Sky plots int’l growth, £100m drama boost

Riviera is based on an idea by former U2 manager Paul McGuinness

European satcaster Sky has revealed plans to enter new markets and increase its annual spend on original drama following a boost to its profits and revenues.

The company, which is currently the subject of a bidding war between US media giants Comcast and 21st Century Fox, reported annual revenues of £13.6bn (US$17.9m) today, up 5% on last year.

This has led it to pledge to increase its gross investment in original drama by around 25%, up from £400m to £500m, with almost half of that set to be spent on returning shows such as Riviera, Babylon Berlin and Gomorrah.

Recent originals include Patrick Melrose, a limited series starring Benedict Cumberbatch and based on Edward St Aubyn’s contemporary novels, while its first major coproduction with US premium cablenet HBO, Chernobyl, is set to air in 2019.

The firm also said it plans to open up new opportunities for growth by developing additional services and entering new markets. It is currently available in the UK, Ireland, Germany, Austria, Italy, Switzerland and Spain.

“We will further extend our position as Europe’s largest direct-to-consumer media and entertainment business by deploying Sky’s leading brand and platform more widely,” Sky said.

The company’s annual report also stated that Sky Vision, its international sales arm, had hit its £200m revenue target two years early.

“Our Sky original programming goes from strength to strength. Over the course of the next 12 months, we will grow our original output, which is increasingly focused on high-quality local stories for local markets as a key differentiator to acquired content,” Sky said.