Annual Report
and Accounts
blinkx plc
for the Y ear Ended 31 March 2014 DISCLOSURES
This Annual Report contains forward-looking 
statements.  These include, but are not limited to, 
statements regarding:
 § The growth of our business and revenues;
 § Our expectations about the factors that 
influence our success and trends in our business;
 § T rend forecasts in Internet usage and advertising 
spend, which are likely to cause fluctuations in 
our results;
 § Our plans to continue to invest in our people, 
processes and products;
 § Our plans to continue our current pace of 
acquisitions;
 § The potential for declines in our revenue or 
profitability growth rates;
 § Projected levels of growth in our markets;
 § Our investments in international and emerging 
markets and sectors;
 § Estimates of our future compensation expenses;
 § Fluctuations in our effective tax rate;
 § The sufficiency of our sources of funding, and 
our plans to use funds;
 § Fluctuations in our capital expenditures and 
operating expenses; as well as
 § Other statements regarding our future 
operations, financial condition and 
prospects, and business strategies.
By their nature, forward-looking statements involve 
risk and uncertainty because they relate to future 
events and circumstances, including, but not limited 
to, US and UK domestic and global economic and 
business conditions, the effects of blogs and media 
coverage, the effects of continued volatility in credit 
markets, market-related risks such as changes in 
interest rates and exchange rates, the policies and 
actions of governmental and regulatory authorities, 
changes in legislation, the further development of 
standards and interpretations under International 
Financial Reporting Standards (“IFRS”) applicable to 
past, current and future periods, evolving practices 
with regard to the interpretation and application of 
standards under IFRS, the outcome of pending and 
future litigation, the success of future acquisitions 
and other strategic transactions, and the impact of 
competition—a number of which are beyond blinkx’s 
control.  
Forward-looking statements may appear throughout 
this report, including without limitation, the 
following sections:  “Chairman’s Review,”  “CEO’s 
Review,” “CFO’s Review,” “Risks and Uncertainties,” 
“Sector Overview,” “Industry T rends,” and “Growth 
and Opportunities.” Forward-looking statements 
generally can be identified by words such as 
“anticipates,” “believes,” “estimates,” “expects,” 
“intends,” “plans,” “predicts,” “projects,” “will 
be,” “will continue,” “will likely result,” and similar 
expressions.
As used herein, “blinkx,” “the Company,” “the Group,” 
“we,” “our ,” and similar terms include blinkx plc and its 
subsidiaries, unless the context indicates otherwise.  
“blinkx” and other trademarks of ours appearing in 
this report are our property.  This report contains 
additional trade names and trademarks of other 
companies.  We do not intend our use or display of 
other companies’ trade names or trademarks to 
imply an endorsement or sponsorship of us by such 
companies, or any relationship with any of these 
companies.
Except as required by the Financial Conduct 
Authority (FCA), Alternative Investment Market 
(AIM), or applicable law, blinkx expressly disclaims 
any obligation or undertaking to release publicly 
any updates or revisions to any forward-looking 
statements contained in this Annual Report to reflect 
any changes in blinkx’s expectations with regard 
thereto or any changes in events, conditions or 
circumstances on which any such statement is based.  
Neither the content of the Company’s website (or 
any other website) nor the content of any website 
accessible from hyperlinks on the Company’s website 
(or any other website) is incorporated into, or forms 
part of, this report.   None of these statements should 
be explicitly interpreted as a profit forecast or a 
recommendation to invest in the Company. Financial 
Information
Auditor’s Report ....................................53
Consolidated Income Statement ...55
Consolidated  Statement of  
Comprehensive Income .................... 56
Consolidated Balance Sheet .............57
Consolidated Statement of 
Changes in Equity ................................. 58
Consolidated Cash Flow  
Statement ............................................... 59
Notes to Consolidated  
Financial  Statements ........................ 60
Company Balance Sheet....................89
Company Statement of  
Changes in Equity ................................ 90
Company Cash Flow Statement .... 90
Notes to Company Only 
Financial Statements ...........................91
Shareholders Information 
and Advisors ...........................................96
Glossary  ................................................... 97
Overview
Key Highlights ........................................... 1
Business Overview ..................................2
Corporate History ................................. 4
Chairman’s Review .................................. 5
Strategic Report
CEO’s Review ............................................7
CFO’s Review .......................................... 10
Principal Risks and Uncertainities .. 13
Sector Overview And T rends ........... 17
Ecosystem ...............................................20
Products and People ........................... 24
T echnology and Operations ............30
Business Model ...................................... 31
Growth and Opportunities ...............32
Corporate 
Governance
Overview...................................................35
Board of Directors ................................37
Remuneration Committee Report ... 40
Audit Committee Report  .................44
Nomination Committee Report .....46
Directors’ Report ................................. 47
Directors’ Responsibility 
Statement ...............................................50
T able of Contents Overview Key Highlights
Financial Y ear 2014 (FY2014) was a 
transformative year for blinkx.   The Company 
outperformed the sector and market consensus 
and increased the scale, scope, and reach of 
its operations within the online advertising 
ecosystem.   During the period, blinkx launched 
new products designed to video-enable a 
vast and growing ecosystem of partners.  The 
Company completed acquisitions that advance 
its strategic focus on digital video distribution 
and monetization across devices and platforms.   
Key operational highlights include:
 § Secured new content and syndication 
partnerships, including ABC, GameSpot, 
NHL, IGN, Discovery Networks, Condé Nast 
and E! Entertainment;
 § Added marquee brand advertisers, 
including Warner Brothers, T oyota, 
Reebok, Gap, Clorox, Microsoft and L’Oreal;
 § Acquired the Grab Media platform, 
expanding video syndication and audience 
extension offerings, to augment video 
search and discovery;
 § Acquired Rhythm NewMedia Inc., 
accelerating growth of the mobile video 
business;
 § Acquired LYFE Mobile to extend reach into 
the programmatic arena within the mobile 
sector;
 § Added respected business and technology 
leaders to the Board of Directors; and
 § Expanded executive leadership team in 
critical functional areas.
|   1
* Adjusted for acquisition and exceptional charges of 
$8.1m (2013:$3.3m), amortization of purchased intangibles 
of $6.7m (2013: $5.4m) and other income of $0.3m  
(2013: $0.8m) Business Overview
BACKGROUND
blinkx (LSE AIM: BLNX) is a B2B T ech-Media 
company that connects consumers and brands 
through premium content online.  Founded in 
2004 in the United Kingdom, blinkx pioneered 
Internet Video Search using its patented 
COncept Recognition Engine (CORE).  This 
technology leverages speech recognition, 
text and image analysis to deeply understand 
the meaning and context of video content 
to generate improved search relevancy for 
consumers and a brand-safe environment for 
advertisers.   T oday, blinkx is a broad digital media 
technology, distribution and monetization 
platform that connects consumers, advertisers 
and content providers across four screens.  Over 
95% of blinkx revenue comes from advertising 
using a constellation of advertising formats and 
units.  Through its partnerships with hundreds 
of media companies, including ABC, NBC, 
Condé Nast, Reuters and Bloomberg, blinkx has 
indexed and search-enabled millions of hours 
of video content.   blinkx powers video search, 
discovery or monetization on thousands of 
online properties including Lycos, ABC, CBS, 
and Fox Sports.  blinkx is headquartered in San 
Francisco, California and London, UK with 15 
offices worldwide.
MARKET CONTEXT
Advertisers typically segment performance 
goals by marketing objectives, as represented 
by the funnel below.  
The top or wide end of the funnel addresses 
brand awareness, or association of the brand 
with a product category, and targets the 
largest universe of consumers.   As consumers 
migrate through the funnel, the addressable 
universe becomes smaller and more highly 
qualified, moving sequentially from interest 
to consideration to conversion.  The lower 
funnel is driven by conversion metrics targeted 
to a concentrated audience with the highest 
propensity to buy an advertiser’s product.   It 
is important to note that the cost of targeting 
consumers is inversely proportional to volume 
and marketing objective, with conversion 
traffic typically commanding the highest rates 
for the smallest audience.   Different products 
and ad formats are deployed at different tiers 
of the funnel.   Leveraging its technology, blinkx 
has developed a widely diversified product mix 
targeted to each segment of the ecosystem, 
namely consumers, content creators, and 
advertisers.  All are designed to ultimately drive 
advertising revenue.   Our ad units are designed 
to address all objectives within the marketing 
funnel, from brand awareness to conversion.
CONSUMERS ADVERTISERS
CONTENT APPS
blinkx Platform
2   |   FY2014 Annual Report
blinkx Platform
Value Exchange
blinkx Ecosystem
blinkx Business Model
Programmatic Value Chain
Marketing Objectives
blinkx Locations
blinkx Evolution
blinkx Commercial Model
blinkx Platform
Value Exchange
blinkx Ecosystem
blinkx Business Model
Programmatic Value Chain
Marketing Objectives
blinkx Locations
blinkx Evolution
blinkx Commercial Model PRODUCTS
blinkx operates in a young, dynamic industry, 
characterized by rapid growth and evolution.    
Digital advertising channels and products have 
evolved over time, from display, to search and 
social media, and, most recently, video and 
mobile.   Our diversified product set lets us 
provide integrated solutions to advertisers, 
and further enables us to match appropriate 
products to advertisers’ objectives, as 
consumers progress through the marketing 
funnel, from brand awareness to conversion.
AWARENESS:
Video advertising is a prime format to drive brand 
awareness at the upper end of the marketing 
funnel.   Pre-Roll Videos that run before video 
content (usually 15 or 30 seconds) can be targeted 
to specific keywords or broader categories and 
provide strong brand association.
INTEREST:
Influencer Posts offer an interest-generating 
format to address midfunnel objectives, 
taking advantage of our relationship with high 
quality bloggers.   We work with influencers to 
develop and distribute content—text or video, 
promoting a brand’s product or service.  We can 
also use these influencers’ social media presence 
to amplify a sponsored post’s footprint.
CONSIDERATION:
Email marketing helps drive consideration.  
Emails can be tailored to specific consumer 
segments, based on their characteristics.  
Moreover, email bursts may include multiple 
offers or calls to action, providing the 
opportunity to test and learn.
CONVERSION:
The Contextual ad unit is used with our licensed 
third-party applications and offers a powerful 
format to drive consumer conversion at the 
lower end of the funnel.   These ad units are 
keyword targeted and optimized, making them 
best suited for direct response advertising.  
These units sell for very high CPM, show in very 
low frequency to a highly qualified audience, 
and are cost prohibitive for brand (video) 
advertisers.
|   3 Corporate History 
Since its founding in 2004 and IPO on the 
London Stock Exchange (AIM) in 2007, blinkx’s 
core strategic focus has been to video-enable 
a significant, scalable and growing ecosystem 
of audience aggregators, content providers 
and advertising partners, and to monetize 
relevant consumer interactions across all 
devices.  Our strategy has grown to match 
a dynamic market opportunity, which has 
evolved from video search, to video discovery 
and, most recently, to video syndication and 
mobile video.
blinkx was founded within and spun out 
of Autonomy plc (now a part of Hewlett 
Packard, Inc.) with a perpetual license to 
the IDOL (Intelligent Data Operating Layer) 
technology.  Protected by 111 patents, IDOL 
is able to extract meaning and act on virtually 
all forms of information—including audio, 
video, images, social media, email and web 
content, as well as structured data such as 
customer transaction logs to understand 
and contextualize data at scale and in real 
time.  Using the IDOL engine as its foundation, 
blinkx developed its CORE technology that 
customizes the engine for video search, 
discovery, syndication and advertising.  Once 
the native video search model of matching 
content with contextually relevant advertising 
in real time was perfected, blinkx extended 
the model to its search syndicate partners, 
including leading online properties, such as 
Lycos, RealPlayer and InfoSpace.  As online 
video consumption behavior migrated from 
search to discovery, the potential opportunity 
for distribution and monetization of online 
video grew exponentially.  T o capture this 
vastly expanded opportunity, the Burst 
Media and PVMG acquisitions provided 
blinkx with a platform to video-enable 
consumer interactions across a much broader 
footprint of online properties, along with 
new ad formats and units to address different 
objectives within the marketing funnel.
The next evolution of this growth strategy 
was to capture the enhanced opportunity 
afforded by video syndication, or the 
accelerated distribution of video content 
across a virtually limitless universe of 
independent websites.  Through blinkx 
VideoAdvantage (bVA) and the syndication 
platform acquired from Grab Media, blinkx 
can now video-enable any online property 
anywhere in the world through its self-serve 
syndication platform.  Our current strategy 
is to telegraph this three stage evolution 
along two vectors—geographies and devices.  
Our goal is to extend the success we have 
demonstrated on the desktop platform to 
smartphones, tablets and connected TV, and 
expand into international markets.  Our recent 
organic and acquisition growth initiatives 
have centered on this potential for enhanced 
reach and monetization.  The acquisition of 
premium mobile video company Rhythm 
NewMedia Inc.  (Rhythm), presents exciting 
new opportunities to replicate the blinkx 
ecosystem and business model across 
mobile devices.  The acquisition of mobile 
Demand-Side Platform LYFE Mobile in May 
2014 enables blinkx to forward-integrate for 
the first time into the demand side of the 
programmatic ecosystem, and bring primary 
demand and non-redundant mobile inventory 
to the blinkx engine.  In addition, key hires 
made in FY2014 bring invaluable international 
expertise to the leadership team.
4   |   FY2014 Annual Report
Our goal is to 
extend the 
success we have 
demonstrated 
on the desktop 
platform to 
smartphones, 
tablets and 
connected TV, 
and expand into 
international 
markets.  Our 
recent organic 
and acquisition 
growth initiatives 
have centered 
on this potential 
for enhanced 
reach and 
monetization.   |   5
Chairman’s Review
I am delighted to announce another strong year 
by the blinkx team.  The Company continues 
to display a good operating discipline and 
positive growth metrics, driven by its unique 
technology, well-diversified product mix and 
a growing network of relationships.  This has 
enabled the Company to outperform the 
sector and its peers in the rapidly growing 
digital advertising industry by delivering both 
growth and profitability.   The Company’s 
performance is evidence of the significant 
strides the team has made in financial discipline 
and operational efficiency.  As far as I can see, 
our growth prospects  through both organic 
and inorganic channels look bright.
The Company’s performance in the past year 
was achieved despite the obvious distractions 
in the fourth quarter of the financial year.  The 
Company diverted considerable time, energy 
and resources to conduct comprehensive 
internal and external diligence to address 
the unwarranted and unfair attack on the 
Company.  On behalf of the Board, I would 
like to commend the management team for 
its resolve and calm, and the considered and 
detailed response.
Over the course of the year the Board has 
also taken significant steps to bolster its 
Governance and Independence efforts.   We 
have added two new highly qualified and 
capable Board members, increasing the 
count of Directors to seven.  We are delighted 
to welcome Ujjal Kohli and Judy Vezmar to 
the Board, pending the ratification of their 
appointments by shareholders.  
 
