UTV Media said that it expects advertising revenue in December to be down 3% year on year at its Northern Ireland ITV franchise and just 1% down at its GB Radio subsidiary, which runs TalkSport.

The Belfast-based company said that total revenue declined by 12% on a like-for-like basis in the year to the end of October.

UTV admitted that its TV operation was underperforming the rest of the ITV network, with a revenue drop of 21% year on year in the first 10 months due to massive fall in ad spend in the Irish market. UTV said TV ad revenue would be down 10% year on year this month and 3% in December.

The company, which owns more than 20 radio stations in the UK and Ireland, said that revenue at its GB Radio division was down 10% year on year for the 12 months to the end of October – ahead of the market, which the company estimates was down 13% overall.

UTV said that improved market conditions would see GB Radio's revenues fall just 3% year on year in November and 1% in December.

The company also reiterated that it expects Sport magazine, the free weekly acquired in May and run by the GB Radio division, will make a "small loss" this year but reach profitability in 2010.

UTV said that it expected any weakness in the UK and Irish markets in 2010 to be offset by the improved performance of its biggest division, GB Radio, because of the extra revenue TalkSport and Sport magazine are forecast to generate as a result of the football World Cup in South Africa next summer.

The company's radio operations in Ireland reported that like-for-like revenue fell 19% year on year in the first 10 months of 2009, with revenue in November and December expected to be down about 8%.

New media revenues grew by 1% year on year in the first 10 months, a performance UTV expects to be repeated this month and in December.

"Although the difficult economic environment continues to impact upon advertising revenue, the rate of decline is easing in all of our markets," said the company. "Airtime bookings remain extremely short term, offering limited visibility, and therefore we continue to be cautious about trading prospects for 2010."

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