ITV jumps 7.3% after 1H adjusted pretax profit beats estimates

ITV jumps 7.3% after 1H adjusted pretax profit beats estimates

British broadcaster ITV has seen its shares rise by 7.3% following the release of its first-half 2025 results, which beat market expectations. The company reported an adjusted pretax profit that exceeded analysts' forecasts, driven by strong performance across its advertising and Studios divisions.

ITV's total advertising revenue (TAR) for the first half of 2025 decreased by 7% compared to the same period last year, but this was a better result than the expected 8% fall. The Studios division, which produces content for platforms like Amazon Prime Video and Netflix, saw a 3% increase in revenue. This growth is expected to continue in the second half of the year, with profits anticipated to rise due to high-margin sales from shows like "Rivals" and "The Reluctant Traveller" [1].

The company also announced additional cost savings of £15 million ($20.4 million), bringing the total for 2025 to £45 million ($61 million). This strategic cost management is part of ITV's plan to reshape its cost base and reflect the industry's dynamics.

ITVX, the broadcaster's ad-supported streaming platform, recorded a 12% year-on-year increase in digital ad revenues, with streaming hours surging by 15% and monthly active users rising to 16.4 million. The company's expanding digital footprint and upcoming slate of shows, such as "Cold Water," "Trigger Point," and "Big Brother," are expected to drive growth in the second half of the year.

Despite a 31% drop in group adjusted EBITA for the first half of 2025, ITV remains confident in achieving good full-year revenue growth in both Studios and ITVX. The company's CEO, Carolyn McCall, reiterated that ITV is "a leaner, more digital business in a strong position to compete" [2].

References:
[1] https://www.tradingview.com/news/reuters.com,2025:newsml_L8N3TL0AE:0-uk-s-itv-half-year-comes-in-ahead-on-advertising-beat-strong-studios-demand/
[2] https://variety.com/2025/tv/news/itv-half-yearly-profits-drop-1236468600/