25th Sep 2025 12:05
(Alliance News) - STV Group PLC on Thursday said it is confident it can navigate the current difficult trading environment, despite falling into the red at the half-year stage and passing on paying a dividend.
The Glasgow-based media company swung to a pretax loss of GBP200,000 in the six months to June 30 compared to a GBP4.8 million profit the year prior. Operating profit dropped 49% to GBP3.3 million from GBP6.5 million.
Revenue edged down 0.4% to GBP90.0 million from GBP90.4 million with total advertising sales down 10% to GBP45.6 million from GBP50.7 million, partly reflecting tough comparatives from the Euro 2024 football tournament. Studios revenue grew 13% to GBP42.2 million from GBP37.5 million, despite a difficult commissioning market.
No dividend was declared compared to the 3.9 pence per share paid last year, while net debt increased to GBP35.7 million from GBP28.0 million. STV said it will review the position on the dividend alongside its full-year results.
STV said it expects a cost savings programme to deliver additional cost savings of GBP3 million per annum, with around GBP2.5 million to be delivered in financial 2026 at an expected cost of GBP1 million. These savings are incremental to the previously announced target of a GBP5 million run rate by the end of 2026.
The firm left guidance for 2025 unchanged and said third quarter total advertising revenue is expected to be down 8% with visibility "limited". Current indications for October look similar, it added.
Chief Executive Rufus Radcliffe said he had confidence that STV will navigate the "currently difficult trading environment in both our key markets" and deliver "sustainable value to our shareholders."
He said the cost cuts are necessary to "strengthen our financial resilience and position STV for long-term growth."
Shares in STV were down 4.4% at 109.50 pence each in London on Thursday.
By Jeremy Cutler, Alliance News reporter
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