ITV PLC (LSE:ITV) shares slipped 0.8% to 67.95p on Thursday despite the broadcaster posting stronger-than-expected revenue for the first nine months of 2025 and reaffirming its full-year outlook.
However, ITV expects total advertising revenue to fall around 9% in the fourth quarter and about 6% for the year, blaming an increase in caution among many UK businesses ahead of the Budget later this month.
In response, the group plans £35 million in temporary savings in its Media & Entertainment division, including £20 million from rescheduling some programming and £15 million from reduced discretionary spend.
Nine-month group revenue rose 2% to £2.8 billion, as an 11% increase in ITV Studios sales and a 15% jump in digital advertising as held back by a 5% fall in total advertising revenue (TAR).
In the third quarter alone, TAR was flat at £817 million in the third quarter, outperforming guidance, but was lower in the year-to-date due to tough comparisons with 2024’s Euros-fuelled performance.
ITV Studios, which supplies programmes to global streaming platforms including The Reluctant Traveller for Apple TV, Love Island Games for Peacock in the US, Frauds for ITV and The Guest for BBC, continued to perform strongly, helping offset weakness in traditional advertising.
Chief executive Carolyn McCall said ITV had “delivered a good performance in a tough advertising market,” adding that cost control and digital momentum were supporting earnings resilience.
ITVX, the company’s streaming service, saw viewing hours rise 14%, while digital revenues increased 13%.
McCall reaffirmed ITV’s goal of generating at least £750 million in digital revenues by 2026 and said the broadcaster remains confident in its “strong Q4 slate” including I’m A Celebrity and major football coverage.