Share Dealing
ITV earnings rise in first six months
Rob Langston, 27 July 2011
Commercial broadcaster ITV (ITV.L) has reported higher earnings in the first six months of the year rising by 45 per cent compared to the same period in 2010.
In the broadcaster's half-year results it revealed earnings before income, tax and amortisation (EBITA) before exceptional items rose by 45 per cent year-on-year to £240 million.
According to ITV, the conversion of higher revenue into profit and lack of football World Cup costs contributed to the results.
Its total external revenues also climbed 4 per cent to just over £1 billion, compared with £987 million in the prior-year period.
Adam Crozier, chief executive of ITV, said he remained cautious about the TV advertising market and the economy.
He said, 'As today's results show, our focus on costs, cash generation and improving the efficiency of our balance sheet gives us an increasingly strong financial base from which to drive our strategy forward.
'Despite the difficult economic backdrop and the absence of the Football World Cup, our advertising revenues increased by 2 per cent and, while we continue to plan prudently, we expect to outperform the TV advertising market across the whole of the year.'
Crozier said the broadcaster would be introducing a 'pay mechanism' for its digital content to ascertain what content views would pay for.
The broadcaster declared an interim dividend of 0.4p.
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