During the year, the Board and its committees 
have addressed other requirements arising 
from changes to regulations as well.  In 
this report the Company presents its first 
Strategic Report on the business and increased 
disclosures on matters affecting audit and 
remuneration.
I would further like to thank our institutional 
and private shareholders, as well as our 
customers and partners, for their continued 
support of blinkx.  The Board is encouraged 
by the performance of both the Company 
and the management team and is confident 
about blinkx’s future and prospects.  I wish the 
Company and its shareholders every success in 
the future.
Anthony Bettencourt 
Chairman of the Board of Directors 
blinkx plc 
6 June 2014
The Board is encouraged 
by the performance 
of both the Company 
and the management 
team and is confident 
about blinkx’s future and 
prospects.  
Anthony Bettencourt, 
Chairman of the Board 
of Directors  Strategic Report
6   |   FY2014 Annual Report
The Strategic Report is designed to inform shareholders of the key information that is of importance to the Directors in 
managing the business and realizing the Company’s vision.  The Strategic Report is expected to help shareholders assess 
how the Directors have progressed in meeting Company objectives and maximizing shareholder value. CEO’s Review
Dear Shareholder:
Financial Year 2014 was an eventful year for 
blinkx.  We generated record revenues, profits 
and cash flow, and made transformative 
acquisitions to position the Company for the 
future.  Our vision is to connect consumers 
and advertisers through premium digital 
content on any device, anywhere in the 
world.  Leveraging our technology roots, 
we have created a growing ecosystem of 
audience partners, content providers, and 
advertisers that continue to drive our growth.  
We accelerated the expansion of our mobile 
efforts, realigned resources and extended our 
reach as a cross-device digital video content, 
distribution and advertising platform.  We 
remain optimistic about the fundamentals of 
the online advertising industry and believe we 
have the right assets and a culture of innovation 
to compete and succeed.    We have a capable 
and focused team, unique technological 
capabilities and a growing network of 
commercial relationships.  We exit the year 
with significant resources and a steadfast 
commitment to our growth strategy.
The digital advertising industry continues 
to experience robust growth and continued 
evolution, with advertising spend shifting rapidly 
from offline to online channels as advertisers 
follow consumers online.  For the first time in 
2013, digital advertising spend eclipsed that 
of broadcast television, after surpassing print 
advertising the year before.  Within the sector , 
mobile, video and programmatic trading  (being 
the automated buying and selling of adverts) 
are projected to grow the fastest, with several 
structural tailwinds fueling these trends.  
Widespread broadband adoption, proliferation 
of connected devices and the increasing 
consumption of content across devices have 
resulted in an exponential growth of highly 
targetable advertising inventory.  The sector also 
continues to evolve as it grows.  Since 1995 we 
have seen the emergence and growth of display, 
rich media, search, email, social, video and 
mobile advertising.  This not only underscores 
the vitality of the sector but also that of our 
business model.  Since inception, blinkx has 
anticipated shifts in the industry and, through 
organic investments and acquisitions, aligned 
itself with emerging trends and opportunities.  
After pioneering video search in 2004, we 
expanded into video discovery, syndication and, 
most recently, mobile as the market evolved.
Our strategic activities in FY2014 covered a 
range of organic investments and acquisitions 
as we seek to position the Company to take 
advantage of these developments.  We 
launched several innovative products, designed 
to expand our video footprint and applied for 
several new patents.  Examples include blinkx 
VideoAdvantage (bVA), a self-serve video 
syndication platform, blinkx VideoMatch 
(bVM), which automatically replaces static 
images in an online article with contextually 
relevant videos, Skyrocket, a flexible and 
transparent online video hub, and blinkx Boost, 
a federated shopping comparison engine.  The 
acquisition of the Grab Media video syndication 
platform in August 2013 has allowed us to 
augment relationships with our key advertisers, 
publishers and content providers, thereby 
providing increased scale.  In December 2013 
we acquired Rhythm NewMedia, the leading 
premium mobile video advertising and 
technology platform.   
 
