UTV Sees Earnings Increase After TalkSport Purchase

Ulster Television has released its preliminary results for the year ending 31 December 2005, revealing a 19% rise in earnings thanks to its acquisition of the TalkSport radio station.

A pre-tax profit of £20.8 million was reported by the company for 2005 as a whole, up from £17.5 million in 2004. The increase follows UTV’s purchase of TalkSport last June (see UTV Shareholders Approve TWG Acquisition), as well as its purchase of Irish radio group LMFM (see UTV Boosts Radio Portfolio With LMFM Acquisition).

Turnover at UTV was up 46% year on year, hitting £92.72 million. The company remains optimistic for the coming months, with a 9% increase in ad revenues being forecast for its UK radio business in the first quarter of 2006, despite an 11% decline expected for the market as a whole.

Delivering the results, UTV’s chief executive, John McCann, claimed the company would outperform a weak market for both television and radio advertising, thanks to strength in the Irish economy.

UTV’s television arm is expected to post revenues down by 8% in Q1 2006, with the company citing the continued decline of ITV1 as the main reason for the dip.

However, the prospect of the World Cup and Easter holidays in Q2 see the company in more bullish mood, with the UTV expecting a stronger performance towards the middle of the year.

UTV: 02890 328122 www.utv.co.uk