ITV plc Interim Results to 30 June 2026
Summary by AI BETAClose X
ITV plc Interim results for the six months ended 30 June 2026
On track for full year guidance
Carolyn McCall, ITV Chief Executive, said:
"ITV delivered a solid H1 performance and we remain on track to deliver our full-year guidance, including good revenue growth in ITV Studios and strong, profitable digital revenue growth within Media & Entertainment.
"ITV Studios' H1 performance reflects the year-on-year phasing of our production slate, with revenue, profit, and margin weighted as usual towards the second half of the year as previously guided. This reflects a significant volume of large deliveries and high-margin licensing deals in H2, over which we have good visibility.
"In M&E, ITVX continues to perform strongly, delivering double-digit growth in both viewing and digital advertising revenues during the period, while Total Advertising Revenue (TAR) grew strongly in the first half and into July, reflecting a very successful Men's Football World Cup and continued strong demand from advertisers.
"The recently announced sale of M&E to Sky represents a substantial milestone for ITV. This transaction will unlock significant value for shareholders, with a net cash return of around £950 million, excluding any contingent consideration, and continued ownership of an attractive, growing global content business in ITV Studios. Underpinned by its world class talent, global scale and unique IP library, ITV Studios is well positioned to deliver above-market profitable organic revenue growth at industry leading margins, strong cash generation, attractive returns to shareholders and an investment grade balance sheet.
"Macro-economic headwinds remain, but we are focused on the performance of both businesses, with continued momentum, disciplined execution of our strategic priorities and a strong second half delivery schedule in ITV Studios. Reflecting our commitment to attractive shareholder returns, the Board has declared an interim dividend of 1.7p, a total of around £60 million, unchanged on prior year. In addition, we are today announcing a £100 million share buyback. This represents an early return of part of the previously announced £950 million net cash return expected on completion of the sale of M&E."
Outlook
We remain on track to deliver our full year guidance.
We continue to expect ITV Studios to deliver good revenue growth over the full year, ahead of the market, driven by external revenue, with a margin at the lower end of the 13% to 15% range, reflecting the revenue mix in the year. We have good visibility over our full year outlook and revenue, margin and profit will be weighted as usual to H2 and particularly Q4, reflecting a really strong delivery schedule. This includes The Gentlemen, The Woods and SuburraMaxima for Netflix, Line of Duty S7 and Vigil S3 for the BBC, Hell's Kitchen S25 and 26 for Fox and Guilty Creatures for Apple TV+, alongside significant high-margin licensing deals within Global Partnerships.
We expect M&E to continue to deliver strong profitable digital revenue growth, driven by ITVX and Planet V. Compared to the same period in 2025, we expect TAR to be down around 5% in Q3 2026, despite a strong performance in July around the World Cup reflecting the current macro-economic headwinds. TAR for the nine months to the end of September is expected to be flat year-on-year.
H1 2026 Group financial performance broadly in line with expectations
Total Group revenue was up 2%, with external Group revenue up 1% year-on-year. Group adjusted EBITA[1] was flat year-on-year, with growth in Total Advertising Revenue (TAR) offset by the expected decline in ITV Studios adjusted EBITA. This reflects the weighting of large productions, and high-margin licensing deals within Global Partnerships, toward the second half of 2026, as previously guided. Group adjusted EPS was up 22% to 2.2p. Statutory profit before tax was up 16% to £78m, and statutory EPS was up 25% to 1.5p.
ITV Studios delivered total revenue growth of 2%, driven by a 9% increase in internal revenue and strong growth in distribution revenues as we continue to successfully monetise our unique and valuable content library. External revenue declined 1% driven by the phasing of deliveries.
ITV Studios' adjusted EBITA declined by 9%, with an adjusted EBITA margin of 10.6%. The decline in EBITA reflects the revenue mix and the profit impact of lower revenue from the previously announced scheduling changes to the Soaps and Daytime production.
Media & Entertainment (M&E) delivered a good first-half performance, with total revenue up 2%. H1 TAR increased by 3%, with Q2 up 8% year-on-year. This was driven by the Men's Football World Cup, which attracted strong advertising and sponsorship demand from both UK and global brands across many advertising categories, and supercharged engagement on ITVX, which delivered record H1 viewing, up 27%, with digital advertising revenue up 13% year-on-year.