|   7
Our vision is to connect consumers 
and advertisers through premium 
digital content on any device, 
anywhere in the world.
Subhransu (“Brian”) 
Mukherjee, 
Chief Executive 
Officer This enabled us to leapfrog competitors and 
replicate our business model in the mobile 
sector at a time when advertising spend 
is starting to shift from desktop to mobile 
devices.  A coveted asset, Rhythm NewMedia 
aligned perfectly with our vision and positions 
us well with the technology, talent and 
relationships in mobile video, arguably the most 
effective brand advertising medium.  Finally, 
in May 2014, we completed the acquisition 
of LYFE Mobile, a Demand-Side and Data 
Management Platform, which provided us an 
entry point into the programmatic segment of 
mobile advertising.  The LYFE acquisition brings 
us incremental demand and the foundational 
elements of a unified, cross-device targeting 
platform.  We expect to make additional 
investments in big data and cloud computing 
infrastructure to scale this platform.
blinkx continues to reap the benefits of an 
experienced, committed and well-integrated 
management team.  In addition to new 
products and technology, the acquisitions 
we made have enabled us to attract talented 
staff with extensive experience and deep 
relationships in the mobile and video 
advertising sector.  During the year, we made 
several key executive hires in product, sales, 
technology and international operations, all 
of whom will play critical roles in driving our 
future growth.  In an effort to enhance our 
governance profile, we also strengthened and 
expanded our Board of Directors to seven with 
the appointments of two respected business 
and technology leaders as Non-Executive 
Directors.  Former LexisNexis International 
Chief Executive Officer Ms.  Judy Vezmar joined 
the blinkx Board in January 2014, bringing 
with her significant international expansion, 
marketing and business transformation 
experience to the role.  Mr.  Ujjal Kohli, former 
founder and CEO of Rhythm NewMedia, joined 
the Board in March 2014.  Ujjal brings over 
twenty-five years of entrepreneurial, executive 
management, engineering, marketing, mobile, 
strategy and M&A experience to blinkx from 
companies such as Airtouch, Vodafone and 
McKinsey.
We operate in an industry that continues to 
grow and evolve rapidly and requires us to 
be ever vigilant and flexible.  We are in the 
fortunate position to have an abundance of 
growth opportunities that far exceeds capital 
at our disposal.   T o quote Warren Buffet, we 
therefore have the luxury of watering the 
flowers and skipping over the weeds.   Our cash 
reserves enable us to make critical investments 
in technology, infrastructure, products, sales, 
marketing and acquisitions to quickly scale 
our business.  Through ongoing investments 
in mobile, syndication, content and owned 
and operated properties, we continue to 
expand our footprint on the supply side of the 
ecosystem.  We plan to expand our demand 
side relationships by combining our direct sales 
efforts across desktop and mobile and through 
programmatic integrations with new trading 
partners.  Over the past year we explored over 
150 targets and closed three deals—a reflection 
of our disciplined acquisition strategy and 
process.   Of the six acquisitions we made, the 
consideration for four was in Cash, one was in 
Cash and Stock and one was in Stock in another 
AIM listed company (known as a ‘stock for 
stock exchange’).   As a cash buyer, we have an 
opportunity to get ahead in the queue and are 
able to negotiate better terms.   Expect us to 
continue on the path of disciplined deployment 
of cash to quickly scale the business through 
organic and inorganic means.  
8   |   FY2014 Annual Report
We remain optimistic about 
the fundamentals of the online 
advertising industry and believe 
we have the right assets and a 
culture of innovation to compete 
and succeed. |   9
We have seen our stock price rise to record 
levels this year, but also experienced a 
precipitous pull back.  This volatility is yet 
another reminder to us of an important 
point—in the short run, the market is a voting 
machine but in the long run, it is a weighing 
machine, to quote the legendary investor, Ben 
Graham.  Just because our stock price goes up 
or down does not mean we are that much more 
or less capable on any given day.  We go to great 
lengths internally to focus on performance and 
work hard every day to take a long-term view to 
build a company of heft and consequence.
In closing, we are happy with our operating 
and financial performance this year.  Our 
continued growth with profitability is evidence 
of a differentiated and competitive business 
model, with a broad mix of products that lets 
us satisfy advertiser objectives from awareness 
and interest, to consideration and conversion.  
Our financial metrics demonstrate the benefits 
of integration and strong operational and 
acquisition discipline.  We exit the year with a 
robust balance sheet and multiple options to 
drive truly catalytic growth.  Our customers, 
competitors and critics inspire us to work 
hard, and a smart, capable, energized team is 
ready to take on the challenge.  As we enter 
the new financial year, we remain focused on 
connecting consumers and brands through 
premium content on any device, anywhere in 
the world.
Finally, let me also take this opportunity to 
express my sincere gratitude to you, our 
shareholders.  Your support provides us 
the resources and resolve to compete in 
an exhilarating industry.  I hope you share 
the enthusiasm we at blinkx feel about the 
Company and our prospects.
Subhransu (“Brian”) Mukherjee 
Chief Executive Officer 
blinkx plc 
6 June 2014
In addition to new products and technology, the acquisitions 
we made have enabled us to attract talented staff with 
extensive experience and deep relationships in the mobile and 
video advertising sector . Financial Non-financial
2014 2013 2014 2013
Revenue $247.2 m $198.0 m Headcount, as of 31 March 327 ees 255 ees
Net profit before acquisition and 
exceptional costs
$26.6 m $25.3  m
Net profit $ 12.2 m $ 17.4 m No.  of publisher partners 5,786 4,540
Net cash generated by operating 
activities
$ 39.2 m $ 22.0 m No.  of advertising partners 1,492 1,081
Cash and cash equivalents $126.9 m $ 55.9 m No.  of content partners 1,266 906
Research & development spend $ 30.0 m $ 19.2 m
Net assets $261.9 m $145.0 m
10   |   FY2014 Annual Report
CFO’s Review
OVERVIEW
We are pleased to report another successful 
financial year.  The Group’s primary business 
is based on the principle of facilitating access 
to digital content via an advertising-supported 
distribution model, where revenues are 
derived from advertising on the Internet.  The 
Group applies its technology across a set of 
standard and inter-related products to connect 
consumers with contextually relevant digital 
content and advertising.  Advertisers select 
from several product types that are priced 
based on criteria of their choosing.  Almost 
all products generate revenues from a mix of 
various pricing methodologies. Therefore, it 
is not meaningful to separate the revenues 
by primary pricing scheme, product type 
or ad format.  As a result, we report Group 
performance as a single operating segment, 
namely online advertising.
KEY PERFORMANCE INDICATORS
Financial and non-financial key performance 
indicators (“KPIs”) are addressed in the 
table below.  These KPIs are reviewed by the 
management and the Board of Directors on a 
regular basis.
The Directors have in place a process of 
regularly reviewing risks to the business and 
monitoring associated controls, actions and 
contingency plans.  A summary of the Group’s 
principal risks and uncertainties is provided on 
page 13-16 of this Strategic Report.
Edward Reginelli, 
Chief Financial Officer |   11
FISCAL YEAR 2014 PERFORMANCE
T otal revenue for the year ended 31 March 2014 
increased 25% to $247.2 million compared 
with $198.0 million for the year ended 31 March 
2013.  Revenue growth was driven by strong 
underlying fundamentals and from the Rhythm 
acquisition that took place on 12 December 
2013.  Removing the incremental $10.0 million 
revenue impact from the Rhythm acquisition, 
the Group’s current year’s revenue increased 
20% over the prior year.
Cost of revenue increased to $120.8 million or 
49% of revenue for the year ended 31 March 2014, 
compared with $97 .0 million or 49% of revenue 
for the year ended 31 March 2013.  This cost, 
which is primarily for traffic acquisition, is directly 
attributable to revenue generated by the Group 
and is based on revenue share arrangements with 
our audience and content partners.
Research and development expenditure 
increased by $9.6 million to $24.7 million for the 
year ended 31 March 2014, from $15.1 million for 
the year ended 31 March 2013.  The increase was 
driven by personnel investments in the Group, 
advancements to the information technology 
platforms and incremental headcount and 
related costs from acquisition.
Sales and marketing expenditures increased 
by $6.6 million to $57.7 million for the year 
ended 31 March 2014 from $51.1 million for the 
year ended 31 March 2013.  The increase was 
attributable to the variable compensation 
related to the revenue growth, investments 
in advertising and promotional activities, and 
incremental headcount and related costs from 
the Rhythm acquisition.
General and administrative expenditures 
increased by $1.9 million to $12.1 million for the 
year ended 31 March 2014 from $10.2 million 
for the year ended 31 March 2013.  The majority 
of the increase was driven by headcount and 
related costs from the acquisition. 
Profit before taxation increased by $0.9 million 
to $17.6 million for the year ended 31 March 
2014, from $16.7 million for the year ended 
31 March 2013.  Included in this figure was 
approximately $8.1 million of acquisition and 
exceptional costs and higher amortization 
charges related to the acquisitions of Rhythm 
and the Grab Media platform.
TAX
The tax charge for the year ended 31 March 
2014 increased to $5.4 million, which includes 
a $2.0 million prior period deferred tax asset 
adjustment.  Removing this adjustment, the 
Group’s effective tax rate was 19% compared 
with a $0.6 million tax benefit last year which 
included recognition of a $3.5 million credit 
to fully recognize the deferred tax asset in 
the US business and a $0.5 million prior 
period adjustment.
CASH FLOW
The Group recorded a net cash inflow of $70.5 
million for the year compared to $18.5 million 
last year.  Net cash inflow from operating 
activities increased by $17.2 million to $39.2 
million for the year ended 31 March 2014 
compared with $22.0 million inflow for the 
year ended 31 March 2013.  Strong operational 
performance and efficient working capital 
management drove this increase.
Operating and financial 
discipline remain the 
defining elements of our 
culture that has enabled 
us to deliver growth and 
profitability, to outperform 
the sector and peers. 12   |   FY2014 Annual Report
The net cash outflow from investing activities 
increased by $31.4 million to $35.1 million for 
the year ended 31 March 2014, from $3.7 million 
for the year ended 31 March 2013, principally 
reflecting the cash outflow associated with 
the Rhythm acquisition, purchase of the Grab 
Media platform and associated acquisition 
and exceptional costs.   In addition, we saw 
an increase in capital expenditures and 
capitalization of internal development charges 
primarily related to the acquisition of computer 
equipment and technology enhancements to 
the existing Group platforms.
Net cash inflow from financing activities 
increased by $66.1 million to $66.3 million for 
the year ended 31 March 2014, as a result of the 
December 2013 $62.0 million issuance of shares 
and $5.3 million related to the exercise of  
share-based equity.
FINANCIAL POSITION AND 
OUTLOOK
The Group’s cash position totaled $126.9 
million as of 31 March 2014 compared with 
$55.9 million as of 31 March 2013.  Net trade 
receivables at 31 March 2014 were $36.9 million 
compared with $29.9 million at 31 March 2013, 
which equates to 54 days sales outstanding, 
consistent with last years performance.
CONCLUSION
Operating and financial discipline remain 
the defining elements of our culture that has 
enabled us to deliver growth and profitability, 
to outperform the sector and peers.   We made 
significant operational improvements during 
the year.  The Group transitioned its accounting 
and finance team to a shared services model 
and was able to reduce personnel at the 
satellite offices, enhance accounts service 
levels and capture cost efficiencies through 
consolidation of transactions processing in one 
core team.   Key hires were made in operational, 
treasury, tax and transaction accounting roles 
to further strengthen the financial reporting 
function.
As this young industry evolves and matures 
we remain focused on building a sustainable 
business model that is able to adapt to the 
ever changing environment and standards in 
which we operate.  We will continue to invest 
in our business, including targeted organic and 
inorganic investments.  
The Group will continue to leverage its strong 
balance sheet to pursue opportunities and we 
view acquisitions as a viable part of our growth 
strategy which, along with organic growth, will 
further increase the scale, scope, and reach of 
our business.
Edward Reginelli 
Chief Financial Officer 
blinkx plc 
6 June 2014
As this young industry evolves and matures we remain 
focused on building a sustainable business model that is able 
to adapt to the ever changing environment and standards in 
which we operate. |   13
Risks Mitigation
Our business depends on our core technology and we will 
continue to develop both the technology and its applications in 
online advertising.  T echnology that significantly competes with 
our technology or any material claims against our technology 
would present a risk to the Group.
Management continually reviews the competitive landscape 
and newly developing technology in the sector .   In addition, 
in the course of developing the Group’s patent portfolio, 
advisers to the group monitor competitive filings and take 
appropriate action as necessary.
A majority of the Group’s revenues are transaction based 
and capture discretionary advertising spend.  Such 
advertising spend is dependent on macro environmental 
industry conditions and elements outside of our direct 
control.   If there is a negative change in economic and 
market conditions, this could impact the growth of the 
business.
The Group has a prudent approach on expenditure with a 
significant amount of discretionary expenditure that could be 
reduced in poor economic conditions.  In addition, the Group 
has significant financial reserves to weather macro economic 
downturns.   Moreover , our diversified digital advertising 
product mix addresses multiple advertiser objectives, helping 
us avoid risk associated with product concentration.
Within the online advertising value chain we use 
intermediaries between the Group and our end customers.   
Our business relies on our relationships with these entities, 
on which we place a high degree of importance.
The Group’s well-diversified product line is designed to address 
different marketing objectives.   No single partner currently 
represents a significant portion of revenue, and the Company 
focuses on continuously expanding both its customer base and 
relationships with its commercial partners.
The inability to retain key customers or collect our 
receivables may cause our financial performance to suffer.
The Group’s customer base is highly diversified and no one 
customer represents a significant percentage of revenue.   
We have a thorough process for collections and a good 
record of satisfactorily capturing accounts receivable, 
including through litigation when necessary.
Interruptions of services from our bandwidth providers, 
data centers, electricity providers and service providers may 
disrupt our business.
The Group’s systems operate on co-location facilities in 
several geographic regions each with their own service 
providers; bandwidth is provided by multiple ISPs in each 
physical location; data centers provide redundant power 
with battery and generator back-up in each physical 
location; and functions are distributed across the data 
centers to minimize disruption in the event a data center 
goes offline.  In addition, the Group leverages the cloud 
infrastructure for redundant and burst capacity.
Principal Risks and Uncertainties
There are a number of potential risks and uncertainties that could have a material impact on the 
Group’s long-term performance and could cause results to differ materially from expected and 
historical results.  The risks to which the business is exposed are summarized to the right and the 
key sources of uncertainties are detailed in Note 4. 14   |   FY2014 Annual Report
We have a perpetual license from Autonomy (now Hewlett 
Packard) for consumer applications of its IDOL technology 
platform that was exclusive through 22 May 2012.   Failure to 
build competitive advantage and create additional barriers 
to entry through our own development of our intellectual 
property could result in other companies licensing 
Autonomy’s technology for consumer applications and 
developing technology and product offerings, which 
could compete with blinkx and impact our overall market 
position.
The Group has built significant competitive advantage 
during the exclusivity period in developing its own 
intellectual property (including filing patents) around the 
Autonomy IDOL foundation.  The Group has the capacity 
to reconstitute this functionality using third party and 
open-source software.   Moreover, a robust ecosystem of 
supply, demand and content partners provides a secondary 
competitive defense.
We have a history of losses and only recently turned 
profitable, and there are no assurances we will remain 
profitable, particularly if the Group makes additional 
acquisitions in the future.   On occasion, we may elect to 
invest in profits and capital in future growth in order to 
capture opportunities and capitalize on emerging trends.
The Group manages costs on an ongoing basis based on 
actual and forecast revenues to help drive toward revenue 
growth and profitability goals, and is fully prepared to adjust 
focus areas as market conditions dictate.
If we fail to attract and retain highly qualified key personnel, 
our ability to execute our business model and growth 
strategy could be impaired.   We rely significantly upon 
our management team for their strategic vision, industry 
knowledge and leadership; the loss of key members could 
have a significant adverse effect on the business.
The Group fosters a performance culture that encourages 
and rewards our talented team members, including the 
Executive team.  We are always looking to improve our team 
through both acquisitions and direct hires.
Industry influencers, untrained experts and/or vested 
interests may use personal communication platforms to 
freely disseminate information, which may be incorrect or 
misleading and even sensational, damaging our reputation 
and commercial relationships.
The Group has taken steps to mitigate reputation risk that 
may impact commercial and investor relationships.  During 
the financial year, we enhanced the Investor Relations 
function and hosted our first Capital Markets Day, showcasing 
all aspects of the business.  The Group partners with industry-
leading third parties for verification and actively participates 
in industry consortia to raise its profile and foster a clear 
understanding of its business model.
Risks Mitigation |   15
Risks Mitigation
Acquisitions have been and are likely to remain a critical growth 
option for the Group.  Realization of synergies may not occur , 
or may take significant time, resources and management 
attention.  Any acquisitions we undertake may adversely affect 
our operations and, if not properly integrated, could disrupt our 
business model and profitability.
The Group follows a disciplined, rigorous process with 
every acquisition to determine enterprise value and 
financial impact, and ensure timely integration.  This 
process covers five areas,  including strategic fit, financial 
performance, cultural match, deal execution and post-
merger integration.  The timely and impactful integration of 
our previous acquisitions, both throughout our history and 
over the past year, gives us confidence  in seeking additional 
opportunities for inorganic growth in the future.
The digital advertising space is rapidly changing and 
common standards around quality assurance have yet 
to emerge.  Changes in standards around verification, 
viewability and other key advertising requirements could 
cause us to incur substantial development costs and failure 
to comply with these industry standards could harm our 
reputation and business.
The Group works with a number of high profile, well-
respected partners that we believe will lead the way to 
establishing this common bar for the industry.  We are 
contributing to help shape these standards through our 
work with OpenVV .org as well as our membership in IAB, 
and also work with several leading third party experts to 
continuously test our product offerings.  By continuously 
monitoring and contributing to this ongoing convergence 
of standards we intend to stay on the cutting edge of what is 
expected and required of industry leaders.
The Group depends on owners of third party digital media 
properties for advertising inventory.  Because only a portion 
of our traffic supply is organically generated, this third 
party supply is variable and must be carefully screened and 
optimized to ensure quality.  If we fail to detect fraud or other 
actions that impact advertising performance, sellers and/or 
buyers could lose confidence in our products, which could 
cause our business to suffer .
The Group has built a system designed to offer a quality- 
advertising environment for users and advertisers.  Our 
supply network is regulated by proprietary traffic filtering 
and screening technology and processes that make use of 
multiple sources of internal and external data, including 
whitelists, blacklists, scoring and blocked IPs.  Through 
this technology, as well as publisher teams from across the 
organization, we attempt to filter and optimize advertising 
inventory.  We continuously enhance our filtering and 
screening technology in an effort to keep pace with the 
industry.  We have also appointed a Senior Compliance 
Officer, tasked with both monitoring our processes around 
fraud prevention and future proofing the Group’s products 
and services.
 Our contracts with buyers are generally not exclusive and 
do not typically require minimum volumes or long term 
commitments, leading to demand side risk.  Our buyers 
generally work with competitors as well, meaning that any 
strain in the relationship due to service failures or other 
reasons may lead to that buyer canceling or scaling back 
their spend with us in favor of a competitor.
The Group maintains a comprehensive product set and 
continuously develops new products and services designed 
to capture demand and further extend our relationships 
with partners.  Additionally, we aim to comply with high 
service levels to ensure partner satisfaction and retention 
rates. 16   |   FY2014 Annual Report
 If our estimates relating to our critical accounting policies 
are erroneous or based on incorrect assumptions, our 
results could fall below expectations, which could lead to a 
decline in our stock price.
The preparation of financial statements in conformity with IFRS 
rules and regulations, requires management to make estimates 
and assumptions that affect the amounts reported in the 
consolidated financial statements and accompanying notes.  
The Group has a trained finance team and bases estimates on 
best judgment, historical experience, information derived from 
third parties and on various other assumptions that we believe 
to be reasonable under the circumstances.
The price of our common stock may be volatile and 
subject to the adverse effects of industry influencers.  
Factors that could cause fluctuations in the trading price 
include: announcements regarding the business by us or 
competitors, price and volume fluctuations in the overall 
stock market, fluctuations in the trading volume of our 
shares or the size of our public float, litigations involving us, 
regulatory developments and departures of key employees.  
Additionally, if the market for technology stocks or the stock 
market in general experiences a loss of investor confidence, 
the trading price could decline for reasons unrelated to our 
business or finances.
The Group runs the business on the principle of succeeding 
as a commercial entity in the long term, which in turn serves 
the interests of our shareholders.  We focus on harvesting 
the Group’s organic and inorganic growth opportunities to 
drive long-term value.
The processes to identify and manage key risks to the success of the Group are an integral part of the 
internal control environment.  Further information on the financial risks faced by the Group can be 
found in note 24 of the financial statements.
Risks Mitigation |   17
SECTOR OVERVIEW
The advertising arena is large—an estimated 
$180 billion in the US in 2014, and growing at 
5% CAGR over five years.  Within advertising, 
television dominates, commanding an 
estimated $69 billion in 2014.  US online ad 
spend represents approximately 28% of total 
ad spend, but is growing at a much faster  
rate—an estimated 14% CAGR over five years. 
Online advertising consists of several 
segments.  The largest, search, accounts for 
approximately half of total online ad spend, but 
is growing at just over 10% CAGR.  In contrast, 
video accounted for approximately $4 billion in 
ad spend in 2013, but is growing at almost three 
times the rate of search.  The fastest growing 
segment in all of advertising, however, is mobile 
video, growing at an industry leading 60% 
CAGR. 
There are a number of important structural 
trends driving the growth of the sector, thereby 
accelerating our growth as an enterprise.
Sector Overview and T rends
Digital, Broadcast, Print ($B,US)
T otal Media v Digital Ad Spending for 2013-2017 ($B)
Source:  eMarketer
Source:  eMarketer and IAB INDUSTRY TRENDS
First, we are witnessing the ongoing shift from 
offline to online advertising budgets.  Within 
online advertising, there is an accelerated 
growth of video and mobile.  By 2017, 
nearly 1 million minutes of video will traverse 
the Internet every second.  Additionally, 
online video currently constitutes 57% of all 
consumer Internet traffic, according to Cisco, 
but will reach 69% by 2017.  As the amount of 
video being consumed online increases, video 
advertising budgets are continuing to grow 
steadily at a 27% CAGR over five years, from $4 
billion in 2013 to $11 billion by 2017.
Mobile devices are accelerating access to 
high-speed mobile networks and enabling 
consumers to watch video content anytime, 
anywhere.  According to eMarketer, consumers 
now spend more time with connected devices 
than any other form of media, with an average 
of 346 minutes spent per day compared with 
268 minutes spent per day with TV .  This high 
rate of consumer growth in the mobile sector 
is leading to ad budgets shifting away from 
desktop to  mobile devices, as more advertisers 
capitalize on all four screens to reach 
consumers.  Within mobile, video spending is 
growing the fastest with 60% CAGR, albeit from 
a relatively small base.  This spend is expected 
to grow from <$1 billion in 2013 to over $4 
billion in 2017.
Further improving the opportunities to 
monetize each consumer interaction, data is 
fueling a programmatic future, defined as 
the automated buying and selling of ads online.  
An increasing amount of ad budgets are going 
toward Real Time Bidding (RTB), allowing 
advertisers to target the consumer , based on 
profile data, instead of the content where the ad 
appears.  Growing at a 32% CAGR over five years, 
RTB budgets will nearly triple from $3.4 billion in 
2013 to $10.4 billion by 2017.  The combination 
of RTB and programmatic direct ad spending 
was over 50% of display ad spending in 2013, 
and is expected to exceed 80% by 2017.  Even 
more impressive, according to eMarketer and 
IDC, mobile RTB is growing at a remarkable 128% 
CAGR over five years, and will account for one 
third of all RTB spending by 2017.
This year has also marked a trend towards the 
convergence of linear and digital TV.  Due 
to the increasing time spent with connected 
devices, digital and mobile video are both 
complementing and cannibalizing traditional 
TV budgets.
Compared with the 27% CAGR of digital video, 
TV ad spending is growing at a 3% CAGR during 
the same period.  While TV will remain a vital 
channel for brand awareness, media buyers are 
increasingly taking an expanded view of video 
campaigns, reserving larger budgets for both 
online and mobile video.
As far as the future of the sector, we believe 
that the acceptance of, and agreement on, 
emerging standards will help guide and fuel 
industry growth.  The digital video advertising 
space is rapidly changing and standards around 
quality assurance have yet to converge.  Many 
vendors today apply display-advertising 
measurements to this dynamic medium, 
and new entrants are adding proprietary 
technology and methodologies, with different 
18   |   FY2014 Annual Report
Online Video T raffic Worldwide
US Display Ad Spending, by Channel, 2013 - 2017 ($B)
Source:  Cisco
Source:  eMarketer approaches to audience verification and 
viewability.  blinkx works with a number of high-
profile, well-respected vendors that we believe 
will lead the way to establishing a common bar 
for the industry.  We are contributing to help 
shape these standards through our work with 
OpenVV .org as well as our membership in IAB, 
and also work with several leading third party 
experts, including Nielsen, comScore, Integral 
Ad Sciences, Moat, Adometry, Fraudlogix and 
Double Verify, among others, to continuously 
test our audience quality.
|   19
US Display Ad Spending Share, by T ype, % of T otal
 
