STV says cost-cuts will ‘protect profitability’ as new radio station gets ‘positive response’
“We are also exploring the strategic options that are emerging given the rapidly evolving media landscape” – Rufus Radcliffe, CEO
STV, the Glasgow-based broadcaster in hot water over plans to shake up its news output and cut jobs, said it was on track to make millions of pounds in cost savings to “protect profitability” and bolster its balance sheet.
In a trading update to investors, the group said its full-year revenue was expected to be towards the top end of a guidance range of £165 million to £180m, with adjusted operating profit in line with current consensus of £11.4m.
It noted that its actions announced in September to protect profitability would deliver a £2.5m cost reduction in 2026 as planned. These savings are incremental to the previously announced target of a £5m run rate by the end of 2026.
Last month, Ofcom indicated it would support STV’s new proposed changes to its News at 6 programme, which will include some dedicated output for viewers in the north of Scotland.
The communications regulator said it “proposes to accept” the plans, which will see around a third of content created specifically in the region, despite the programme being produced and presented in Glasgow. However, politicians condemned the plans as a “dire decision”.
STV previously announced plans to replace its Central Belt and north of Scotland news programmes with a single show from Glasgow, as part of a cost savings drive which would cut some 60 jobs across the whole organisation, with about 30 in news specifically being impacted.
In its latest trading update, the group also noted that STV Radio had successfully launched this month to an “early positive response” from the advertising market and listeners.
Chief executive Rufus Radcliffe said: “STV will deliver a full year 2025 in line with current expectations. The macro-uncertainty of [the second half of] 2025 has continued into early 2026 with subdued advertising and commissioning markets persisting, although the upcoming 2026 Fifa World Cup provides an important event for advertisers and viewers alike.
“We are on track to realise previously identified cost savings to protect profitability and provide balance sheet resilience.
“Our new growth venture, STV Radio, is off to a promising start. We are also exploring the strategic options that are emerging given the rapidly evolving media landscape.”
The group's full-year results are due to be announced on March 17.
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