UTV's local stations outperform market
Revenue at UTV’s local radio stations grew in the first quarter of 2014 with an increase of 10%, compared with a market performance of around 3%.
talkSPORT’s revenue was up by 16% in the quarter, helped by the positive impact of the build up to the 2014 FIFA World Cup. Total local revenues were unchanged as a result of an anticipated decrease in revenues from digital multiplexes.
The company says: “We expect that this strong growth in talkSPORT associated with the FIFA World Cup will continue into Q2, with revenues forecast to be up 45% year on year. Together with rising local radio revenues, forecast in Q2 to be up 2% year on year, we anticipate that our Radio GB divisional revenue in the second quarter will be 26% up on the same period last year, in line with our forecasts.
“Radio GB revenue for the first six months of 2014 is consequently expected to be up 18% on last year.”
In Ireland, UTV Radio Ireland expects positive market conditions in Q2 (market up around 1%), to result in a revenue increase of 7% in local currency basis in this period. As a result, Radio Ireland revenue for the first half of 2014 is anticipated to be up 8% on a local currency basis on the same period last year.
The company also gave an update to its upcoming new television station for Ireland, saying with ITV Studios programming providing the spine of the schedule, they are “well advanced in acquiring additional attractive programming and in developing high quality local programming which will appeal to Irish viewers.”
Staff at radio stations across Ireland will play their part in the new station too, which will launch next year. “We have appointed key personnel with proven track records in the Irish marketplace who will be supported by our already strong media team and existing base of high quality media assets in Ireland,” the company said. “We remain confident of the opportunity that the new channel offers us to create significant long term shareholder value.”