Simon Cowell's profits slump by a THIRD as 'songs aren't selling as well'
Profits at his company have slumped by a third in the last year, from £27m to £18m
Oh dear – there’s some ho-ho-horrible news this Christmas for Simon Cowell .
Profits at his company have slumped by a third in the last year, from £27m to £18m.
Now, we realise this doesn’t exactly put him on the breadline. He won’t be needing to tighten the belt on his (high-waisted) trousers just yet.
But it does rather suggest that things aren’t going too well. Or, at the very least, as well as they were before.
Cowell’s company Simco Ltd has blamed “lower licencing income” from shows including Britain’s Got Talent, X Factor and America’s Got Talent, and claimed the 32% drop in profit is a result of “the phasing of record releases”.
In plain English we think this translates to – our songs aren’t selling as well as they used to.
Overall, the last 12 months for the TV and music mogul haven’t been too great.
Last year’s X Factor winner, Louisa Johnson, had the lowest-selling winner’s single in the show’s history, peaking at No 9 in the UK top 40.
And the official accounts come as the X Factor final suffered its worst ratings ever earlier this month - when five million more viewers tuned in watch the Strictly Come Dancing semi-final on BBC1.
The show has lost 10 million viewers since more than 17m people watched Matt Cardle triumph in 2010 with just 7m tuning in two weeks ago to see Matt Terry take the crown.
Simco’s turnover - or total takings before costs - was down more than £7m, to £40m, with earnings dropping in both the UK and US.
The upshot is that dividend payments to parent company Syco, which is ultimately owned by Sony, dropped by more than £10m in a year, to £19m.
All a bit painful. Still, he’ll soon be able to forget all about it while sunning himself on his traditional festive jaunt to Barbados. Any minute now.