blinkx Shares Boosted by Online Ad Spending During US Election
Shares in video search engine company blinkx soared 25.74 per cent yesterday after the company raised its profit forecasts.
The firm gave an upbeat trading report for the third quarter and said it now expects full-year revenue to be between $180m (£114.7m) and $185m.
This is largely due to increased online advertising on the back of the US election coverage and the Olympic Games.
As a result of the guidance, shares leaped 17.50p to 85.50p.
blinkx is a spin-off from Autonomy, the former FTSE 100 software company, and was championed by Mike Lynch, who is still a non-executive director of the smaller company.
The search engine, which trawls content from video sites including YouTube, also said acquisitions of US advertising firms Burst Media and Prime Visibility Media Group (PVMG) had been integrated ahead of schedule.
It is the second profit upgrade recently for the Aim-listed firm. In October blinkx’s shares spiked when it forecast profit of around $2.4m (£1.5m) over six months, rather than the expected loss.