ITV PLC (LSE:ITV) saw underlying profits fall 31% in the first half of the year as advertising revenue fell less than expected.
Group revenue fell 3% to £1.85 billion as total advertising revenue (TAR) fell 7%, better than the 8% decline that management had previously guided as digital advertising revenue grew 12%.
Management highlighted that last year had seen an exceptional TAR performance, with this year only down 2% compared to the first half of 2023.
Group revenues were also cushioned by the ITV Studios division increasing revenue 3% to £893 million, with external revenue up by 11%.
Earnings (adjusted EBITA) declined 31% to £146 million, impacted by strong advertising comparatives in the prior year.
Chief executive Carolyn McCall announced an additional £15 million in non-content cost savings, bringing the full-year target for 2025 to £45 million.
She said: "ITV is now a leaner, more digital business in a strong position to compete and succeed in a changing market.
"We have the agility and capability to make the most of new revenue opportunities while driving profitable growth, strong cash generation and attractive returns to shareholders."
She expects total content spend for 2025 to be around £1.23 billion, down from previous guidance of £1.25 billion.
An interim dividend of 1.7p per share was declared, flat compared to last year.
For the second half of the year, McCall expects "good growth in total revenue, faster than the global content market", with revenue, profit and margin at ITV Studios all expected to be weighted to the second half due to the timing of high-margin productions.