Media Consumption v Ad Spend
Source:  KPCB with Mary Meeker
Source:  eMarketer and MAGNA GLOBAL Ecosystem
The digital advertising ecosystem functions on 
the principle of fair value exchange.  Consumers 
gain access to quality content online (Video, 
Apps, T ext) in exchange for providing their 
attention and engagement to advertising.  
blinkx operates in an industry where users do 
not expect to pay for access to content.  Rather, 
such access is subsidized by advertising.
The image above depicts a typical, daily 
experience that occurs millions of times online, 
every day.  A consumer visits a website, finds 
and clicks on interesting video content.  An 
ad is presented to the consumer, followed 
by the content.  Four parties are involved in 
this transaction—consumer, web publisher, 
content producer, and advertiser.  In exchange 
for the consumer’s engagement, the advertiser 
pays the web publisher, who shares a portion of 
the revenue with the content producer.
This event is repeated millions of times daily, 
creating a massive fragmentation challenge 
that must be solved in milliseconds at scale.  
blinkx solves this challenge by aggregating 
20   |   FY2014 Annual Report
Consumers Advertisers
ATTENTION
CONTENT
AUDIENCE
SPEND
Content
Publishers
Apps
CONTENT SHARE
Value Exchange
CONSUMERS ADVERTISERS
CONTENT APPS
blinkx Platform
This event is 
repeated millions 
of times daily, 
creating a massive 
fragmentation 
challenge that 
must be solved 
in milliseconds at 
scale.  
blinkx solves 
this challenge 
by aggregating 
audiences from 
thousands of 
supply sources, 
and matching these 
audiences with 
relevant content 
and ads, using 
sophisticated 
algorithms and 
high-speed trading 
technology.
blinkx Platform
Value Exchange
blinkx Ecosystem
blinkx Business Model
Programmatic Value Chain
Marketing Objectives
blinkx Locations
blinkx Evolution
blinkx Commercial Model
blinkx Platform
Value Exchange
blinkx Ecosystem
blinkx Business Model
Programmatic Value Chain
Marketing Objectives
blinkx Locations
blinkx Evolution
blinkx Commercial Model |   21
audiences from thousands of supply sources, 
and matching these audiences with relevant 
content and ads, using sophisticated 
algorithms and high-speed trading technology.
Looking at our revenue equation, the left half of 
the figure above represents the supply side of 
our business that consists of the audiences we 
aggregate and sell.   The right half represents 
demand , ultimately consisting of advertisers.   
We have grown our supply footprint through 
organic audiences and acquisitions to extend 
the scale, scope, and reach of our revenue 
model.   On the demand side, we have built a 
direct sales team and connected the blinkx 
engine to ad exchanges, or programmatic 
trading platforms, an increasingly prevalent 
means of buying and selling inventory.   In the 
future we expect to add audiences from new 
and emerging sources, such as mobile and 
connected TV .
COMMERCIAL MODEL
The blinkx commercial model is represented 
by three concentric rings.  At the core is 
technology that lets us target consumers by 
deeply understanding the context of any online 
medium, including video.   This proprietary 
technology lets us deliver on the promise of 
brand safety to the advertiser, and advertising 
relevance to the consumer.
AGENCIES ADVERTISERS
MOBILE SALES
TRADING 
PLATFORMS
ADVERTISING
EXCHANGES
INTEGRATED
ADVERTISING 
CAMPAIGNS
DIRECT TEAM
SALES
CONTENT APPS
CONSUMERS
blinkx Ecosystem
SYNDICATES
BLINKX
SEARCH
MOBILE
CONNECTED TV
DISPLAY
PARTNERS
PRODUCTS
TECHNOLOGY
blinkx Commercial Model
We’ve grown our 
supply footprint 
through organic 
audiences and 
acquisitions to 
extend the scale, 
scope, and reach of 
our revenue model.  
blinkx Platform
Value Exchange
blinkx Ecosystem
blinkx Business Model
Programmatic Value Chain
Marketing Objectives
blinkx Locations
blinkx Evolution
blinkx Commercial Model
blinkx Platform
Value Exchange
blinkx Ecosystem
blinkx Business Model
Programmatic Value Chain
Marketing Objectives
blinkx Locations
blinkx Evolution
blinkx Commercial Model PROGRAMMATIC TRADING
An increasingly dominant subset of 
our commercial model is devoted to 
programmatic buying and selling of inventory.  
The programmatic value chain has Supply 
and Demand sides, with a central stack of 
technology that enables real-time bidding 
(RTB).  The edges of this ecosystem tend to be 
high-touch—publishers acquire consumers 
by maintaining websites, and agencies serve 
advertisers through media planning and 
creative execution.  The center tends to be 
high-tech, with value chain elements devoted 
to scale and trade automation.
On the Supply side, consumers are aggregated 
by publishers, which are aggregated by ad 
networks, which in turn are aggregated by 
Supply-Side Platforms (SSP).   In essence, eyeballs 
flow from left to right.   On the Demand side, 
advertisers are aggregated by agencies (and their 
trading desks), which in turn are aggregated by 
Demand-Side Platforms (DSP).
Advertising dollars flow from right to left.  In the 
illustrative flow depicted on the opposing page, 
Supply and Demand meet in the middle, where 
automated buying and selling of inventory occurs 
via exchanges.
Over time, we’ve built a thriving partner ecosystem and 
network effects model that grows in all dimensions each day.
In addition to proprietary technology, blinkx 
has a highly diversified suite of products that 
has enabled us to move from selling units to 
executing integrated campaigns on behalf of 
advertisers.  Video and mobile lead the pack in 
terms of strategic focus, but the Company can 
satisfy the full range of advertiser objectives—
from awareness through conversion—through 
multi-channel products that include display, 
rich media, contextual advertising, social media 
solutions and more.
The farthest ring in the commercial model 
consists of partner relationships—Supply, 
Demand, and Content.  blinkx offers Supply 
partners turnkey monetization of the
audiences these partners have built.  Content 
partners achieve distribution of existing 
content assets to an incremental audience, 
with the associated revenue share.  Demand 
partners can access audiences at scale within 
a brand-safe environment, based on blinkx’s 
deep understanding of the context of the 
content where ads appear.  Over time, we’ve 
built a thriving partner ecosystem and network 
effects model that grows in all dimensions each 
day, and constitutes a significant competitive 
barrier to entry, since partner integrations can 
be time consuming to establish and difficult to 
scale.
22   |   FY2014 Annual Report SUPPLY DEMAND
Sell-Side Ad T echnology
PUBLISHER
CONSUMER
AD NETWORK
SSP
EXCHANGE
Buy-Side Ad T echnology
Common Data Management Platform
Capability
Relationships
Existing Assets
Build, Buy or Partner
R&D Investments
T echnology Stack
Unified Advertising T echnology Platform
Reporting, Analytics, Verification & Viewability
AGENCY
ADVERTISER
TRADING DESK
DSP
Programmatic Value Chain
blinkx has been predominantly a supply-side 
company , expert at aggregating consumers into 
audiences via independent and owned-and-
operated publisher sites, ad networks and its 
resident SSP .   The recent acquisition of L YFE 
Mobile, an innovative mobile DSP and Data 
Management Platform (DMP), represents the 
Company’s extension into the Demand side 
of the programmatic value chain with a bias 
toward mobile, the fastest growing channel for 
programmatic spend.
|   23
blinkx Platform
Value Exchange
blinkx Ecosystem
blinkx Business Model
Programmatic Value Chain
Marketing Objectives
blinkx Locations
blinkx Evolution
blinkx Commercial Model Products and People
PRODUCTS
blinkx products are designed to address 
the needs of the constituents within our 
ecosystem, including consumers, publishers, 
content creators and advertisers—and 
ultimately drive advertising revenue.  
In addition, we invest continuously in 
enhancements to our core technology stack.
Consumer  Products
In the consumer category blinkx launched 
Skyrocket Player, a Windows application 
that allows for seamless online video viewing 
directly on a user’s desktop while working, 
browsing the Web or gaming.  
Skyrocket Player taps into the entire blinkx 
video index to present premium partner 
content, as well as videos from across the Web, 
through up-to-date categories and blinkx’s 
patented search technology.   Skyrocket Player 
can also connect to other sources of video 
content, serving as a user’s universal player, 
designed to provide a true “TV Everywhere” 
experience.   Skyrocket Player’s transparency 
mode is unique, allowing the user to select the 
level of transparency in order to view and even 
continue to work through the player while a 
video plays.   This eliminates the need to move 
or minimize the player window, creating an 
ideal video-viewing environment for multi- 
taskers.
Also for consumers, Boost is a shopping 
comparison browser add-on that lets 
consumers comparison shop for products 
they’re interested in purchasing online.   
When a consumer visits a product page on 
a merchant site, the Boost interface will 
immediately display competitive pricing for 
precisely the same product on competing 
merchant sites, through a federated search-
matching algorithm.   Through our direct work 
with shopping feed providers, this free add-
on provides users with the best possible deal 
automatically, while also delivering very high 
conversion traffic to these merchants.
Publisher Products
For publishers the Company launched blinkx 
VideoAdvantage (bVA), a proprietary blinkx 
solution designed to expand distribution of 
premium content across the Web, providing 
broader reach and enhanced monetization 
opportunities for publishers and advertisers.  
bVA lets publishers monetize their audiences 
by including a relevant ad-supported video 
experience within their web properties.  
Through bVA, publishers have complete 
control over the video content embedded in 
their sites, as well as real-time performance 
metrics and intelligence.   The bVA publisher 
portal leverages CORE technology to aid in 
24   |   FY2014 Annual Report |   25
video search and selection, and encompasses 
premium content from over 1,200 content 
providers, customizable video widgets for 
Web and mobile deployment, and real-time 
reporting  through the bVA dashboard.
The Company also launched Video Match, 
another proprietary blinkx solution to aid in 
syndication of premium content across the 
Web to text and image based publishers.  Video 
Match allows web publishers to video- enable 
any article or blog post that contains an image, 
without the need to develop their own video 
player technology or even dedicated player 
space.  
By tapping into the blinkx video index and 
advanced search technology, Video Match is 
able to transform any static image within an 
article into a clickable video player, launching 
a video contextually relevant to the topic of 
the article being read.  This process occurs in 
milliseconds, in real time.  When a consumer 
arrives at a publisher’s web property, the 
blinkx engine indexes the publisher’s content, 
draws upon contextually relevant video from 
the blinkx index, matches an ad to the video 
and superimposes a play button on a static 
image adjacent to the text content.  When 
the consumer clicks play, a player launches 
containing an ad followed by the video, and the 
publisher participates in this monetization.  
This allows publishers to easily and accurately 
deliver a video experience to their audiences 
without sacrificing any site real estate, 
providing easy-to-implement enhanced 
monetization opportunities for publishers and 
broader, more relevant reach for advertisers.
Content Products
For our content partners, Branded Content 
Hubs allow users to find and view more content 
from their favorite networks.  Branded Content 
Hubs offer a brand-safe, scalable, searchable, and 
advertiser-friendly environment for premium 
content partners to offer their entire catalog 
of shows or channels on blinkx.com.  Featuring 
multiple channels, editorial space, a social media 
feed and custom branding, Branded Content 
Hubs allow premium partners to power our video 
categories and search, while still maintaining each 
partner’s distinct brand identity . Advertiser  Products
For advertisers, blinkx offers comprehensive 
solutions to satisfy any advertising objective.  
These include:
Sponsored Video:
The Sponsored Video unit gives an advertiser the 
top position within a video search results page 
on blinkx.com for a given list of keywords, and is a 
particularly effective vehicle for seeding viral video 
campaigns.  Sponsored Video content is clearly 
identified and plays before the first results clip.
Video Footer:
The Video Footer is an ad that anchors at the 
bottom of a web page and stays fixed even 
when a user scrolls up or down.  The Video 
Footer can stay unexpanded to provide a 
consistent branding presence, or expand to a 
larger size to showcase a video player.
Float:
“Floating” on a transparent layer above a site’s 
content, the Float—available in Video or Standard 
varieties—is free from pre-made templates or size 
restrictions, offering high-impact movement that 
captures a user’s attention.  
The Float can include a video player , image/
product gallery and social media extensions.
Overlay Video Player:
As demonstrated in our recently launched 
Skyrocket Player, the semi-transparent Overlay 
Video Player enables seamless online video 
viewing directly on a user’s desktop while 
working, browsing the Web or gaming.  This 
functionality ensures the player and advertising 
experience conforms to the highest standards 
for video viewability, as it is always above the 
fold and in-view.  blinkx has applied for patents 
around this technology.
26   |   FY2014 Annual Report In-stream Mobile Video:
Video ads are played within mobile video 
content (immediately before, during or 
immediately after) and can include a number 
of interactive features such as buttons or 
location-based calls to action.
Interstitial Mobile Video: 
Mobile video ads are played during screen 
changes, at app launch, between game levels, or 
when tapping to a new page.  Interstitial video 
supports a number of interactive features such 
as buttons or location-based calls to action.
Full Page Rich Media:
Enabled for smartphones and tablet devices, 
Full Page Rich Media units incorporate multiple 
pieces of video content into a full-screen 
interface with a native video player.  Videos can 
be immediately displayed within the creative or 
hidden and activated by tap.
Marquee Banner Video:
An auto-play video is displayed in a standard 
banner alongside a call to action, expanding 
into a partial screen video player upon user 
interaction.  The Marquee Banner Video is 
enabled for all smartphone and tablet banner 
sizes across all devices.
|   27
For advertisers, blinkx offers 
comprehensive solutions  
to satisfy any advertising objective.   28   |   FY2014 Annual Report
T echnology  Products 
In addition to products directly targeted to 
