Profit Drops at ITV

Total revenues at ITV were down 3 percent in the first half to £1.8 billion, with adjusted EBITDA down by 31 percent year-on-year.

The group has announced an additional £15 million in permanent non-content cost savings. Content spend is expected to be £1.23 billion this year, down from the previously budgeted £1.25 billion.

“ITV is now a leaner, more digital business in a strong position to compete and succeed in a changing market,” said Carolyn McCall, chief executive of ITV. “We have the agility and capability to make the most of new revenue opportunities while driving profitable growth, strong cash generation and attractive returns to shareholders. ITV Studios continues to see positive momentum, with strong growth in external revenues in H1, driven by content for the global streaming platforms, including The Devil’s Hour for Amazon Prime Video and Run Away for Netflix. In M&E, ITVX continued its strong performance despite comparatives of the men’s Euros, and broadcast maintained its strength in delivering the biggest commercial audiences in the U.K. This reinforces M&E’s market-leading position in U.K. streaming and broadcast, delivering strong cash generation.”

McCall added: “We are on track to deliver our 2026 key financial targets, with sustained good growth in ITV Studios and ITVX coupled with strategic cost management as we reshape our cost base to reflect the dynamics of the industry in which we operate.”

Revenues at ITV Studios were up 3 percent to £893 million, while adjusted EBITA fell by 21 percent. Media and entertainment revenues, meanwhile, fell by 8 percent to £955 million, with ad revenues falling by 7 percent. Digital ad revenues were up 12 percent. Adjusted EBITA fell by 54 percent.