Shares in ITV (LON:ITV) have jumped in London this morning, ahead of the group’s interim results tomorrow. The update will come after the blue-chip broadcaster announced last week that it had appointed easyJet’s (LON:EZJ) boss Carolyn McCall as its new chief executive.
As of 09:33 BST, ITV’s share price had added 1.14 percent to 177.50p, outperforming the broader UK market, with the benchmark FTSE 100 index currently 0.73 percent better off at 7,431.26 points. The groups shares have lost more than six percent of their value over the past year, and are down by some 14 percent in the year-to-date.
ITV is scheduled to update investors on its interim performance tomorrow and Hargreaves Lansdown notes that the main focus will be the health of the core UK market, which has come under pressure since the Brexit vote. Interactive Investor meanwhile quoted UBS as forecasting revenues for the full-year 2017 of £3 billion generating pre-tax profit of £576 million, up four percent year-on-year.
The results will come after ITV announced this month that easyJet chief executive Carolyn McCall will replace Adam Crozier at the top. Interactive Investor quoted Liberum as saying that the move suggested that “the company is comfortable with its strategic direction, but [McCall’s] strong personal links should be helpful in several areas”.
Liberum remains bullish on ITV in the run-up to the results, having reiterated their ‘buy’ stance on the shares yesterday.
“One of the major criticisms made against the TV broadcasters is that younger audiences are deserting TV,” the broker’s analyst Ian Whittaker said, as quoted by Citywire. “However, what is interesting for ITV2, is that is 16-24 audience increased 22 percent year-on-year in 2016 and is likely to increase again in 2017.”