BBC Studios Signals Tough Times Ahead With Ability To Deliver Revenues
Within the context of a broader concern by the BBC's management that the British media institution is being dragged into a financial quagmire with falling finances, BBC Studios (the commercial arm of the organisation) has also issued the warning that current market realities will mean that its ability to deliver expected revenues in the next year is heavily hamstrung.
In the annual report presented on Tuesday, BBC studio is urging managers to preserve cash and put a tight rein on costs as it looks into an "unprecedently tough trading period ahead". This bleak projection is coming at the heels of a year that saw BBC Studio's "highest-ever level of content investment" as well as and its "best year for content sales globally - delivering sales figures though to be around GBP 1,388 million.
Media analysts are also bemused with the financial straits that the BBC Studios has flagged, given that on of its channels, the BBC World News registered a global audience increase of 12 per cent from the preceding year.
BBC studio's parent company, the BBC, has said that as a corporation, the entire cost structure needs to be revisited to streamline activities and payments that would be deemed surplus to requirement.