ITV Profits Hit Hard by COVID-19 Impact, But Productions Back on Track

U.K. broadcaster ITV’s annual results were announced Tuesday and the picture is that of a business severely impacted by COVID-19, but there are plenty of green shoots.

Total external revenue was down 16%. ITV Studios total revenues were down 25%, impacted by the disruption to the majority of ITV productions from March 2020 when the first U.K. lockdown was declared. Total broadcast revenues were down by 8%, with total advertising down 11%. Advertising revenues showed a slight uptick in the last quarter of 2020 before declining again in January, and ITV expects steady growth from April.

Adjusted earnings before interest, taxes, and amortization (EBITA) was down 21% at £573 million ($792.4 million), which the broadcaster said was better than external expectations. Of this, the most severely impacted was ITV Studios where adjusted EBITA was down 43% to £152 million ($210.2 million), impacted by the decline in revenue and the costs associated with COVID-19 safety measures. However, ITV reported £116 million ($160.8 million) in overhead cost savings.