STV celebrate ‘financial performance’ and ‘continued growth’

STV, the Glasgow-based media company, noted their highest revenue (+35% on 2020) and adj. operating profit (+39% on 2020) on record.

The company, the ‘Channel 3’ broadcaster for Scotland with STV North and STV Central as well as production company STV Studios had a total revenue of £144.5m, +35% on 2020 and +17% on 2019, reflecting continued momentum in Studios and a resurgent advertising market.

Simon Pitts, Chief Executive Officer:

“2021 was an exceptional year of growth for STV which saw us deliver the highest revenue, operating profit and lowest net debt on record. We continue to support our people, partners and communities as we emerge from the pandemic with momentum and confidence. We are taking full advantage of the growth in video viewing, with STV recording its highest viewing share since 2008 and our streaming service STV Player growing streams by 63%, thanks to huge audiences for new dramas and Euro 2020.  This viewing success propelled us to our highest ever advertising revenues, +24% on 2020 and 11% ahead of 2019, with growth continuing into 2022.”

The last independent company, on the once ITV Network,  also saw STV-controlled advertising continue to deliver strong growth, with video on demand (VOD) advertising on the STV Player +38% (+54% on 2019) and regional advertising +22% (+16% on 2019). The STV Studios arm’s revenue trebled year on year, to almost £27m (2020: £8.7m; 2019: £13.7m).

While in broadcasting it was also a boon with STV’s all-time viewing share at 19.6% (2020: 19.2%), the highest since 2008. STV is still the most-watched peak time channel in Scotland, with a share of 22.2%.

And who says local ITV doesn’t work, other than ITV, with STV proving once again the audience appreciate the Scottish flavour with the highest viewing share gain of any commercial channel in the UK, +2%, despite tough lockdown comparators of 2020. This appetite for ‘regional ITV’ is backed with STV News at Six remaining Scotland’s number one news programme for the 3rd year in a row, with an average audience of 468k viewers.

Simon Pitts, Chief Executive Officer:

“2021 was an exceptional year of growth for STV which saw us deliver the highest revenue, operating profit and lowest net debt on record. We continue to support our people, partners and communities as we emerge from the pandemic with momentum and confidence. We are taking full advantage of the growth in video viewing, with STV recording its highest viewing share since 2008 and our streaming service STV Player growing streams by 63%, thanks to huge audiences for new dramas and Euro 2020.  This viewing success propelled us to our highest ever advertising revenues, +24% on 2020 and 11% ahead of 2019, with growth continuing into 2022.”

In advertising: The STV Growth Fund attracted a further 85 new advertisers to television in 2021, taking the total to over 320 since launch, with the fund, boosted to £30m for 2022 to support Scotland’s economic recovery. Digital content sees the STV Player growth continues as 1000 hours of new and acquired drama was added in 2021 leading to streams up 93% in 2021 and now represent 42% of all VOD streams (compared to 6% in 2019).

STV Studios delivered its most successful year yet with 16 new commissions, 12 returnable series and now 7 returning series, their first major streaming commission secured, Zodiac Island, for Discovery+ and a 9th creative label added through a minority investment in entertainment and quiz specialist Mighty Productions. The production division has also an exclusive partnership with drama producer TOD Productions, which has been extended for a further 3 years.

Simon Pitts, Chief Executive Officer:

“Our strategy of creating a more diversified media business through a relentless focus on digital streaming and production growth is delivering, with these new areas now making up 36% of our total profit. We added 1000 hours of drama boxsets to STV Player and grew active users by 54%, with over a fifth of VOD streams now coming from outside Scotland. STV Studios enjoyed its best-ever creative and financial performance in 2021, winning 16 new programme commissions across the genres, with plenty more to come as we aim to become the UK’s leading nations and regions producer.

“Our social purpose agenda is now embedded right across the business, with the STV Children’s Appeal distributing £4.4m to families and young people living in poverty in 2021, and our new Expert Voices campaign offering media training to over 400 people from under-represented groups in Scotland, with more than 40 already appearing on air.  I was also proud of the leading role we played at COP26, as we continue to promote climate action through our sustainability strategy, STV Zero.”