$19.5 million profits fall for Simon Cowell firm

Simon Cowell's company has suffered an $19.5 million fall in profits. Photo / AP

The company of The X Factor boss Simon Cowell has suffered an £11million (NZ$19.5 million) fall in profits - a cut of almost a third.

Falling record sales were blamed for the plunge in takings for Simco, a company that includes his music and TV businesses.

Profits fell from £33.7million (NZ$59.9 million) to £22.7million (NZ$40.3 million) in the year to March 31, accounts show. It is the latest blow for the music mogul, 57, who has seen audience figures for ITV show

The X Factor fall by 10million since 2010 to their lowest ever levels. This year the final was watched by just 7million viewers, easily beaten by Strictly Come Dancing's semi-final on BBC1, which drew in 12million viewers.

Overall turnover for Cowell's company, which also includes Britain's Got Talent, fell 14.9 per cent from £47million (NZ$83 million) to £40million (NZ$71 million). Just two years ago, it made almost £60million (NZ$106 million). Turnover for the UK - which is largely drawn from licensing artists from Cowell's Syco label as well as from the TV shows - took the biggest hit, tumbling 28 per cent from £25.7million (NZ$45.6 million) to £18.4million (NZ$32.6). This year Syco released fewer records, and income from royalties fell 65 per cent to £3.5million (NZ$6.2 million).

But revenues from the rest of the world - with versions of The X Factor made in 53 countries -  rose 15.3 per cent to £14.3million (NZ$25.4 million).

Despite falling audience figures in the UK, Cowell, who is worth an estimated £340million
(NZ$604 million), has signed a deal with ITV to produce The X Factor, as well as Britain's Got Talent, for the next three years.

A Syco spokesman said the fall in takings was due to 'slippage in record releases' as they released albums than planned, adding: 'Syco would never try to influence an artist to rush material.'