blinkx rises on profit expectations
A brighter than expected trading update put blinkx among the week’s biggest small-cap gainers.
The video search engine, which was spun out of Autonomy in 2007, rose 29.5 per cent after it said first-half operating profit would be about $2.4m, against consensus expectations of a loss. The Olympics and US presidential elections had boosted first-half revenues, which were up 80 per cent year on year, blinkx said.
blinkx’s result “gives comfort in the secular drivers of growth for online video advertising and, therefore, the market as a whole”, said Citigroup, which repeated “buy” advice.