We delivered good growth in M&E despite the impact of less healthy food (LHF) regulations which were introduced in October 2025. We continue to work closely with advertisers to mitigate the impact. In H1 2026 we estimate a £20 million impact on TAR from the regulations.
M&E adjusted EBITA grew 37% with the growth in TAR, partially offset by the expected increase in marketing costs for ITV's new brand campaign, and to support the launch of new formats and dramas in H1.
In total across the Group, we achieved £13 million of permanent non-content cost savings in H1 which helped fund investments and offset inflation. We are on track to deliver £20 million of non-content cost savings across the full year.
Reflecting our commitment to attractive shareholder returns, the Board has declared an interim dividend of 1.7p, a total of around £60 million, unchanged on prior year. In addition, we are today announcing a £100 million share buyback. This represents an early return of part of the previously announced £950 million net cash return expected on completion of the sale of M&E. We expect to commence the buyback shortly and anticipate completion within 9-12 months.
Sale of M&E to Sky
On 6 July 2026, we announced the sale of M&E to Sky. The transaction is subject to regulatory approval. The regulatory process has already started with the CMA launching its review process. Given that this is a media merger, we expect the Secretary of State to issue a Public Interest Intervention Notice in due course. The transaction may go to a phase two CMA review and if it does then it is likely that the transaction will complete in H2 2027.
HY 2026 Group Financial Performance
|
Six months to 30 June |
2026 £m |
2025 £m |
Change £m |
Change % |
|
ITV Studios total revenue[2] |
912 |
893 |
19 |
2 |
|
Total advertising revenue |
850 |
824 |
26 |
3 |
|
M&E non-advertising revenue |
125 |
131 |
(6) |
(5) |
|
M&E total revenue |
975 |
955 |
20 |
2 |
|
Total group revenue |
1,887 |
1,848 |
39 |
2 |
|
Internal revenue[3] |
(284) |
(263) |
(21) |
(8) |
|
Group external revenue |
1,603 |
1,585 |
18 |
1 |
|
Total non-advertising revenue |
1,037 |
1,024 |
13 |
1 |
|
ITV Studios adjusted EBITA |
97 |
107 |
(10) |
(9) |
|
M&E adjusted EBITA |
48 |
35 |
13 |
37 |
|
Adjusted EBITA |
145 |
142 |
3 |
2 |
|
Unrealised profit in stock adjustment |
1 |
4 |
(3) |
(75) |
|
Group adjusted EBITA |
146 |
146 |
- |
- |
|
Group adjusted EBITA margin |
9.1% |
9.2% |
- |
(0.1)% pt |
|
Profit before tax (statutory) |
78 |
67 |
11 |
16 |
|
Profit before tax (adjusted) |
108 |
99 |
9 |
9 |
|
Adjusted EPS |
2.2p |
1.8p |
0.4p |
22 |
|
Statutory EPS |
1.5p |
1.2p |
0.3p |
25 |
|
Net debt |
(652) |
(566)[4] |
(86) |
(15) |
|
Reported net debt to adjusted EBITDA leverage |
1.0x |
1.0x4 |
- |
- |
ITV plc's Interim results for the six months ended 30 June 2026 have been submitted in full unedited text to the Financial Conduct Authority's National Storage Mechanism and will be available shortly for inspection at: https://data.fca.org.uk/#/nsm/nationalstoragemechanism.
A copy of the Interim results can be read by accessing the link below. Click on or paste the following link into your web browser to view the associated PDF document. http://www.rns-pdf.londonstockexchange.com/rns/6403O_1-2026-7-30.pdf
A copy of the full Interim results report will shortly be available on the ITV Plc corporate website: www.itvplc.com/investors/results-centre
This announcement is made in accordance with Disclosure Guidance and Transparency Rule 6.3.5(1A).
Virtual results presentation webcast and Q&A:
ITV's virtual results presentation and Q&A session will be held for investors and analysts today at 09:30 BST via the following link. You are now able to pre-register to join.
