ITV revenues hit by US actors' and writers' strike
[Paul - stock.adobe.com}
Broadcaster reported a fall in first-quarter revenues on Thursday, dragged lower by the production arm which was hit by the US writers' and actors' strike.
In the three months to the end of March, total revenue declined 7% to £887m, with growth in total ad revenue offset by a 16% slump in revenues to £382m at ITV Studios, which reflected the phasing of deliveries and the expected impact of the US strike.
ITV Studios revenue was also hit by weaker demand from free-to-air broadcasters in Europe, who have been holding back spend until they see more certainty in the advertising market, the company said.
Total advertising revenue grew 3% in Q1 to $432m, in line with guidance. ITV said it expects good momentum to continue into the second quarter, benefitting from the Euros in June.
Chief executive Carolyn McCall said: "Over the full year we expect ITV Studios revenues to be broadly flat. We have a strong pipeline of programmes, good demand for our quality content as we increasingly diversify our customer base towards streamers and the phasing of deliveries is heavily weighted to the second half of the year, including Hell's Kitchen US, The Better Sister, A.C.A.B, Showtrial and Ludwig.
"ITVX continued to build on its strong first year and delivered double-digit growth in both digital viewing and digital advertising revenues in Q1 and we expect continued strong growth in both throughout the year."
At 0930 BST, the shares were up 2% at 75.80p.
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