ITV shares crash as 2019 profit slips

ITV plc (LON:ITV) shares crashed on Thursday after it revealed that profit fell across the full year.

Shares in the British media company were trading over 11% lower on Thursday.

ITV said that, for the full year ended 31st December 2019, statutory profit before tax fell by 7% to £530 million, compared to the £567 million figure recorded in 2018.

However, total group revenue rose by 3% to £3.89 billion, up from £3.77 billion in 2018.

It added that broadcast total revenue decreased by 2%, but ITV Studios total revenue increased by 9%.

Looking ahead, the media company expects total advertising revenue to be up by 2% in the first quarter of the year, and early indications suggest that total advertising revenue will be down by 10% in April.

Commenting on the evolving coronavirus outbreak, the media company said: “we have seen an impact from travel advertising deferments relating to the Coronavirus. All deferments to date have been included in this guidance.”

Many companies have issued similar warnings, outlining the negative impacts the coronavirus may have on their respective businesses.

“Thanks to the hard work of our teams across the business, our full year results have come in ahead of expectations helped by revenue growth in the second half of the year in ITV Studios, advertising and online,” Carolyn McCall, Chief Executive, said in a company statement.

“We are making good progress in each area of our strategy and our investments in data, technology, online and in streaming will enable ITV to be a sustainable, diversified and structurally sound digital media and entertainment business,” the Chief Executive continued.

Shares in ITV plc (LON:ITV) were down on Thursday, trading at -11.01% as of 12:31 GMT.