BBCWW Reports Strong Revenue, Profit Gains

LONDON: BBC Worldwide has announced record profits of £160.2 million for the year ending March 31, 2011, a 10.3-percent gain, on revenues that were up by 7.8 percent to £1.16 billion, delivering an overall return to the public broadcaster of £181.9 million, an 8.6 percent increase.

The year’s results include a gain on the sale of its Animal Planet stake to Discovery Communications in November. The results also include a 9.6 percent increase in international sales’ proportion of overall revenues to 55.5 percent. Digital sales, meanwhile, now account for 8.1 percent of net revenues. The target for the company is to reach 10 percent by 2011/2012.

"This was BBC Worldwide’s most successful year ever in championing great U.K. content around the globe," said John Smith, chief executive of BBC Worldwide. "By offering world-class British programming and brands that resonate with global audiences, we were able to lift revenues beyond a billion pounds for a third year in succession and also deliver impressive results. These results have enabled BBC Worldwide to return an increased amount back to the BBC—supporting development of world-class, original content in the context of a tighter financial settlement."

He continued, “BBC Worldwide also distributed programs and formats produced by more than 300 U.K. independent producers in 2010/11. I am proud of the unique role we play in helping our sectors of the U.K. creative industries to expand through exports.”

Addressing international sales, Smith noted, “We have focused in particular on the English-speaking markets of the USA and Australia. In June 2010, we appointed Herb Scannell to head up our North American businesses and drive further growth…. We are also recruiting EVPs to drive medium-term growth in other key regions including Asia, EMEA and Latin America.”

Channel revenues gained 18.8 percent to £312 million, with a profit of £40.1 million. Content and production revenues were up 9.1 percent to £102.8 million, mainly due to commissions for local versions of BBC Worldwide’s TV formats in France and India, but profit was down to £7.9 million. The sales and distribution segment reported revenues of £230.5 million with a headline profit of £58.8 million.