LONDON (Reuters) -British broadcaster ITV forecast slightly lower ad revenue for 2022 despite a FIFA World Cup boost in the key Christmas quarter, as it warned on the high degree of economic uncertainty.
ITV, the home of ratings hit “I’m a Celebrity… Get Me Out of Here”, said ad revenue for the full-year 2022 is expected to be down between 1% and 1.5% on 2021, which was a record year.
Ad revenue for the nine months to end-Sept fell 2%, a slowdown from the half-year reflecting weaker advertising in the summer compared to 2021 when the Euro Football Championship was delivering record audiences.
ITV, which has a Studios production arm as well as its broadcast and digital businesses, said on Wednesday that while the World Cup would help ad revenue in November and December, economic uncertainty could impact corporate ad spend.
This year’s soccer tournament is unusual as it is taking place in the northern hemisphere’s winter, rather than summer.
“While we remain mindful of the macroeconomic and geopolitical uncertainty there’s strong operational momentum across both our Studios and Media & Entertainment divisions,” ITV Chief Executive Carolyn McCall said in a statement.
The broadcaster will launch its new ad-funded streaming platform ITVX next month, offering 9,000 hours of programming and backed by a content budget of 160 million pounds next year.
The group’s shares have risen 35% from a two-year low in September, helped by a report saying it was considering selling a stake in its Studios business.
(Reporting by Sarah Young; Editing by Kate Holton)
