blinkx Ups Profits, Video Streams
Boosted by higher ad revenue and big client acquisitions, video indexing and ad company blinkx on Wednesday posted a full-year profit.
For the year ended March 31, pre-tax profit was up $16.1 million—not bad compared to the $9 million that blinkx lost during fiscal year 2010. Revenue nearly doubled to $66.1 million.
“This achievement was driven by a number of factors,” said Suranga Chandratillake, founder and CEO of blinkx. Chiefly, he cited “the robust growth of traffic on the blinkx site, and the ongoing success of our advertising platform, AdHoc, in attracting new and repeat advertising customers, such as Kleenex and Microsoft.”
This past year, blinkx increased its video streams in the United States and the United Kingdom by more than 155%, according to Chandratillake.
“During the year, we also continued to expand our cross-platform distribution initiatives through partnering with industry leaders like Samsung, the launch of blinkx mobile and the release of our Application Programming Interface for the Internet TV space,” Chandratillake added.
The good news comes on the heels of blinkx’s acquisition of Burst Media for $30 million.
With the Burst deal, blinkx hopes to bring its 35 million hours of online video and TV to Burst’s network of over 157 million unique users. blinkx plans to create contextually relevant video channels for Burst’s network of publishers, thereby aggregating an online video audience for advertisers, which it believes could rival the scale of television networks.
blinkx is known for indexing audio and video content, and making it searchable and available on demand.
Video ads remain the fastest-growing online ad format, and in recent research, eMarketer has forecast that the market will be worth $5.7 billion by 2014—up from $1.4 million in 2010.
This past year, brands such as Honda, Microsoft and Revlon booked campaigns with blinkx through various agencies, including Starcom Mediavest, Ogilvy and McCann Erickson.