'Watch' Growth Pulls Nielsen through 'Challenging Year'

Nielsen has reported 2 percent growth in fourth quarter revenues to $1,656m, similar to the growth figure for the whole of 2016. Q4 revenue in the Buy consumer purchase behaviour segment fell 1.3% to $868m, while Watch media research revenue rose 5.8% to $788m.

In developed markets, Buy Q4 2016 revenues decreased 1.4%, but increased 0.4% on a constant currency basis, which Nielsen says reflects 'modest strength' in Western Europe, partially offset by 'softness' in the US market. Buy emerging markets revenues increased 4.0%.

Within Watch, revenues for Video and Text measurement segments increased 8.4%, Audio decreased 1.6%, and Marketing Effectiveness rose by 6.4%.

During the fourth quarter group net income was $159m, down 36.7% compared to the fourth quarter of 2015, which the firm says was primarily because of its increased stake in shopper insights specialist Nielsen Catalina Solutions. Adjusted EBITDA increased 3.2% to $548m, compared to the fourth quarter of 2015.

Revenues for the full year increased 2.2% to $6,309m; Net income decreased 11.9% to $502m; and Adjusted EBITDA rose 4.3% to $1,938m. During 2016, Buy revenues dropped 0.7% to $3,322m, while Watch revenues increased 5.7% to $2,987m. CEO Mitch Barns (pictured) commented: 'Overall, at a total company level 2016 was a challenging year. We've responded by sharpening our focus on the key strategic initiatives that will drive us forward. And we continue to drive productivity and efficiency in our operations'.

Web site: www.nielsen.com .