key elements of our commercial ecosystem, 
we invest heavily in the ongoing maintenance, 
improvements and scalability of our core 
infrastructure.  Broadly , these investments 
include:
Infrastructure and Applications:
CORE (Concept Recognition Engine)  is our 
patented video search, discovery, syndication 
and advertising platform.  Scalability, speed 
and the development of derivative applications 
using this engine remain key areas of 
investment.  Application advancements include 
the consolidation of the various operational 
systems to manage publishers, content 
partners and advertisers and the expansion 
of CORE services.  A common, cross-product 
ad serving platform, blinkx Video Advantage 
and blinkx Video Match are examples of the 
investments we continue to make in improving 
our CORE infrastructure.
Big Data, Reporting and Optimization:
On a daily basis, blinkx generates billions of 
data elements that range from ad requests, to 
targeting, serving, reporting and optimization 
items.   Our big data initiative encompasses 
efforts to combine the various product line 
data repositories.  This enables a single, unified 
and seamless view of a user, across multiple 
screens that can then be further augmented 
by third party data to enhance our advertising 
and content offerings.  Our goal is to be able 
to provide a comprehensive and consolidated 
view of the user for advertising and content 
targeting, without compromising the privacy 
of the user.  This information is used not only 
to target the user anonymously, but also to run 
reports to help optimize our advertising and 
targeting effectiveness.
Cloud Computing and Scalability:
With the rapid advances in and declining 
prices of Cloud computing solutions, we have 
undertaken a major project to Cloud-enable 
portions of our technology infrastructure, 
while maintaining certain core functions in 
self managed datacenters.   This requires code 
level and process changes to Cloud-enable 
our software infrastructure.   Once enabled, 
the Cloud infrastructure provides us with a 
platform to rapidly scale our business, add 
new products, partners and traffic, manage 
capacity for seasonal spikes and integrate new 
acquisitions quickly and seamlessly. PEOPLE
All of this innovation is possible thanks to our 
most important asset: our people.  blinkx has 
a talented team and fosters  a performance 
culture to draw the best results possible out 
of these talented individuals.  Furthermore, 
we are proud of our high retention rate in this 
hypercompetitive industry, and are always 
looking to improve our team through both 
acquisitions and direct hires.  In FY2014 we 
were delighted to recruit and successfully 
integrate the legacy Grab Media and Rhythm 
NewMedia teams—two talented, multi-faceted 
groups with long tenures, extensive experience, 
and deep relationships in digital video, which 
will enable us to accelerate organic growth 
initiatives across all four screens.
 During the period, the Company also made 
significant investments in management 
bandwidth and expertise across Business 
Development, T echnology , and Product. W e 
brought on board three seasoned executives who 
will play important roles in building the business 
and driving growth for the Company , in both the 
US and European markets, with a focus on digital 
video and mobile.
As an organization we hire talented individuals 
across all disciplines, with a bias towards those 
who build our technological capacity and those 
who monetize these developments through 
sales to our clients.
Department
Number of 
employees 
as of 31 
March 2014
% of 
T otal
T echnology 99 30%
Sales 80 25%
Operations 69 21%
General & Administrative 42 13%
Client Services 27 8%
Marketing 10 3%
T otal 327 100%
|   29
blinkx Platform
Value Exchange
blinkx Ecosystem
blinkx Business Model
Programmatic Value Chain
Marketing Objectives
blinkx Locations
blinkx Evolution
blinkx Commercial Model T echnology and Operations
Since inception, blinkx has invested over 
$70 million on research, development and 
infrastructure to build and enhance CORE, 
(COncept Recognition Engine), our patented 
video engine.  CORE solves the massive 
fragmentation and optimization challenges 
inherent in sourcing, indexing, processing, 
managing and monetizing rich media online.  
Using speech recognition, and visual and text 
analysis, we can analyze and understand the 
content and context of online video.  While 
traditional text-based search technologies 
simply match the text around a video, blinkx 
electronically hits the play button and actually 
watches the video, resulting in enhanced video 
search results for the consumer and a brand-
safe environment for the advertiser.  This 
deep, granular understanding of rich media 
enables blinkx to process, monetize, and deliver 
video and audio content in unique ways, and 
to capitalize on the true potential of video in 
the current four-screen world of PCs, tablets, 
smartphones and connected TV .  Augmenting 
these efforts, following the acquisition of 
Rhythm NewMedia the Company has begun to 
focus on mobile technology, including cutting-
edge mobile video ad units and video players.
30   |   FY2014 Annual Report Business Model
The vast majority of our revenue is generated 
from online advertising, through a wide range 
of formats and pricing options that include 
video, mobile, social, display, text and rich 
media, covering brand and performance 
advertising campaigns, sold both directly and 
sourced from third parties.  Through organic 
growth, selective acquisitions and unique 
technological capabilities, we have created 
a growing ecosystem of audiences, content 
providers and advertisers that we continue 
to video-enable on the Web and on mobile 
devices.  In addition to our scale, scope, and 
reach across the online advertising ecosystem, 
we believe that blinkx is uniquely positioned 
within our competitive arena.  We provide 
a combination of technology and media 
products that cover both the Supply and 
Demand sides of the ecosystem and across 
all connected devices.  This breadth includes 
video search and discovery technology, 
mobile video technology, platform and device 
agnostic video players, audience access 
via our online properties and ad networks, 
access to professionally generated content 
through our extensive content relationships, 
and monetization options through direct 
and indirect advertising relationships.  As 
purchasing behavior within the sector has 
moved from buying ad formats to multi-
channel, integrated campaigns across devices, 
our business model and diversified capability 
set have grown in response to this trend.
The successful integration of previous 
acquisitions has brought us access to vast 
networks of text-oriented web and mobile 
properties and the potential to deliver 
audiences, content and advertisements to over 
5,700 web properties, syndication partners, 
application developers and affiliates.  Through 
blinkx’s proprietary syndication products for 
third parties unveiled this year, such as bVA 
and Video Match, the number of publishers 
powered by blinkx video will continue to 
expand.  This number was also bolstered in 2014 
through the acquisition of Rhythm NewMedia, 
granting blinkx access to the fast  growing 
mobile ecosystem through premium video 
apps.  In addition to massive scale, with access 
to billions of potential advertising interactions 
annually, the integrations have significantly 
broadened the scope of advertising products 
we are  able to offer our customers, and 
boosted our reach to tens of millions of unique 
users per month across all four screens.
The size of the audience to which we have 
access has grown via these acquisitions, and 
monetization of this audience continues to 
represent one of our key organic growth 
drivers.  Those interactions that remain 
un-monetized today represent a captive and 
well-understood organic growth opportunity 
for the Company, which we are actively 
seeking to convert through direct and 
programmatic demand side relationships.  
In addition, we are actively pursuing ways to 
convert conventional to premium revenue, 
through our video syndication technology 
and ongoing product innovation.
AUDIENCE
SYNDICATES
BLINKX
SEARCH
MOBILE
CONNECTED TV
DISPLAY
PREMIUM
CONVENTIONAL
OPPORTUNITY
MONETIZATION
blinkx Business Model
CONTENT
LICENSED INDEXED
ADVERTISERS
DIRECT
SOLD
PLATFORM 
TRADED
We provide 
a unique 
combination of 
technology and 
media products 
that cover both 
the Supply and 
Demand sides of 
the ecosystem 
and across all 
connected devices.  
|   31
blinkx Platform
Value Exchange
blinkx Ecosystem
blinkx Business Model
Programmatic Value Chain
Marketing Objectives
blinkx Locations
blinkx Evolution
blinkx Commercial Model Growth and Opportunities
OUTLOOK AND OPPORTUNITIES
From both an operational and financial 
standpoint, blinkx is a stronger company today 
than it has ever been, and is well positioned to 
capitalize on several key trends for continued 
success.  Digital advertising overall is growing 
at an impressive rate as ad budgets continue 
to move online.  In 2012 digital advertising 
surpassed print for the first time, and in 2013 
digital advertising surpassed even broadcast 
TV ad spending, marking a true shift in 
the advertising ecosystem.  Within digital 
advertising, video is one of the fastest growing 
formats, growing at a 27% CAGR over five years 
to $11 billion by 2017.  Video offers the sight, 
sound, motion and visceral experience of TV 
advertising with the targeting and tracking 
capabilities inherent to digital experiences, 
making it an ideal format for advertisers 
looking to deliver their brand to an engaged 
online audience.
Although it is not all we do, digital video is our 
past, present and future, and we have continued 
to invest in that high-growth segment.  As a 
channel, mobile is also growing at an incredible 
46% CAGR over five years, and mobile video 
spending is growing even faster , with a 
60% CAGR over the same time period.  We 
anticipated the trend toward mobile over two 
years ago and began the Company’s organic 
mobile growth efforts at that time.  We have 
further accelerated these efforts with the 
acquisitions of Rhythm NewMedia and L YFE 
Mobile.
Programmatic trading also continues to grow 
exponentially, accounting for 50% of all display 
ad spending in 2013 and expected to surge 
to over 80% by 2017.  Even more impressive, 
mobile real-time bidding is growing at a 
remarkable 128% CAGR over five years, and is 
expected to account for one third of all RTB 
spending by 2017.  At blinkx, the majority of 
our business occurs through programmatic 
channels, placing us in an ideal position to 
capitalize on this growth.  Additionally we have 
systematically forward integrated through 
the programmatic chain, expanding from 
a predominantly supply-side company to 
one that now operates on the demand side 
of the exchange as well.  The acquisition of 
LYFE Mobile, a Demand-Side Platform which 
specializes in mobile RTB, has not only given 
us access to primary demand, but also has 
augmented our supply footprint through new 
supply-side integrations.
LOOKING AHEAD
As we enter the new financial year, our 
aspiration is to lead in digital video technology 
and advertising—connecting consumers 
and brands through content on any device, 
anywhere in the world.  This is a rapidly 
changing industry and we believe the next 
12 to 18 months will see a faster pace of 
32   |   FY2014 Annual Report
We anticipated the trend toward mobile 
over two years ago and began the Company’s 
organic mobile growth efforts at that time.  
We have further accelerated these efforts 
with the acquisitions of Rhythm NewMedia 
and L YFE Mobile.
Digital Video v TV Ad  Spend ($B,US)
Source:  eMarketer |   33
consolidation in what has become a race to 
scale, and convergence of standards.  In this 
environment we expect to continue to evolve 
in order to compete and succeed, as we have 
done since inception.
Through our multi-faceted business model, 
massive footprint in the industry, strategic 
acquisitions, patented technology, expert 
leadership and talented employee base, we 
feel we are well-positioned to adapt to any 
shifts in the industry and convert them into 
opportunities for further success.  We have 
organized the Company to capitalize on 
emerging trends, and will continue to build 
innovative products to capture the budgets 
flowing into this ecosystem, as the convergence 
of digital and TV advertising continues.  
Our immediate focus is on replicating our 
ecosystem into new devices, including mobile 
and connected TV .  We continue to grow by 
forward-integrating through the programmatic 
technology stack, and are actively assessing 
opportunities to increase our revenue share 
by obtaining owned & operated or exclusive 
traffic, or owned & operated or licensed 
content.  We are fortunate to have a capable, 
energized team and resources to seize new and 
emerging opportunities—both organic and via 
acquisitions.
The strategic report from page 6 to page 33 was 
approved and signed on behalf of the Board by:
Subhransu (“Brian”) Mukherjee 
Chief Executive Officer 
blinkx plc 
6 June 2014
blinkx Platform
Value Exchange
blinkx Ecosystem
blinkx Business Model
Programmatic Value Chain
Marketing Objectives
blinkx Locations
blinkx Evolution
blinkx Commercial Model Corporate Governance
34   |   FY2014 Annual Report Corporate Governance
Overview
The Board of Directors (“the Board” or “the 
Board of Directors”) of blinkx values good 
corporate governance and is committed to 
ensuring that high standards are maintained.  
Whilst companies whose shares are listed on 
AIM are not formally required to comply with 
the provisions set out in the UK Corporate 
Governance Code (“the Code”), the Board 
attempts to apply the provisions of the Code in 
certain areas where it considers it appropriate 
to do so, given both the Group’s size and 
resources available to the Group.  As such, we 
report below on how we have complied with 
the main provisions of the Code.
ROLE OF THE BOARD
The Board’s role is to provide entrepreneurial 
leadership of the Company within a framework 
of prudent and effective controls which 
enables risk to be assessed and managed, set 
the Company’s strategic aims, ensure that the 
necessary financial and human resources are 
in place for the Company to meet its objectives 
and review management performance, and 
set the Company’s values and standards and 
ensure that its obligations to its shareholders 
and others are understood and met.
Monitoring the level of risk and ensuring 
appropriate response to identified risks are 
key objectives, involving the support of the 
whole board.  The Board is focused on driving 
the levels of challenge around risk and risk 
management as the business evolves.  The 
principal risks and uncertainties are set out 
on pages 13-16.  Whilst it is recognized that the 
Group is subject to a number of risks greater 
than this list, we disclose those that are of most 
concern to the business at this point in time.
 
