Channel 4 has announced an increase in profits of 9%, allowing the broadcaster to pump an extra £50 million into its programming budget this year.
The rise sees the broadcaster’s profits hit £48.5 million, with advertising growth of 6% over the year increasing turnover to £894 million.
Channel 4’s main channel saw advertising and sponsorship revenue grow by 4.5% to £733 million in 2005, with the trend continuing into 2006 so far.
Announcing the results this morning, Channel 4 chief executive Andy Duncan said the company had “bucked the market” and would make the extra investment onscreen and online in order to continue its “gravity defying” performance.
Revenues at the broadcaster’s digital channels saw an impressive 14% increase, rising to £88 million following the launch of More4, and the transition of E4 to free-to-air broadcasting.
Channel 4 will move its remaining subscription-only channel, FilmFour, to Freeview later this year, taking adverts on the channel for the first time before launching a paid-for on-demand service via the internet.
Amongst the new investment will be extra cash for current affairs and PSB content, as well as a “record investment” by Channel 4 in original drama and comedy content for the main channel.
Elsewhere, More4 will receive £20 million to spend on original British programming, comprising news, documentaries, drama and current affairs content.
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