Channel 5 Profit Drops to £8.3m as TV Ads Weaken and Streaming Costs Rise

Channel 5 stayed in profit in 2025, but only just.

The British broadcaster recorded an £8.3 million profit after tax and interest for the year ending Dec. 31, 2025, down from £32.8 million the year before. That is a year-on-year fall of £24.5 million, or about $32 million, according to Variety reporting on the company's annual filing.

Revenue slipped as well. It dropped from £319 million in 2024 to £292 million in 2025. On day-to-day broadcasting, the business swung to an operating loss of £10.9 million, compared with a restated operating profit of £24.9 million in 2024. Operating here means the result from normal trading, before interest and tax.

The company blamed two pressures. The first was tough conditions in the U.K. linear advertising market, meaning commercials sold around live, scheduled TV. The second was higher spending on content, product, marketing and monetisation aimed at longer-term streaming growth.

There was one bright spot. Streaming advertising income rose during 2025. The filing did not give a figure for that uplift, and it was not enough to offset the drop in traditional TV ad money and the extra investment costs.

The comparison was also flattered by a one-off item. The 2024 profit included a £3.6 million correction payment linked to a one-off sales partner. That payment was not repeated in 2025.

The numbers come from Channel 5's annual financial report filed at Companies House, the U.K.'s company registrar. Channel 5 is owned by Skydance via its Paramount subsidiary.

What makes this stand out is the split at the heart of free-to-air TV right now. Live viewing still pays many bills. Streaming is growing, but building it costs money first.