Channel 4 reports £1.14bn revenues amidst “challenging consumer environment”

UK pubcaster Channel 4 has reported it ended the financial year 2022 with total revenues of £1.14 billion, less than 2% below 2021’s record £1.16 billion, following a significantly more challenging consumer environment.

According to its latest annual report, Channel 4 digital advertising brought in £255 million, accounting for 22% of revenues.

This was a 14% increase over 2021, with Channel 4 on track to reach its Future4 target of 30% of revenues coming from digital advertising by 2025.

Across streaming, Channel 4 earned a total 1.4 billion views, unable to reach its record of 1.5 billon views in 2021. However, the PSB notes 2021 had the advantage of increased home viewership due to stay-at-home restrictions amidst the pandemic.

The broadcaster also invested £713 million on content, with £570 million spent on originated content.

Channel 4 also reported 16-34-year-olds made up one-third of its user base and 85% of the UK’s 16-34-year-olds with a Channel 4 streaming account. C4’s newly launched digital brand Channel 4.0 on YouTube aimed at younger audiences, generated more than 42 million views.

Sir Ian Cheshire, chair of Channel 4, said: “Channel 4 faced unprecedented challenges: privatisation, political instability and macroeconomic turbulence continuing into this year. Channel 4’s exceptional team has steered the organisation to the benefit of British viewers and the creative industries. Channel 4 is focused on being more digital as a broadcaster and more commercial as a business, transforming into a public service streamer. With a uniquely strong brand, Channel 4 is very well-positioned. However, we need Government’s help to address prominence, so young audiences can continue to find safe and trusted British video that reflects their lives. There is no time to lose.”

Alex Mahon, CEO of Channel 4, added: “With Channel 4’s financial sustainability and ownership status no longer in question, we are doubling down on what we were created for: to deliver the best and broadest range of programmes that truly reflect British lives; to engage young people with genuinely public service content; and to prioritise digital growth to be where the audience is.”