If you would like to ask a question, you will be able to do so via the following Conference Call details:
Conference Call Dial-In:
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Access Code: 752473
Press *1 to ask a question, *2 to withdraw your question, or *0 for operator assistance.
Please refer to the Global Dial-In Numbers hyperlink above for alternate phone numbers.
Notes to Editors:
1. Unless otherwise stated, all financial figures refer to the 6 months ended 30 June 2026, with the change compared to the same period in 2025.
We measure performance through a range of metrics, particularly through our Alternative Performance Measures (APMs) and KPIs, as well as statutory results, all of which are set out and defined in this report. Please refer to the APM section within the Interim Report for a reconciliation between adjusted and statutory results.
2. Key Performance Indicators - refer to the KPIs section of the Interim Report for full definitions of each KPI
|
Six months to 30 June[5] |
2026 |
2025 |
Change[6] |
|
Group adjusted EPS |
2.2p |
1.8p |
22% |
|
Cost savings |
£13m |
£23m |
(£10m) |
|
Profit to cash conversion - 12 month rolling basis |
63% |
109% |
(46)% pts |
|
ITV Studios total organic revenue growth |
3% |
(1)% |
4% pts |
|
ITV Studios adjusted EBITA margin % |
10.6% |
12.0% |
(1.4)% pts |
|
Total high-end scripted hours |
142 hrs |
125 hrs |
14% |
|
Number of formats sold in 3 or more countries |
11 |
13 |
(15)% |
|
% of ITV Studios total revenue from streaming platforms[7] |
29% |
29% |
- |
|
Total M&E digital revenue |
£307m |
£271m |
13% |
|
Total streaming hours[8] |
1,418m |
1,119m |
27% |
|
Monthly active users[9] |
17.9m |
16.3m |
10% |
|
Share of top 1,000 commercial broadcast TV programmes |
91% |
91% |
- |
|
Share of commercial viewing (SOCV) |
32.6% |
32.5% |
0.1% pts |
|
UK subscribers as at 30 June |
1.1m |
0.9m |
22% |
3. M&E digital revenue breakdown
|
Six months to 30 June |
2026 £m |
2025 £m |
Change % |
|
Digital advertising revenue |
268 |
237 |
13 |
|
Subscription revenue |
26 |
24 |
8 |
|
Other digital revenue |
13 |
10 |
30 |
|
Total digital revenue |
307 |
271 |
13 |
4. Exceptional items: Total operating exceptional items were £24 million (2025: £42 million). This is made up of £31 million of corporate transaction‑related expenses, which are professional fees related to completed corporate transactions and potential corporate transactions, along with performance-based, employment-linked consideration to former owners; £22 million of restructuring, separation and transformation costs; and a £29 million net credit relating to a legal settlement and other costs. Included within total operating exceptional items are £36 million of transaction and separation costs in relation to the sale of M&E to Sky. Further details on total exceptional items are provided in the Finance Review and Section 2.2 of the Condensed Consolidated Interim Financial Statements, which are included within ITV's Interim Report.
