ITV Says Studios Biz Has Hit “Key Strategic Goal” But Full-Year Revenue At 70-Year-Old Broadcaster Stays Flat

As ITV prepares to sell its networks biz to Sky, the 70-year-old broadcaster’s studios arm has hit a milestone.

With the publication of its annual results this morning, CEO Carolyn McCall said ITV has hit a “key strategic goal.” ITV Studios, plus its digital Media & Entertainment biz, now accounts for two thirds of overall total revenue, she added.

Revenue at ITV Studios once again outgrew the wider broadcasting business at ITV last year, the results revealed.

ITV Studios, which makes and sells the likes of Love Island and Hell’s Kitchen, posted a revenue rise of 5% to £2.13B ($2.84B), with “external revenue,” shows made outside ITV, shooting up by a heftier 10%, although revenue made in the U.S. actually declined by 18%. Adjusted EBITA remained flat for ITV Studios.

ITV Studios, which is run by Julian Bellamy, would also have been pleased to see scripted growth of 10% for the 12 months to 31 December 2025, another key target.

Overall, ITV group revenue for the year remaiend flat at £4.14B, with revenue in the Media & Entertainment biz, which is the commissioning and advertising side, declining by 5%.

The results reflect a pattern from the last few years, ever since McCall and Bellamy set weighty growth targets for ITV Studios, one of which has now been hit.

“As part of the strategy, in 2022 we set intentionally ambitious targets and have been adapting as necessary in a rapidly evolving media and entertainment market,” said McCall. “These targets are helping us transform ITV – creating a much more entrepreneurial, ambitious culture. Our strategy is yielding clear results, generating strong outcomes across both ITV Studios and M&E. And in doing so, we have achieved a key strategic goal with two-thirds of our revenues now coming from ITV Studios and our digital M&E business.”

The ITV network is up for sale. Late last year, ITV, which had been rumored to be fattening up for a sale for months, shocked the industry when it revealed Sky wanted to buy its networks division. That deal, which does not include the ITV Studios production and distribution arm, rumbles on, while interest appears to remain in ITV Studios. Banijay, which is about to merge with All3Media, refused to rule out ITV Studios interest earlier this week.

For the previous financial year, profits tumbled 32% but the production arm performed well. A Q3 trading updated several months back came out “better than expectations” for the first three months.