British broadcaster ITV said it expects to outperform the wider television advertising market for the year after better than forecast third quarter trading.

The free to air broadcaster - home to such shows as the X Factor and Coronation Street - said today that net advertising revenues in the three months through September were up 1 per cent, ahead of expectations for a slight dip.

The group, which has been boosted by a better performance on screen and from its studios division, said that its strong focus on cash and costs had resulted in net debt falling to £43 million, from £188 million at the start of the year.

Capital expenditure is forecast to be around £50 million in 2011 compared with an earlier guidance of £80 million. It also expects to be net cash positive at the year end.

However, the group said it remained cautious for the outlook of 2012, with tough comparatives expected in the first quarter, which analysts had expected due to the poor visibility.

"Despite difficult economic and market conditions our revenues are up 4 per cent to £1.52 billion in the first nine months of the year," ITV chief executive Adam Crozier said.

"We are on track to be net cash positive at year end. This is a substantial improvement given that our net debt stood at £612 million at the beginning of 2010."

Reuters