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Earnings

Hi-Media Reaps Micropayment Revenue Rises After AdLink Deal

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No one really knows if micropayments will take off for online news but they are working out fine for French Fotolog owner and vertical content publisher Hi-Media. The company’s revenue from micropayments in the nine months to September rose 34 percent from last year to €69.5 million (£62.4 million).

SEE ALSO: Hi-Media Buys European Online Ad Unit of AdLink; Valued at 29 Million Euros

—Helped by mobile billing platform Allopass, micropayment sales were up 10 percent in Q3 to €21.3 million (£19.1 million)—Allopass plans to open offices in the UK and Germany in the next few months following moves into Scandinavia and the US this year. Release

—The company’s ad revenue rose four percent to €43.8 million (£39.3 million)—but without the acquisition of display ad business AdLink Media, ad revenue was down four percent year on year in the first nine months of the year.

—Hi-Media’s content division only accounts for a tenth of its revenue (a figure isn’t given but that would be €11.3 million in the year to October). But the company is moving its content onto platforms like Windows Media Centre and it says Fotolog has broken the 28 million members mark and has more than 700 million images uploaded,

—Overall the company made revenues of €113.4 million (£101.8 million) for the year to October, a 21 percent lift on 2008, and 18 percent higher Q3 revenue of €39 million (£35 million). Despite very high profit margins—48 percent for its online ads business—Hi-Media’s overall margin fell two points to 36 percent, though it claims this was expected.

Nov 5, 2009 11:41 AM ET

Hi-Media Adlink


Posted In: Advertising, Money, Earnings, Countries, Europe, France

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