 
 
 
DIVISION OF RESPONSIBILITIES
There is a clear division of responsibility at the 
head of the Company between the running of 
the Board, which is delegated to the Chairman, 
Anthony Bettencourt, and the executive 
responsibility for the running of the Company’s 
business, which is delegated to the Chief Executive 
Officer , Subhransu (“Brian”) Mukherjee.
At 31 March 2014 the Board comprised seven 
Directors, five of whom were Non-Executive 
Directors.  The Non-Executive Directors do not 
have any day-to-day involvement in the running of 
the business, but are responsible for scrutinizing 
the performance of management in meeting 
agreed goals and objectives, and monitoring 
the reporting of performance.  All Board 
members are considered to be able to allocate 
sufficient time to the Company to discharge their 
responsibilities as Directors effectively.
The Board meets at regular scheduled intervals 
and follows a formal agenda; it also meets as 
and when required.  No one individual has 
unfettered powers of decision.  The Directors 
may take independent professional advice at 
the Group’s expense.
THE CHAIRMAN
The Chairman is responsible for leadership of 
the Board, ensuring its effectiveness, setting 
the Board’s agenda and ensuring that adequate 
time is available for discussion of all agenda 
items, in particular strategic issues.  In addition, 
the Chairman is responsible for ensuring 
that the Directors receive accurate, timely 
and clear information to ensure effective 
communication with shareholders. 
 
 
 
 
 
