ITV reports profit after cost cutting

ITV, Britain's biggest commercial free-to-air broadcaster, said its key net advertising revenue would rise 7 per cent in the …

ITV, Britain's biggest commercial free-to-air broadcaster, said its key net advertising revenue would rise 7 per cent in the first quarter as it recovers from a 9 per cent 2009 drop and the worst ad recession on record.

The company, home to shows such as X Factor and Coronation Street, also said it expected ad revenues to be up around 15 per cent to 20 per cent in April.

The group said it had cut more costs than expected and it also gave a date for its new chief executive to take over. Adam Crozier will start on April 26th.

ITV in November appointed Archie Norman, a turnaround specialist and former Conservative politician, to become chairman and he in turn appointed the Royal Mail boss Mr Crozier as CEO.

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ITV reported 2009 revenues down 7 per cent at €1.88 billion, compared to a Reuters poll forecasting €1.86 billion. Pretax profits were at €25 million, compared to a fall in 2008 of €2.7 billion due to an impairment charge.

ITV signalled the start of the long-awaited improvement in advertising markets when it forecast a surprise upturn in December.

Since then media buyers and broadcasters have said ad markets are slowing improving.

Reuters