ITV shares slump
August 8, 2008
Overall revenue at ITV grew by 3 per cent in the six months to June 30th. However, the company expects total TV advertising revenue to fall by 1 per cent over the eight months to August, before declining by 20 per cent in September. Shares in ITV fell 12.5 per cent to 40.5p in early trading, giving the company a market value of £1.5 billion which is the same figure as the pre-tax loss it reported.
The company blamed “tough year-on-year comparisons” for the 20 per cent fall in September, primarily due to last year’s Rugby World Cup for the slump. However, advertising revenue generated by its flagship ITV1 channel fell by 5.1 per cent over the interim period.
Global content revenue rose 3 per cent over the six month period and online revenue inc by 6%