|   35 THE CHIEF EXECUTIVE
Supported by the Board of Directors, our 
Chief Executive, within the authority delegated 
by the Board, has day-to-day management 
responsibility for implementing the Group’s 
strategy and running the Group.  In addition, 
the Chief Executive promotes the Group’s 
values, culture and high standards of conduct, 
which underpin our reputation and support the 
delivery of our enterprise growth.
BOARD COMMITTEES
The Group has an Audit Committee, a 
Nomination Committee, and a Remuneration 
Committee, each consisting of Non- Executive 
Directors.  Each committee has written terms of 
delegated responsibilities which will be available 
for review at the end of the Annual General 
Meeting for 2014 and are available for review in 
the Investor Relations section of the Company’s 
website.
The Board and its committees are considered 
to have the appropriate balance of skills, 
experience, independence, and knowledge of 
the Company to enable them to discharge their 
respective duties and responsibilities effectively.
INFORMATION AND SUPPORT
The Board is supplied with information in a 
quality form and in a timely manner to enable it 
to discharge its duties.
The Board also reviews arrangements under 
which employees are able to raise concerns 
in confidence about possible improprieties in 
matters of financial reporting or other areas.
RELATIONSHIPS WITH 
SHAREHOLDERS
The Board understands the need for clear 
communications with its shareholders.  In 
addition to presentations after publication 
of results and the Annual General Meeting, 
meetings are held with fund managers, analysts, 
and institutional investors.  Information is 
posted on the Group’s website,  
www.blinkx.com, which contains a 
comprehensive Investor Relations section.
Furthermore, the Board makes constructive 
use of the Annual General Meeting to 
communicate with investors and encourage 
their participation.
AUDITOR’S  INDEPENDENCE
Deloitte LLP (or its predecessor firms) 
(“Deloitte”) was first appointed as auditor to 
blinkx plc in 2007.  There are no contractual 
restrictions on the Group with regard to their 
appointment.  In accordance with professional 
standards, the partner responsible for the 
audit is rotated every 5 years.  In keeping with 
this standard, Mr.  Stuart Henderson, Deloitte 
partner, was appointed as the senior statutory 
auditor during fiscal year 2013.  The Audit 
Committee reviews and approves the level of 
non audit fees, and reviews the procedures the 
auditor has in place to maintain and safeguard 
auditor independence and objectivity.
36   |   FY2014 Annual Report Board of Directors
Name Age Designation Committees
Anthony Bettencourt 53 Non-Executive Chairman Remuneration, Nomination, Audit
Suranga Chandratillake 36 Executive Director Nomination
Ujjal Kohli 55 Non-Executive  Director Audit, Remuneration
Dr .  Michael Lynch 49 Non-Executive  Director Chairman – Nomination, Remuneration
Subhransu (“Brian”) Mukherjee 47 Executive Director –
Mark Opzoomer 57 Non-Executive  Director Chairman – Audit
Judy Vezmar 57 Non-Executive  Director Chairman – Remuneration
ANTHONY BETTENCOURT , NON-EXECUTIVE CHAIRMAN
Anthony Bettencourt is currently the Non-
Executive Chairman of blinkx plc.  Anthony most 
recently was the CEO, President and Chairman 
of Coverity, the San Francisco-based world 
leader in Developer T esting.  Previously, Anthony 
served as Chief Executive Officer of Autonomy 
Interwoven and Autonomy ZANTAZ.  Prior to 
that, he was the Chief Executive Officer of Verity, 
Inc.  where he was responsible for growing 
the business from $15m in annual revenues to 
more than $140m from 1995 to 2006, resulting 
in Verity agreeing to be acquired for more 
than $500m at the end of 2005.  In 2005, he 
was awarded the prestigious Ernst & Y oung 
Entrepreneur of the Y ear award for software and 
technology in the Silicon Valley.  Anthony serves 
as a judge for the T ech Awards and a mentor for 
Santa Clara University’s Global Social Benefit 
Incubator program.  He serves on the Board of 
Directors of Proof Point (NASDAQ:PFPT) and 
Versant (NASDAQ:VSNT).  Anthony earned a 
B.A.  in English from Santa Clara University in 
2006.
SURANGA CHANDRATILLAKE, CHIEF STRATEGY OFFICER
A technology entrepreneur with over a decade 
of experience in next- generation search, 
Suranga Chandratillake FREng, founded blinkx 
in 2004 and launched the company in 2005.  
After early success, Suranga took the company 
public on the AIM market of the London Stock 
Exchange in May 2007.  Prior to founding 
blinkx, Suranga was U.S.  Chief T echnology 
Officer of Autonomy, responsible for growing 
Autonomy’s research and development 
division in the United States.  Before joining 
Autonomy, Suranga held a variety of roles in 
technology, sales and marketing at Morgan 
Stanley, NetDecisions, and Anondesign.  
Suranga received his MA in Computer Science 
from the University of Cambridge.
A highly regarded expert on the convergence 
of the Web and TV , including the future 
of television, interactive TV and online 
advertising, Suranga is often invited to speak 
at leading industry events including Financial 
Times’ Digital Media Conference, Cannes Lions 
International Advertising Festival and Monaco 
Media Forum.  Named a Young Global Leader 
Honoree in 2009 by the World Economic 
Forum, Suranga has also been recognized 
as one of the top 10 leaders in Science and 
Innovation by The Observer’s Future 500 list, 
and one of Digital Media Wire’s “25 Executives 
to Watch in Digital Entertainment.” Suranga  is 
a fellow of the Royal Academy of Engineering. 
On 19 July 2012, Suranga stepped down as Chief 
Executive Officer and assumed the role of 
President and Chief Strategy Officer of blinkx.
|   37 UJJAL KOHLI, NON-EXECUTIVE DIRECTOR
Ujjal Kohli joined the Board of Directors in 2014 
as a Non-Executive Director .  Ujjal brings over 
twenty- five years of executive management, 
engineering, marketing, strategy , M&A and Board 
level experiences to blinkx.  Ujjal co-founded 
and led Mountain View- headquartered Rhythm 
NewMedia (“Rhythm”) as CEO, before its 
acquisition by blinkx in December 2013.  Under 
his leadership, Rhythm emerged as a dominant 
mobile video technology and advertising platform 
for tablets and smartphones—working with 
ultra-premium media partners, including NBC 
Universal, CBS, ABC, Fox, and Warner Bros., as 
well as top brand advertisers, such as Disney , 
McDonald’s, General Motors, Ford, A T& T , 
Verizon, and Macy’s.  Before Rhythm, Mr .  Kohli 
co-founded and served as CEO of Meru Networks 
(NASDAQ: MERU).  Prior to this he was EVP 
of Marketing and National Sales for AirT ouch 
Cellular , and was part of the Executive team that 
led its merger with Vodafone (LSE: VOD) in a 
$60 Billion transaction in 1999.  Previously , Ujjal 
was a consultant with McKinsey and Company in 
London, Los Angeles and Silicon Valley .  Mr .  Kohli 
has also been an investor , advisor , and a previous 
Board member at several technology companies, 
including Magma Design Automation, Berkeley 
Networks, ByteMobile, Maverick Semiconductor , 
Convergenet, and WirelessHome.  Ujjal holds 
an MBA from Harvard Business School, an MS 
in Electrical Engineering from University of 
Rochester and a BT ech in Electrical Engineering 
from Indian Institute of T echnology , New Delhi.
DR MICHAEL LYNCH, NON-EXECUTIVE DIRECTOR
Dr Mike Lynch, OBE, FREng, FRS, is the founder 
of Invoke Capital, which invests in fundamental 
European technologies.  Long regarded as a 
visionary entrepreneur , the Financial Times 
describes him as “the doyen of European 
software. ”  He advises the Prime Minister on 
science policy through the Council on Science 
and T echnology and is a Business Ambassador .  
Dr Lynch has founded and advised a number 
of companies and is best known as the founder 
and CEO of Autonomy .  During his career , Dr 
Lynch has received many awards and accolades, 
receiving recent recognition as a Fellow of 
the Royal Society .  He is an Honorary Fellow of 
Christ’s College, Cambridge, a Fellow of the Royal 
Academy of Engineering and Deputy Lieutenant 
of the County of Suffolk.  In 2013 he joined the 
advisory board of the Newton Institute.  He is 
a Non-Executive Director of blinkx, the British 
Library and Cambridge Enterprise; a council 
member of the Royal Academy of Engineering 
and a T rustee of the Foundation for Science and 
T echnology .  He is on the advisory board of T ech 
City’s Investment Committee and of the “Create 
the Change” board at the Francis Crick Institute.  
 SUBHRANSU (“BRIAN”) MUKHERJEE, CHIEF EXECUTIVE OFFICER
On 19 July 2012, Brian was appointed to the 
Board as CEO.  Brian brings over 12 years 
of executive management and operating 
experience at public and private companies 
in the technology and media sectors to the 
CEO role.  Brian joined blinkx in 2011 through 
the acquisition of PVMG, where he was the 
President, CEO and a Director .  Prior to PVMG, 
Brian was at Miva, Inc.  (NASDAQ:MIVA), where 
he ran the Media Division globally.  Before Miva, 
Brian led the acquisition of and ran the Contract 
Management Solutions Group at Selectica 
(NASDAQ: SL TC).  During his career , Brian has 
also held executive positions in Silicon Valley-
based Internet, Mobile and Services startups, 
where he was responsible for raising capital, 
acquiring companies, building high performance 
teams and expanding partnerships to accelerate 
revenue and profitability growth.  Brian started 
his career as an Engineer and a Management 
Consultant and holds BE and MS degrees in 
Engineering.  He also holds an MBA from the 
University of Chicago.
38   |   FY2014 Annual Report MARK OPZOOMER, NON-EXECUTIVE DIRECTOR
Mark Opzoomer has extensive knowledge 
of Internet, communications and media 
markets in many different countries and 25 
years of corporate operating and dealmaking 
experience.  Mark is currently a partner in 
Bond Capital Partners, and adviser at Forward 
Internet Group Limited.  Previous non-executive 
directorships include Web Reservations 
International Limited, Newbay Software Limited, 
Autonomy plc and Miva Inc.  Previous operating 
experience includes CEO of Rambler Media 
Limited, regional Vice-President of Y ahoo! 
Europe, deputy chief executive of Hodder 
Headline plc, Commercial and Finance Director 
of Sega Europe Ltd and Commercial Director of 
Virgin Communications Ltd.  Mark qualified as 
a chartered accountant through the Canadian 
Institute of Chartered Accountants and has an 
MBA from IMD, Lausanne, Switzerland.
JUDY VEZMAR, INDEPENDENT NON-EXECUTIVE DIRECTOR
Former LexisNexis International Chief 
Executive Officer Judy Vezmar joined the 
Board of Directors in 2014 as an Independent 
Non-Executive Director .  Judy brings over 
two decades of successful international 
expansion, digital content distribution and 
marketing, business transformation, and board 
experiences to blinkx.  LexisNexis is a member 
of the global media group Reed Elsevier plc, 
a leading worldwide provider of content-
enabled workflow solutions for professionals 
in the legal, risk management, corporate, 
government, law enforcement, accounting and 
academic markets.  Under her leadership, the 
international group transformed the business 
from a traditional print-based publisher to an 
online and digital solutions leader , expanding the 
range of successful content and online services 
to over 100 countries.  Earlier , Judy held various 
senior executive roles at Xerox Corporation in 
the US and Europe.  Judy has served as a Non-
Executive Director of Rightmove plc since 2006.  
Judy holds an Executive MBA from Columbia 
University and a Bachelor of Science degree in 
Business and Marketing from Marian College and 
Butler University.
|   39 Remuneration Committee Report
Unaudited
This year the Remuneration Committee (or , for the purpose of this Section, “the Committee”) 
reviewed the disclosure of blinkx remuneration arrangements and decided to improve transparency 
for our shareholders and further align our reporting with industry best practices.  In the coming 
year , we will continue to review our disclosure, and also initiate a dialogue with shareholders over 
remuneration as part of a wider review, which is currently in its initial stages.
The report that follows sets out both our pay policy and the actual pay delivered to the Directors of blinkx.
REMUNERATION   COMMITTEE
The Remuneration Committee is responsible for making recommendations to the Board 
on remuneration policy as applied to the Company’s Executive Directors and most senior 
executives.  The Remuneration Committee currently consists of Judy Vezmar, who assumed 
the role of Committee Chair in February 2014, Anthony Bettencourt, Dr Michael Lynch and Ujjal 
Kohli.  The Chief Executive may, at the Committee’s invitation, attend meetings except where his 
own remuneration is discussed.  The Committee met twice during the past financial year.  The 
Remuneration Committee’s terms of reference are available on the Company’s website.
In March 2014 the Committee appointed independent remuneration consultants, New Bridge Street 
(“NBS”), to advise on all aspects of senior executive remuneration.  NBS has no other connection with 
the Company other than in the provision of advice on executive and employee remuneration.  In addition, 
the Company participates in the Global T echnology Survey conducted by Radford, a division of the AON 
Hewitt Company , to benchmark compensation structures across functions, levels and locations.
Pay philosophy
Historically, blinkx remuneration policy has been below market conditions.  This has included 
base pay that is below the level typically observed in companies of a comparable size and 
complexity but with an above market variable pay opportunity linked to delivering the 
Company’s strategic objectives and generating returns for our shareholders.  This pay model was 
considered appropriate for a growth focused Company that seeks to attract, retain and motivate 
entrepreneurial executives of the appropriate caliber to deliver on the Company’s strategy, but it 
has become increasingly difficult to attract and retain top talent.
Remuneration is purposefully weighted towards long-term performance to provide clear 
alignment with value creation for our shareholders.  Annual incentives are earned based on 
delivering against the Company’s strategic objectives.  The balance between fixed and variable 
pay is set in light of the Company’s risk appetite.  Over the course of the year, the Committee will 
continue to benchmark compensation structures to ensure that the Company can attract and 
retain top talent in an increasingly competitive industry.
Pay Policy for Executive Directors
Remuneration at the Company for Executive Directors is comprised of three elements: base salary, 
annual bonus, and long- term incentives with current policy being to grant market value share options 
and restricted stock units (RSUs).  This structure is transparent and well understood by participants.
40   |   FY2014 Annual Report |   41
A summary of each element of variable remuneration is set out below:
 § The annual bonus is based on meeting or exceeding Company financial and operating 
performance and the achievement of individual objectives;
 § The share options vest over a three to four year period.  Options are only of value to our 
Executive Directors if there has been an improvement in the Company’s share price.  
However, due to tax consequences of vested options, most vested stock options are subject 
to sell to cover transactions to cover tax obligations that arise when vested options are 
exercised, thereby discouraging long-term holding of the shares;
 § Restricted stock units (RSUs) that vest over a three year period and are currently awarded 
only to the Executive Directors.  RSUs are becoming an increasingly common form of 
compensation in the industry.  RSUs awards generally tend to be lower in quantum than 
Options awards, thereby reducing dilution for shareholders while encouraging longer 
term holding of the stock by employees upon vesting, thereby aligning management and 
shareholder interests.
Setting annual bonus targets based on Management By Objective (MBO) and operating 
performance is considered appropriate because it is fully aligned with the Company’s key 
performance indicators of driving profitable revenue growth.  Generally this includes achievement 
of growth targets for revenue and profitability.
With regard to granting market value share options and RSUs, these are considered to be fully 
aligned with the Company’s overall objective of creating shareholder value and the Company’s 
current planning cycles of 3 to 4 years are aligned with the vesting profile of the market value 
options granted during the year under review.  Increasingly, the industry is moving away from 
options in favor of RSUs, and blinkx is likely to follow a similar path.
Pay Policy for Non-Executive Directors
Fees for Non-Executive Directors are set with reference to time commitment, the number of 
committees chaired and relevant external market benchmarks.  Current fees for Non-Executive 
Directors are £50,000 per annum.  Other than covering travel expenses, no additional fees 
or equity compensation is provided to Non-Executive Directors for ad hoc services, such as 
Committee memberships, board meetings, etc. Disclosure of Directors’ Pay for the 2013/14 financial year
The total gain on exercise of share options by Executive Directors was $5,400,884 (2013: $13,362).  
None of the Directors had pension, retirement, or similar entitlement.  No payment or awards were 
made to former Directors during the year .
1.   No annual bonus is payable to Non-Executive Directors.  For Executive Directors, payments were 
determined based on the following performance conditions: individual Executive Director’s 
MBOs and Company operating performance.
2.   Long-term incentive awards represent awards of share options and restricted stock units which 
vested during the year.  Long-term incentive value represents the notional gain.  
Long-term incentive awards granted during the 2013/14 financial year
During the year there were no options granted to the Executive Directors.  Details of all 
outstanding unvested share options are provided in the table below:
During the year RSUs were granted to the Executive Directors.  Details of all outstanding unvested 
RSUs are provided in the table below:
Name of Director
At 31 March 
2013 
Number
Granted 
Number
Exercised 
Number
Lapsed 
Number
At 31 March 
2014 
Number
Suranga Chandratillake 4,826,057 - (2,338,878) - 2,487,179
Subhransu (“Brian”) Mukherjee 2,580,000 - (500,000) - 2,080,000
Name of Director
At 31 March 
2013 
Number
Granted 
Number
Exercised 
Number
Lapsed 
Number
At 31 March 
2014 
Number
Suranga Chandratillake - 200,000 (33,333) - 166,667
Subhransu (“Brian”) Mukherjee - 600,000 (100,000) - 500,000
Name of Director
Base Salary / 
Non-Executive Director 
fees 
$
Annual Bonus
1
 
