The media and entertainment industry is set to outperform the major stock market for the first time in five years according to the release of a recent report.
This year, it is predicted that the media and entertainment industry with outperform the major cross-industry stock market indices. Revenue for the sector has continued to steadily rise whilst many other industries continue to struggle in the hostile financial market.
The report conducted by Ernst and Young named ‘ Spotlight on Profitable Growth: Media and Entertainment, Vol. VI, outlines the performance comparison of the overall media sector.
A review of the 2009-2013 compound annual growth rate shows that interactive media is the fastest growing media and entertainment sector at 22 per cent, followed by electronic games at 14 per cent, and film and television broadcast production at 11 per cent, advanced-television.com reports.
John Nendick, Global Media and Entertainment Leader at Ernst and Young told moneylife.in that media and entertainment companies are maintaining and growing their businesses primarily by growing their digital revenues and scaling back overheads associated with traditional media.
Mr Nendick said: In emerging markets, increases in advertising, as well as rising incomes and media consumption, have also helped drive revenue and fuel long-term growth as consumers in mature markets continue to migrate towards digital.”