The Broadcast Division designs, manufactures and distributes premium branded products for broadcasting, film and video production for broadcasters and independent content creators. It also provides premium services including equipment rental and technical solutions to TV production teams and film crews. It offers a complete one-stop solution for producers globally, enabling customers to deliver the most demanding projects.
The broadcast market has seen variability in demand in 2015, with a more positive US market offsetting more challenging conditions in EMEA. Despite the non-repeat of large sporting events, the Division has grown revenue at constant exchange rates. It has further expanded its offering of higher technology products to the independent content creator segment, which has shown continued strong growth. This has offset lower sales of large camera supports.
Revenue for 2015 was £189.0 million, an increase of 10.5% on the prior year after excluding the IMT business that Vitec exited in 2014. At constant exchange rates sales grew by 7.0% on prior year. Underlying sales at constant currency increased by 11.7% after excluding the benefit of the Winter Olympics and FIFA World Cup in the prior year. Acquisitions contributed £13.4 million of the year-on-year underlying increase.
Operating profit* at £20.3 million was £0.9 million below 2014, reflecting the non-repeat
of major sporting events and a £0.6 million adverse impact from foreign exchange, partially offset by the benefit of acquisitions and new product launches. At constant exchange rates and excluding the impact of the Olympics and World Cup, operating profit* increased by 15.0% and the operating margin* % improved by 30 bps. Acquisitions contributed £1.3 million of the year-on-year underlying increase.
We have continued to invest in new product development in line with the changing nature of the broadcast market. New products include two ranges of SmallHD camera monitors; wireless transmitters and receivers; several LED lights for broadcasters; and broadcast batteries.
While driving the development of sales of newer high technology products, we are streamlining certain activities with lower growth prospects. This includes simplifying
and improving our systems and processes within the Division.
Teradek, our wireless products business, continues to grow strongly and benefitted from the integration of Paralinx acquired in February 2015. We continue to invest in product development and engineering resources to support the future development of the business.
SmallHD, the camera monitor business acquired in December 2014, is growing sales with two new series of monitors launched during the year. As anticipated this investment in future growth is impacting margins in the short-term.
Our mobile power and LED lighting businesses grew following the launch of new product ranges at the end of 2014. In the camera supports business, sales decreased due to a lower level of investment in larger supports by studios.
Haigh-Farr, our conformal antennas business, benefitted from certain non-recurring revenues during 2015. We plan to make a number of cost investments in this business in 2016.
The equipment rental and services business saw a decrease in revenue as a result of the non-repeat of the Olympics and World Cup partly offset by growth in premium technical solutions revenue. We continue to focus on driving sales and securing attractive pricing for our premium services. This business will benefit from supporting the Olympics in Rio de Janeiro in 2016.