ITV Announce Advertising Revenue Rise But Predicts Tough Time Ahead

ITV have seen their advertising revenue rise by 12 per cent in the first part of this year, but the X Factor broadcaster expects a slow-down in the coming months.

The pull of dramas such as Marchlands and Monroe helped lift the broadcasters performance in the first quarter, but it is expecting the next two months to fall compared to last year’s performance when it was riding high on the back of the World Cup.

The group expects to post a rise in first half advertising revenues of between 1% and 2%, implying its first fall in ad growth in a quarter since 2009.

While April saw an increase of 6%, revenues in May and June are expected to fall sharply. Analysts have suggested ITV could see revenues drop by as much as 20% in June.

The success of its new programmes helped boost ITV1’s viewing share by 3% in the first three months of 2011, while ITV’s overall income for the first quarter rose by 11% to £500 million driven by the 12% pick up in advertising.

To help minimise the decline, new productions such as The Jury and Titanic being screened in the coming months are seen as key to future success.

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