ITV is pulling back spending on new productions as it braces for a sharp downturn in advertising over the traditionally “golden” festive season.
The UK’s biggest commercial broadcaster expects total advertising income to drop by between 10% and 15% in November and December compared to last year, when revenue was buoyed by the winter Fifa World Cup. It expects full-year advertising revenue to be down about 8% on 2022.
The group warned that the slowdown in ad spend was also hurting other free-to-air broadcasters, reducing demand for new content. The Hollywood writers’ and actors’ strike has also slowed the flow of new material, it added.
These “challenging” market conditions overshadowed a 1% rise in total group revenue across the nine months to the end of September, to £2.96 billion. This was largely driven by 9% growth in ITV Studios, which makes and sells programmes including Love Island, This Morning and Coronation Street, to £1.52 billion