Reaction: broadcaster STV's FY profit jump amid 'tough' backdrop receives good reception

Glasgow-headquartered broadcaster STV has tuned into increased full-year profits as its diversification strategy gains momentum but income dialled down slightly on the back of lower advertising revenue.

The London-listed firm in 2022 saw revenues retreat 5 per cent to £137.8 million, and said total advertising revenue was as highlighted in a trading update in December only down 2 per cent from a record 2021 to £110m, although digital revenue, for example, was up 7 per cent at £19m. Adjusted operating profit grew 2 per cent to reach a record £25.8m, while pre-tax profit jumped 11 per cent to £22.2m. Adjusted basic earnings per share fell to 42.3p from 45.6p, and its board is proposing a final dividend of 7.4p, bringing the full-year amount to 11.3p, a 3 per cent year-on-year uplift.

In terms of highlights, STV said its diversification is paying off, noting that its STV Studios arm “continues to scale rapidly”, with 30 new commissions and now 11 returning series, three major new returnable drama series currently in production for Apple, BBC and C4, and 2023 set to be a breakthrough year with more than £50m of commissions already secured for delivery, more than double the 2022 level.