Transformation Plan drives continued growth at ITV
- Total external revenues up 4% to £1,573m (2011: £1,515m)
- Non-NAR revenues up 15% at £730m (2011: £633m) driven by ITV Studios
- ITV Studios is trading strongly with total revenues up 20% to £498m (2011: £416m)
- ITV Family NAR flat over the first nine months ahead of the TV ad market
- ITV Family SOV down 3%, with digital channels up 3% for the ten months to end of October
- Positive net cash position of £90m
- Total cost savings will be around £30m in 2012 - £10m ahead of original target
- ITV Family NAR is forecast to be broadly flat over the full year, again outperforming the TV advertising market
Adam Crozier, ITV plc Chief Executive, said
"We have made further progress in reshaping and rebalancing ITV to ensure the business is more robust both commercially and creatively. The momentum we are building in our non-NAR revenues has helped grow group revenues up 4% to £1,573m in difficult economic conditions and with a broadly flat television advertising market.
"ITV Studios has performed strongly as our strategy of investing in the creative pipeline and talent again shows through in our results. We expect ITV Studios to report over £100m of profit in 2012, and the number of new commissions and recommissions already secured for 2013 gives us confidence that there will continue to be good underlying growth in the Studios business.
"This has been an extraordinary year for UK television with many unique events including the Queen's Jubilee, The London Olympics and the Paralympics. In fact 9 out of the top 10 programmes aired will not return next year and as we expected this has affected our viewing performance. However, we do not expect our viewing performance in 2012 to impact our advertising share in 2013 and we are focussed on growing our share of viewing next year.
"We have maintained our focus on cash and costs. Our financial position is strong with positive net cash of £90m and we will deliver around £30m of cost savings this year, £10m ahead of our original target.
"The economic outlook remains uncertain and we continue to see monthly volatility in the UK television advertising market, but the underlying trends have not changed. Over the full year we expect ITV Family NAR to be broadly flat and that we will again outperform the television advertising market."
