Ulster Television says that trading in the second half of 2005 is broadly in line with expectations.
In a trading update this morning, UTV says that advertising revenue in the company's Irish radio stations continues to enjoy good growth and should be up by about 16% in the second half. It adds that it expects to write off costs of about £0.6m, including pre-operational expenditure of £0.4m, in its new radio station in Belfast, which was launched last month.
However, the company warns that the television advertising market place remains difficult and says that revenue from this source is expected to be down by about 3.5% in the six months to 31 December 2005.
UTV predicts 'strong revenue growth of at least 50%' for its new media division in the second half of the current year.
In today's statement, the company also gives an update regarding the integration of UTV Radio, formerly the Wireless Group, which was bought last June for £97m. The group comprises the UK national talk station TalkSport and 16 independnet local radio stations.
UTV says that senior management changes have been implemented and a new team, under the leadership of Scott Taunton, is now in place at the group. It says that cost synergies have been instituted to achieve the estimated savings of £1.5m in the first full year of ownership.
It adds that in the six months to the end of December, revenue at UTV Radio is expected to be up by about 5%. UTV says this should comfortably outperform the UK radio advertising market. in Great Britain.
'We are very pleased with the performance of UTV Radio, especially talkSPORT where revenues are well ahead of last year,' comments UTV's Group CEO John McCann.
'With the football World Cup in 2006, we anticipate continued growth at UTV Radio and we look forward to the launch of Talk 107 in Edinburgh in February,' he adds.
