Revenues grow at UTV as ad market picks up
REVENUES continued to rise at Northern Irish broadcaster UTV in the first three months of the year as the recovery of the UK and Irish advertising market gained momentum, the company has announced.
Group revenues rose 7pc between January and March to £27.8m (€34m), UTV said in an interim management statement this morning, including a 6pc rise in its Irish radio business to £5.1m. This outperformed the market average, UTV said, which only grew by about 4pc.
British radio revenues did even better, up 10pc to £13.3m, while revenues from its television division gained 4pc to £9.4m.
This pace of growth is expected to accelerate in the second quarter, as its TalkSPORT radio stations benefit in the run up to the football World Cup.
We are pleased to be able to report that these positive market conditions are continuing into the second quarter and, along with the revenue boost arising from the FIFA World Cup, we expect to see group revenue increase by 18pc in the second quarter of 2014 and by 12pc for the first six months, in line with expectations” said a company statement.
UTV management also commented on the progress of work on its new Irish station, due for launch next year.
“It is encouraging that revenue growth has returned to the Irish television market as we progress our plans to launch a new television channel in Ireland in 2015” they said. “With ITV Studios programming providing the spine of the schedule, we are well advanced in acquiring additional attractive programming and in developing high quality local programming which will appeal to Irish viewers. We have appointed key personnel with proven track records in the Irish marketplace who will be supported by our already strong media team and existing base of high quality media assets in Ireland. We remain confident of the opportunity that the new channel offers us to create significant long term shareholder value.”