ITV rides advertising boom to multiply profits
Business digest: Broadcaster boosts revenue and slashes debt thanks to commercials
ITV has announced pre-tax profits of £286m for 2010, over ten times the £25m it made during the economic downturn in 2009. This is despite a drop in audience share from 16.7 per cent to 16 per cent.
The broadcaster has managed to capitalise on the success of its flagship shows, such as The X Factor and Coronation Street, to boost its net advertising revenues from £1.29bn in 2009 to £1.5bn in 2010.
Net debt fell massively as well, down to £188m in 2010 from £612m a year earlier. ITV's chief executive Adam Crozier said that it was, "a sound financial platform for the challenges ahead".
Independent media analyst Theresa Wise said that the industry was experiencing an "advertising bounceback". ITV relies on adverts for about 75 per cent of its revenues.
Read a full report at BBC News. ·