Sharewatch: ITV Bounces Back As Profits Rise

The UK’s largest commercial broadcaster, ITV, saw a strong performance yesterday, bouncing back from a slump last week to add 3.21% to its share price, closing at 104˝p, as its recently launched autumn schedule began to bear fruit.

The latest agency estimates from MediaTel Group have revealed a year on year rise in revenues of 9.2% for ITV, representing a return of confidence in the broadcaster, as it appears to have wooed advertisers with its latest programme line-up. The success also serves to repair damage done to ITV’s revenues by the BBC’s successful Olympic coverage in August (see TV Market Round-Up – September 2004).

Elsewhere, Kelvin MacKenzie’s Wireless Group added 1.36% to its total to close at 74˝p. The radio heavyweight yesterday announced a bid for an FM radio licence in Belfast in partnership with local newspaper, the Belfast Telegraph. If successful the bid will add to the company’s portfolio of 16 local radio stations across the UK (see Wireless Group Bids For Belfast FM Licence).

Advertising giant WPP also experienced growth yesterday, adding 3.06% to close at 539˝p. The company yesterday announced its third quarter results, topping expectations with new business orders and revealing a rise in revenue of nearly 4% to £1.068 billion. The increase marks the first time the company has broken through the billion-pound barrier in a three-month period (see WPP Revenues Exceed Expectations And £1bn Barrier).

The FTSE 100 put in a modest performance yesterday, rising by 18.9 points to close at 4,583.4, while the FTSE 250 added an impressive 35.4 points to close at 6,277.0.

The closing prices of media company shares on Tuesday were: