UK community ITV is planning to avoid wasting one other £35M ($45.7M) within the coming quarter, regardless of posting regular year-to-date group revenues.
In a Q3 buying and selling replace, the broadcaster and content material group stated it had recognized the extra short-term financial savings” in its Media & Leisure division, which homes its linear networks and streamer ITVX.
“UK macro knowledge is exhibiting a softening financial system, with elevated uncertainty within the lead as much as the UK Funds which is impacting the broader promoting market, and we’re adjusting our prices to match this present discount in demand,” stated ITV CEO Carolyn McCall in a buying and selling replace as we speak. “We don’t anticipate these short-term financial savings to influence our capability to ship our strategic plan.”
The plan is to maneuver £20M of programming will likely be moved into 2026 and make a further £15M of non-content financial savings, primarily by “lowered discretionary spend” and “lowered advertising spend aligned with the adjusted content material slate.” The transfer means ITV’s complete content material price range for 2025 is adjusted to round £1.21B.
General complete year-to-date group revenues for the 9 months to end-September at ITV have been £2.8B, up 2% from £2.74B a yr in the past. A robust efficiency at manufacturing and gross sales division ITV Studios was hailed for offsetting an anticipated drop of 9% in complete promoting income.
For the total yr, ITV stated it was “on monitor to ship good income development in ITV Studios at a margin of 13-15%,” whereas warning the “financial outlook within the UK stays unsure with widespread warning being exercised throughout enterprise sectors forward of the Funds in November.”
ITV Studios income got here in at £1.35B, up 11% on the £1.22B in 2024, with exterior income up 20% due to demand for packages from streamers. Throughout the quarter, ITV Studios launched the likes of The Reluctant Traveler Season 3 for Apple TV and Love Island Video games for Peacock.
Nevertheless, inner revenues dropped 7% as a result of absence of exhibits similar to Saturday Night time Takeaway, sports activities manufacturing and phasing of productions.
The M&E networks arm noticed complete income fall 5% to £1.44B, although digital promoting income was up 15% as ITVX viewing grew complete streamed hours by 14%. General digital revenues have been up 13%.
ITV stated its total efficiency for the 9 months to the tip of September had been “higher than market expectations” due to its long-term Extra Than TV technique. Full-year income and margin outlooks stay unchanged.
“ITV has delivered a very good efficiency in a tricky promoting market,” stated McCall. “Each our companies are performing nicely, reflecting the numerous transformation we’ve delivered. Our strategic initiatives proceed to progress nicely, and we stay assured in delivering good development in ITV Studios income and digital income for the total yr. That is supported by laser-focused strategic value administration and underpinned by our resilient and extremely money generative linear broadcast enterprise.”