5. Planning assumptions for the full year 2026
● The following planning assumptions are based on our current view:
● Profit and Loss Impact:
○ Total content costs are expected to be around £1.225 billion as we continue to optimise our content spend to best reflect viewer dynamics
○ In total, we expect to deliver £20 million of non-content savings. These will come from a combination of new initiatives and annualised benefits from the 2025 savings
○ Adjusted financing costs are expected to be around £40 million
○ The adjusted effective tax rate is expected to be around 27% over the medium-term
○ Exceptional items are expected to be around £95 million, up from previous guidance of £55 million due to the addition of transaction and separation costs in relation to the sale of M&E to Sky. The cash impact is expected to be similar
● Cash Impact:
○ Profit to cash conversion is expected to be around 80% on average over the medium term
○ Total capex is expected to be around £60 million, in line with the prior year
○ The Board has declared an interim dividend of 1.7p, a total of around £60 million, which will be paid in November 2026. The Board intends to pay a full-year ordinary dividend of at least 5.0p, which it expects to grow over the medium term
○ The Board has today announced a £100 million share buyback. This represents an early return of part of the previously announced £950 million net cash return expected on completion of the sale of M&E. We expect to commence the buyback shortly and anticipate completion within 9-12 months
6. The interim dividend timetable is as follows:
|
Ex-dividend date |
Thursday 15 October 2026 |
|
Record date |
Friday 16 October 2026 |
|
DRIP Elections - close |
Tuesday 3 November 2026 |
|
Dividend paid |
Tuesday 24 November 2026 |
7. This announcement contains certain statements that are or may be forward looking statements. Words such as "targets", "expects", "aim", "anticipate", "intend", or the negative of these terms and other similar expressions of future performance or results, and their negatives, are intended to identify such forward-looking statements. These forward-looking statements are based upon current expectations and assumptions regarding anticipated developments and other factors affecting ITV. Although ITV believes that the expectations reflected in these forward-looking statements are reasonable, it can give no assurance that these expectations will prove to have been correct. By their nature forward looking statements involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future. They are not historical facts, nor are they guarantees of future performance; actual results may differ materially from those expressed or implied by these forward-looking statements. There are a number of factors that could cause actual results and developments to differ materially from those expressed or implied by such forward looking statements. These factors include, but are not limited to (i) the general economic, business, political, regulatory and social conditions in the key markets in which the Group operates, (ii) a significant event impacting ITV's liquidity or ability to operate and deliver effectively in any area of our business, (iii) a major change in the UK advertising market or consumer demand, (iv) significant change in regulation or legislation, (v) a significant change in demand for global content, and iv) a material change in the Group strategy to respond to these and other factors. Certain of these factors are discussed in more detail elsewhere in this announcement and in ITV's 2025 Annual Report and Accounts including, without limitation, in ITV's approach to risk management.
Forward-looking statements speak only as of the date they are made and, except as required by applicable law or regulation, ITV undertakes no obligation to update any forward-looking statements, whether written or oral, that may be made from time to time, whether as a result of new information, future events or otherwise. Nothing in this statement should be construed as a profit forecast.
8. The unaudited financial information set out above does not constitute the Company's statutory accounts for the period ended 30 June 2026. Statutory accounts for 2025 have been delivered to the registrar of companies, and those for 2026 will be delivered in due course. A full copy of the 2025 Annual Report and Accounts is available online at www.itvplc.com. The auditors has reported on those accounts; their reports were (i) unqualified, (ii) did not include a reference to any matters to which the auditor drew attention by way of emphasis without qualifying their report and (iii) did not contain a statement under section 498 (2) or (3) of the Companies Act 2006.
For further enquiries, please contact:
Investor Relations Media Relations
Pippa Foulds +44 7778 031097 Paul Moore +44 7860 794444
Faye Dipnarine +44 20 7157 6581 Laura Wootton +44 7917 862293
[1] Our APMs are defined within the APMs section of our full Interim Report. It also includes a full reconciliation between adjusted and statutory results
[2] Total ITV Studios revenue includes £52 million (30 June 2025: £39 million) of intra-segment revenue derived from trading between Global Partnerships and ITV Studios productions
[3] Internal revenue predominantly relates to ITV Studios and originates mainly in the UK and includes trading between ITV Studios and M&E, and Global Partnerships and ITV Studios productions
[4] Net debt and leverage as at 31 December 2025
[5] KPIs for the six months to June 2026 and 2025 are unaudited
[6] % change for performance indicators is calculated on rounded numbers
[7] The methodology to calculate the % of ITV Studios revenue from streaming platforms has been updated to include a portion of revenues from UK free-to-air broadcasters where content is commissioned for both streaming and linear purposes and is released first on the streaming platform. H1 2025 has been restated to reflect this inclusion, it was previously reported at 27%
[8] Total streaming hours were reported as 1,142m in H1 2025, which included some estimates of total streaming viewing from third-party data providers. This has since been updated to reflect final data
[9] Total monthly active users (MAUs) were reported as 16.4m in H1 2025, which included some estimates of users from third-party data providers. This has since been updated to reflect final data
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