BBC Worldwide Reports “Steady” Gains

LONDON: Publishing its 2012/2013 annual review, the BBC reported total income of £5.1 billion ($7.7 billion), mostly from license fees, with £1.1 billion ($1.7 billion) in revenues generated by the pubcaster’s commercial arm, BBC Worldwide.

BBC Worldwide showed a 1-percent increase in profit to £156 million ($235.3 million) on revenues that were 3-percent higher than the prior year. Announcing the results, Tim Davie, chief executive of BBC Worldwide and director of global, noted: “BBC Worldwide’s performance has remained very robust despite the economic challenges facing the media sector, with particular growth in program sales and our international channels. 2013/14 will be a transformational year for the company with a re-focused strategy that maximizes opportunities presented by new markets and technology. This will ensure BBC Worldwide remains a world-class content company that inspires audiences around the world and helps build the reputation and the commercial success of the global BBC.”

BBC Worldwide generated £312 million ($470.6 million) from program sales, with top sellers including Africa, Top Gear USA, Ripper Street and Parade’s End. In the fiscal year it invested £176 million ($265.5 million) in content. On the channels front, the portfolio now reaches 406 million subscribers.

The BBC’s annual report for 2012/2013 showed an increase in license fee revenues to £3.66 billion ($5.5 billion), with total revenues of £5.1 billion ($7.7 billion). BBC Trust Chairman Lord Patten said that it was a year of "incredible highs"—including its Olympics coverage from London last year—and some "desperate lows," among them the Jimmy Savile scandal, the related Newsnight crises and the exit of director-general George Entwistle. Nevertheless, British audiences still consume some 19 hours of BBC content each week. The year also saw the BBC deliver £580 million ($877 million) in efficiency savings.

The BBC’s director-general, Tony Hall, noted: "I am extremely proud of the BBC that I have seen and experienced over the last four months. This is a creative organization that produces brilliant programs. And whilst this Annual Report covers a period of time that predates my arrival, for me it highlights the great successes that we are capable of achieving whilst also reminding me that there is much we can and must to learn from some terrible events of the past. Talking to staff and audiences up and down the country I have heard their pride in the BBC but also their frustrations. Since starting in this role I have made it a priority to address some of these problems. From redundancy payments through to the failed DMI project, the BBC has not always been the steward of public money that it should have been. This is changing and we now need to take further steps to ensure that the BBC is better run and more efficient. Although this process can be painful I believe it is necessary to ensure we keep earning back public trust in the Corporation. At the same time we must build on our strengths so that we can serve audiences even better providing them with a creative BBC that is well run and with audiences at the heart of everything we do."