BBCWW reveals returns dip

Planet Earth II, BBCWW’s highest-selling show

BBC Worldwide (BBCWW) has contributed around £12m (US$15.6m) less to the BBC over the past year compared with 2015/16, despite posting an increase in headline sales and profits.

The BBC’s commercial arm returned more than £200m back to the pubcaster for a third year running after posting headline sales of £1.06bn, up 3% from £1.03bn this time last year.

BBCWW returns came in at £210.5m over the past 12 months, 12.2% of the BBC’s total TV spend, but a decline on 2015/16’s figure of £222.2m.

Profits were up 17.6% to £157.3m, powered by nature series Planet Earth II, from BBC Studios’ Natural History Unit, which has now been sold to 154 markets.

Formats such as Dancing with the Stars continue to perform, with Dancing Brasil fuelling the format end of business, while BBCWW invested £99m in commissions, up from £92.7m in 2015/16.

Indie investments, which BBCWW has ramped up over the past two years, were also up, jumping 26% to £146.4m.

BBCWW CEO Tim Davie said concentrating efforts on core areas of growth and “being bold in our transformation ambition” had helped to deliver “another strong year of results.”

Tim Davie

He added: “Ever-closer relationships with producers, driving excellent content, along with acute customer focus, creative deal-making and strategic partnerships, are together enabling us to navigate the rapid shifts in the markets where we operate.”

Davie admitted the outlook remained “unpredictable” but said demand for programming had “largely held up well overall.”

He highlighted Blue Planet II and drama duo Top of the Lake (season two) and McMafia as particular reasons for “confidence in our future prospects.”

BBCWW said sales to SVoD services remained buoyant and added that strong demand from VoD clients fuelled content sales growth to £422.4m, up 9.9%.

The UKTV and BBC America joint ventures had been “excellent” performers, the company revealed, adding that its cash return was down on the previous year because of lower disposal proceeds.

BBCWW said its total content investment stood at £173.9m, with more than half invested into drama. Three of the five top-selling programme brands – Doctor Who, Orphan Black, Planet Earth II, Sherlock and Top Gear – were made by BBC Studios.

The most widely sold programme was Planet Earth II, followed by season four of Sherlock.

The pubcaster’s commercial arm added that its decision to close UK-based on-demand service BBC Store came because “the overall level of demand was not strong enough to underpin a sustainable business over the long term.”