Blinkx sees fall in pre-tax profit

Blinkx, the video search engine firm, saw a fall in pre-tax profit despite rising revenue.

Revenues rose year-on-year from $27.4m to $44.6m, although pre-tax profit was lower that the same period last year at $1.48m (2010: £2m) after costs also soared.

Founder and chief executive officer Suranga Chandratillake said: "Video advertising continues to thrive, with double-digit growth forecast for the next five years, and our performance over the last six months underlines the strength of blinkx's model within this dynamic marketplace.

Try 6 free issues of MoneyWeek today

Get unparalleled financial insight, analysis and expert opinion you can profit from.

Start your trial

Sign up for MoneyWeek’s free twice-daily newsletter.

Join more than 165,000 subscribers and keep yourself informed with latest financial news, insights and expert analysis to help you understand what really matters when it comes to your finances.

Join more than 165,000 subscribers and keep yourself informed with latest financial news, insights and expert analysis to help you understand what really matters when it comes to your finances.

Sign up

"Momentum was driven by increased traffic through the blinkx engine and the continued success of our advertising platform, AdHoc, in attracting new marquee brands such as Disney and Kellogg's.

"Moreover, we made further advances in our cross-platform strategy, signing key partners like Aurasma, Roku and Orb Networks to extend distribution in the mobile and connected TV arenas."

Cash at the end of the period rose to $52.9m from $16.86m the date a year ago.

The share price fell 13.11% to 106p by 10:41.

NR