Broadcaster ITV predicts advertising slowdown

ITV, Britain's biggest free-to-air commercial broadcaster, said its net advertising revenues (NAR) were flat in the first eight…

ITV, Britain's biggest free-to-air commercial broadcaster, said its net advertising revenues (NAR) were flat in the first eight months, compared with a 1 per cent decline in the wider market, but would likely drop 20 per cent in September.

The overall market would likely drop 17 per cent in September, ITV said today, where tough comparisons with last September's rugby World Cup applied.

First-half group revenue rose 3 per cent to £1.031 billion ($2.01 billion), slightly ahead of Reuters Estimates consensus of £1.020 billion, but earnings before interest, tax and amortisation fell 20 per cent to £121 million.

The broadcaster, struggling with severe advertising budget cuts in Britain, targeted an extra £35 million of cost savings by the end of 2010 and halved its interim dividend to 0.675 pence.