Online video search firm Blinkx has doubled its revenues in the past six months but its losses have gone the same way, prompting it to turn to existing investors for £5m (US$8.1m) of new funds.
Blinkx counts CBS, NBC and Fox among its clients and is powering the BBC's new Democracy Live website, launched yesterday. Its revenues grew to £13.1m for the six months to September 30, up from £6.4m for the same period in 2008.
But at the same time, losses more than doubled, from £3.3m to £7m, as its operating loss rose from £4.3m to £7.4m. Cash burn almost doubled, from £4.7m to £8m, leaving the firm with £13m less in its reserves than a year ago.
Blinkx said it was issuing new shares worth £5m, or 10% of the company, to existing investors, with Autonomy – the technology firm it was spun out of two year ago – increasing its stake from 19% to 26%.
The increase in revenue was ahead of analysts' forecasts but shares in Blinkx dropped by more than 5% this morning, down to 18.5p from a high of 63pm following its stock market debut in May 2007.
"During the downturn, Blinkx has made significant progress and is now ready to ride the wave of an upturn," said CEO Suranga Chandratillake. "We have prepared the business for this and will take all opportunities to aggressively pursue this growth when an upturn arrives."
Jonathan Webdale
3 Nov 2009
© C21 Media 2009
from C21Media
No comments:
Post a Comment