Arqiva has reported 2.7 per cent growth of its full-year revenue to £990.4 million, however its Satellite and Media division has seen a drop following the decision to drop playout.
Terrestrial Broadcast revenues increased by 0.4 per cent to £491.3 million, compared to £489.4 million in 2018, while the Telecoms & M2M division saw revenues increase by 10.1 per cent to £375.9 million.
But Arqiva said the Satellie and Media division “continues to operate in a competitive market” with revenue reductions in 2019 of 7.7 per cent to £123.2 million, compared to 2018’s £133.5 million.
The company said revenues were impacted largely due to the strategic decision to exit a low margin managed service contract, reduce focus on playout and occasional use products, as well as the transfer of the reporting of revenues from the Connected Solutions into Terrestrial Broadcast (£2.5 million).
Arqiva said it will continue to reduce focus on playout and traditional occasional use satellite distribution and uplinking, and it still expects to exit the playout business by the end of calendar year 2020.
“These relatively subscale areas provided minimal contribution to the Group’s overall earnings and cashflow,” it said.