performance underpinned by a robust balance sheet, and we look forward to the arrival of our new CEO, Carolyn McCall, early in the New Year."

Read more: Easyjet's Carolyn McCall will pilot ITV to new heights, investors hope

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