The U.K.’s ITV has announced strong profit growth in its full-year results for 2024, despite facing challenges from the U.S. actors and writers strikes and softening demand from traditional broadcasters. The British media giant reported an 11% increase in group adjusted EBITA to £542 million ($700 million), driven by record profits at ITV Studios and growth in its Media & Entertainment division.
ITV’s total group revenue dipped 3% to $5.34 billion, with the decline in ITV Studios revenue offsetting growth in advertising. However, the company’s streaming platform ITVX emerged as a standout performer, with digital viewing up 12% and digital advertising revenue jumping 15% in 2024. ITVX has been the U.K.’s fastest-growing streaming platform over the last two years, delivering attractive returns ahead of schedule and helping drive Media & Entertainment profits up 22% to about $322 million.
ITV Studios, despite a 6% revenue drop to $2.63 billion, increased its adjusted EBITA by 5% to $386 million with an improved margin of 14.7%. The studio division delivered several high-profile successes including “Mr Bates,” “Fool Me Once,” and “Rivals.” The company’s efficiency program also delivered significant savings during 2024 and is expected to continue into 2025.
ITV’s statutory operating profit and profit before tax saw significant increases in 2024, with a profit-to-cash conversion rate of 83% and net debt slashed to $5.57 billion. Looking ahead, ITV forecasts good revenue growth for ITV Studios in 2025 and plans to launch a new digital studios label, Zoo 55, to drive high-margin growth from the global digital distribution market.
The board has proposed a final dividend of 3.3p per share, bringing the full-year dividend to 5.0p, totaling around $245 million. With content production and digital revenues making up nearly two-thirds of income, ITV is positioning itself as a more resilient business capable of delivering profitable growth, strong cash generation, and attractive returns to shareholders.
