Businessman on finance backgroundBusinessman on finance background

ITV PLC (LON:ITV) shares tumbled on Tuesday following news that the Euro 2020 football tournament will be postponed until next year amid the coronavirus outbreak.

In an announcement acknowledging the postponement, the FTSE 100 broadcaster said there will be “no loss of sponsorship revenue as the tournament is pre-sponsored”, however investors are more likely to be concerned about a hit to the firm’s advertising revenue as football fans will no longer be tuning in for matches.

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ITV had been due to show 19 games during the June tournament, and despite the company saying the postponement will reduce its scheduled costs by between £40-50mln in 2020, the shares sank 13.6% to 64.7p in late-afternoon trading.

The firm also said its advertising revenue guidance for March and April was unchanged and that it had “good access to liquidity” with £830mln in undrawn facilities.