$
Long-T erm 
Incentive
2
 
$
T otal 
$
Anthony Bettencourt 83,000 - - 83,000
Suranga Chandratillake 204,000 57,000 179,000 440,000
Dr Michael Lynch 83,000 - - 83,000
Subhransu (“Brian”) Mukherjee 379,000 404,000 584,000 1,367,000
Mark Opzoomer 83,000 - - 83,000
Ujjal Kohli 21,000 - - 21,000
Judy Vezmar 21,000 - - 21,000
T otal 874,000 461,000 763,000 2,098,000
42   |   FY2014 Annual Report |   43
Interests in Ordinary Shares Interests in  Share Options T otal
Name of Director
At 31 March 
2013 
Number
At 31 March 
2014 
Number
At 31 March 
2013 
Number
At 31 March 
2014 
Number
At 31 March 
2013 
Number
At 31 March 
2014 
Number
Anthony Bettencourt 50,000 50,000 - - 50,000 50,000
Suranga Chandratillake - 26,433 4,826,057 2,487,179 4,826,057 2,513,612
Dr Michael Lynch 21,902,712 17,902,712 - - 21,902,712 17,902,712
Ujjal Kohli - 13,000 - - - 13,000
Subhransu (“Brian”) Mukherjee - 100,000 2,580,000 2,080,000 2,580,000 2,180,000
Mark Opzoomer 175,000 175,000 - - 175,000 175,000
Judy V ezmar - 20,000 - - - 20,000
Directors’ Interests in Shares and Vested Options
The table below sets out the beneficial interests in shares and vested share options of the Directors.
Service contracts
The Committee’s policy is to offer service contracts for Executive Directors with notice periods of 
3 months.  All Non-Executive Directors’ appointments are terminable on at least 3 months’ notice 
on either side.  It is the Company’s policy to mitigate costs on termination.  The current service 
contracts and letters of appointment of the Directors include the following terms:
Date of Contract Notice Period
Executive:
Suranga Chandratillake 9 May 2007 3 months
Subhransu (“Brian”) Mukherjee 19 July 2012 3 months
Non-Executive:
Anthony Bettencourt 9 May 2007 3 months
Ujjal Kohli 20 February 2014 3 months
Dr Michael Lynch 9 May 2007 3 months
Mark Opzoomer 9 May 2007 3 months
Judy Vezmar 16 January 2014 3 months
Pay and conditions elsewhere in the Group
No element of remuneration is operated exclusively for Executive Directors and the philosophy of 
using variable remuneration to drive the Company’s performance is applied to all roles throughout 
the Group.  All employees are eligible for an annual bonus and some senior roles are eligible to 
receive share options.  When setting the quantum of remuneration for Executive Directors, the 
Committee considers the pay differential between Executive Directors and other roles.
Judy Vezmar 
Chairman,  Remuneration Committee 
blinkx plc 
6 June 2014 44   |   FY2014 Annual Report
Audit Committee Report
AUDIT COMMITTEE
Mark Opzoomer is Chair of the Audit Committee (for the purpose of this Section, “the 
Committee”).  Other members of the Committee include Anthony Bettencourt, Non-Executive 
Chairman of the Board and Ujjal Kohli, a Non-Executive Director.  We have considered the 
provisions of the Code and the Financial Reporting Council (“FRC”) Guidance on Audit 
Committees and expanded our report to provide more detail on the significant issues considered 
by the Committee in relation to the financial statements and on how these issues were addressed.  
We place considerable emphasis on ensuring that the audit is thoroughly planned and that the key 
areas of focus are identified.
AUDIT PLANNING
The Committee oversees the plans for the audit to ensure it is comprehensive, risk based and 
cost effective.  As in previous years, Deloitte drafted an initial audit plan in conjunction with 
executive management and presented it for review by the Committee.  The plan described the 
proposed scope of the work and the approach to be taken.  It also proposed the materiality 
levels to be used based on forecast profit.  T o focus the audit work on the right areas, the auditor 
identified particular risk issues based on its knowledge of the business and operating environment, 
discussions with management and the half year review.
REVIEW OF FINANCIAL STATEMENTS AND AUDIT FINDINGS
The Committee reviewed the full and half year financial statements and the report of the auditors 
on these statements.  Committee meetings to present the reports and answer questions from 
Committee members include senior Deloitte staff who have had day-to-day involvement in the 
conduct of the audit.
ASSESSMENT OF AUDITOR
The Committee assesses the qualifications, expertise, resources and independence of the external 
auditor and the objectivity and effectiveness of the audit process.  This assessment was carried out 
during the year on the basis of the Committee’s own appraisal of the performance of the auditor and the 
views of the senior management team as well as consideration of materials provided by the auditor .  The 
criteria used for this assessment remained unchanged from last year and were as follows:
 § Delivery of a thorough and efficient audit in compliance with agreed plan and timescales;
 § Provision of accurate, robust and perceptive advice on key accounting and audit judgments, 
technical issues and best practices;
 § A high level of professionalism and technical expertise consistently demonstrated by all audit 
staff;
 § Maintenance of continuity within the core audit team; and
 § Strict adherence to independence policies and other regulatory requirements. |   45
INDEPENDENCE OF AUDITOR
The Committee monitors arrangements to ensure that the partner in charge of the audit is changed 
every five years and that the relationship between the auditor and management does not affect the 
auditor’s independence.  The Committee is responsible for devising and maintaining a policy for the 
engagement of the auditor to provide non-audit services.  T o minimize any potential impairment of 
the auditor’s independence, the Company’s policy is that, except for tax compliance and acquisition 
due diligence work, the auditor will not be engaged to provide non-audit services without the 
consent of the Committee.  The Committee considers that it is cost effective to use the auditors for 
tax and due diligence work because of its expertise in these areas coupled with in-depth knowledge of 
the business.  During the year Deloitte has provided the following non-audit services:
 § Audit-related assurance services
 § T axation compliance services
 § T axation advisory services
 § Acquisition-related services
RISK MANAGEMENT REVIEW
The Committee reviewed the scope and effectiveness of systems to identify and address 
financial and non-financial risks.  The review identified the key risks, risk control measures and the 
implementation status of the risk control measures.  The report was presented to the Committee 
by the Chief Financial Officer.
MEETINGS
The Committee meets at least three times during the fiscal year.  The Committee may meet 
at other times during the year as agreed between the members of the Committee.  Directors 
may be invited to attend all or part of any meeting as and when appropriate.  The Company’s 
external auditors are often invited to attend certain Committee meetings and also meet with 
the Committee, without the presence of any Executive Directors or management present.  The 
Company Secretary is the secretary of the Committee.
AUDITOR TENURE
Deloitte has been the Company’s auditor since 2007.  The original audit partner was rotated out 
of the blinkx account in 2012, after a five-year term.  The Committee considers that the auditor’s 
knowledge of the Group’s business and systems gained through experience has significantly 
contributed to the rigor and effectiveness of the audit process.  However, taking into account the 
recommendations of the Financial Reporting Council and the proposed revisions to European 
Directives on Auditors and having consulted with major shareholders, the Board, on the 
recommendation of the Audit Committee, has determined that it will conduct a tender in respect 
of the role of Group auditor for the year ending  31 March 2016.  Deloitte will be invited to enter the 
tender process.
TERMS OF REFERENCE
The Committee keeps its terms of reference under review and makes recommendations for 
changes to the Board.  This year the terms of reference have been amended to reflect the 
recommendations of the Code and the FRC’s Guidance on Audit Committees.  The full terms of 
references are available on the Company’s website at www.blinkx.com. Nomination Committee Report
Dr Michael Lynch is Chair of the Nomination Committee (or, for the purpose of this section, “the 
Committee”).  Other members include Anthony Bettencourt, Non-Executive Chairman of the 
Board and Suranga Chandratillake, an Executive Director.  The objective of the Committee is to 
review the composition of the Board and to plan for its progressive refreshing, with regard to 
balance and structure.  In particular, the Nomination Committee is responsible for:
 § Reviewing the structure of the Board;
 § Evaluating the balance of skills, knowledge, experience and diversity of the Board;
 § Advising the Board on any areas where further recruitment may be appropriate; and
 § Succession planning for key executives at Board level and below.
Where necessary and appropriate, recruitment consultants are used to assist the Committee 
in delivering its objectives and responsibilities.  The Committee leads the process for the 
identification and selection of new Directors and makes recommendations to the Board in 
respect of such appointments.  The Committee also makes recommendations to the Board on 
membership of its committees.  The Committee terms of reference, which can be found on the 
Company’s website www.blinkx.com, are reviewed on an annual basis and updated as required.
During the year, the Nomination Committee recommended and appointed an Independent Non-
Executive Director, a Non-Executive Director, and a number of senior executives, and reviewed 
the succession planning for key executives.  The Nomination Committee continues to search for 
additional Non-Executive Directors to join the Board.  blinkx and the Committee value the aims 
and objectives of The Davies Report regarding diversity on Boards.  Whilst no formal, measurable 
objectives have been set for such representation on the Board, the Committee continues to 
explore and recommend appointments of a diverse set of highly qualified candidates to the Board.
46   |   FY2014 Annual Report |   47
Directors’ Report
The Directors present their annual report on the affairs of the Group, together with the financial 
statements and auditor’s report for the year ended 31 March 2014.  The Corporate Governance 
statement set out on page 35 forms part of this report.
FUTURE DEVELOPMENTS
The Group’s stated objective is to establish the Group and its technology as the leader in the search, 
discovery, monetization and distribution of digital video.  T o achieve this goal the Group intends to 
continue to develop the technology and release new products in these areas and increase market 
penetration by signing new customers and expanding its relationship with existing customers.  The 
Directors’ Report should be read in conjunction with the Strategic Report, as set out on pages 6 
through 33, which gives details of the Group’s performance during the year and expected future 
developments.
DIVIDENDS
The Directors do not recommend the payment of a dividend (2013: $nil).  The Group’s current 
policy, which is kept under regular review, is to retain future earnings for the development and 
expansion of the business.
FINANCIAL INSTRUMENTS
In relation to the use of financial instruments, the Directors’ objectives are to minimize risk whilst 
achieving maximum return on liquid assets.  The Directors are averse to principal loss and manage 
the safety and preservation of the Group’s invested funds by limiting default and market risks by 
investing with highly rated financial institutions.  The Group’s investment portfolio is comprised 
entirely of cash and cash equivalents.  The Group does not use derivative financial instruments.  
Foreign currency risks are managed through natural hedges with currency bank accounts.  
The Group has not faced any material exposure to price risk, liquidity risk, or cash flow risk that 
would affect the ultimate objectives of the business.  See note 24.
Further information about the Group’s assets and liabilities is provided in the notes to the financial 
statements.
CAPITAL STRUCTURE
Details of the issued share capital, together with details of the movements in the Company’s issued 
share capital during the year, including the issue of 37,500,770 shares, are shown in note 19.  The 
Company has one class of ordinary shares, which carry no right to fixed income.  Each share carries 
the right to one vote at general meetings of the Company.
There are no specific restrictions on the size of a holding nor on the transfer of shares, which are 
both governed by the general provisions of the Articles of Association and prevailing legislation.  
The Directors are not aware of any agreements between holders of the Company’s shares that 
may result in restrictions on the transfer of securities or on voting rights.
Details of employee share schemes are set out in note 23. There are shares reserved to be issued relating to former Burst shareholders, as part of the 
consideration, who have not yet submitted the paperwork to effect the exchange of Burst shares 
for blinkx shares and to Rhythm NewMedia shareholders as part of consideration.  No person has 
any special rights of control over the Company’s share capital and all issued shares are fully paid.   
 
With regard to the appointment and replacement of Directors, the Company is governed by its 
Articles of Association, the Companies Acts and related legislation.  The Articles of Association 
themselves may be amended by special resolution of the shareholders.
DIRECTORS
Directors who served throughout the year to 31 March 2014 and to the date of this report were: 
Anthony Bettencourt; Dr Michael Lynch; Mark Opzoomer; Suranga Chandratillake; and Subhransu 
(“Brian”) Mukherjee.  In addition Judy Vezmar was appointed as a Director to the Company on  
16 January 2014 and Ujjal Kohli was appointed as a Director to the Company on 21 February 2014.
RE-ELECTION OF DIRECTORS
The Articles of Association require at least one third of the Directors to be subject to re-election at 
each Annual General Meeting.  In accordance with the Articles of Association, Mark Opzoomer will 
stand for re-election and Judy Vezmar and Ujjal Kohli will stand for appointment at the 2014 Annual 
General Meeting.
APPOINTMENT OF DIRECTOR
The Articles of Association require that any Director appointed by the Board shall, unless appointed 
at such meeting, hold office only until the dissolution of the Annual General Meeting of the 
Company next following such appointment.
DIRECTORS’ RESPONSIBILITIES STATEMENT
A statement of Directors’ responsibilities is set out on page 50.
DIRECTORS’ INDEMNITIES
The Group has made qualifying third party indemnity provisions for the benefit of its Directors 
which remain in force at the date of this report.
EQUAL OPPORTUNITIES
Our employment policies, including a commitment to equal opportunity, are designed to attract 
and retain high-caliber individuals, regardless of age, sex, religion, disability, marital status, race, 
ethnicity, nationality or sexual orientation.
We take measures to ensure good working conditions.  Employees are expected at all times to act 
honestly, respectfully, and in accordance with our Company ethos.  The Company does not tolerate 
misconduct or harassment in any form and will diligently investigate and, where necessary, take 
action against any complaints therein, including those of confidential “whistle-blowers.”
We value employees’ opinions and seek to actively consult them in the decision making process 
and keep them apprised of company news.  It is our policy to provide equally to all staff training 
and career development for growth within the Company, and to explore objectively, through 
performance appraisal, opportunities for employee advancement.
48   |   FY2014 Annual Report SUBSTANTIAL SHAREHOLDINGS
On 31 March 2014, the Company had been notified of the following voting rights as a shareholder of 
the Company.
Number shares %
BlackRock inc 35,958,705 8.99%
Oppenheimerfunds 29,423,875 7.36%
During the period between 31 March 2014 and 30 May 2014, the Company received notification of 
the following voting rights as a shareholder of the Company.  
Number shares %
BlackRock inc 32,950,026 8.23%
Oppenheimerfunds 32,825,078 8.20%
GOING CONCERN
The Directors have considered the financial resources of the Group and the risks associated with 
doing business in the current economic climate and believe the Group is well placed to manage 
these risks successfully.  In doing this the Board has reviewed management’s business plan and 
cash flow forecast setting out key business assumptions, including the rate of revenue growth, 
margins and cost control.  The Directors consider the assumptions therein to be reasonable 
and that the Group has adequate resources to continue in operational existence for the 
foreseeable future, being a period of no less than 12 months from the date of signing this annual 
report.  Accordingly, they continue to adopt the going concern basis in preparing these financial 
statements.
AUDITOR
Each of the persons who is a Director at the date of approval of this annual report confirms that:
 § So far as the Director is aware, there is no relevant audit information of which the 
Company’s auditor is unaware; and
 § The Director has taken all the steps that he ought to have taken as a Director in order to 
make himself aware of any relevant audit information and to establish that the Company’s 
auditor is aware of that information.
This confirmation is given and should be interpreted in accordance with the provisions of section 
418 of the Companies Act 2006.   
 
A resolution to reappoint Deloitte LLP as the Company’s auditor will be proposed at the 2014 
Annual General Meeting.
Signed on behalf of the Board by:
 
 
 
 
Subhransu (“Brian”) Mukherjee 
Chief Executive Officer 
blinkx plc 
6 June 2014 
 
Registered office: 2nd Floor, Ibex House, 42-47 Minories, London, EC3N 1DX, United Kingdom Registered 
number: 06223359
|   49 50   |   FY2014 Annual Report
Directors’ Responsibilities Statement
The Directors are responsible for preparing the Annual Report and the financial statements in 
accordance with applicable law and regulations.
Company law requires the Directors to prepare financial statements for each financial year.  Under 
that law the Directors are required to prepare the group financial statements in accordance with 
International Financial Reporting Standards (IFRSs) as adopted by the European Union and Article 
4 of the IAS Regulation and have also chosen to prepare the parent company financial statements 
under IFRSs as adopted by the EU.  Under Company law the Directors must not approve the 
accounts unless they are satisfied that they give a true and fair view of the state of affairs of the 
Company and of the profit or loss of the Company for that period.  In preparing these financial 
statements, International Accounting Standard 1 requires that directors:
 § Properly select and apply accounting policies;
 § Present information, including accounting policies, in a manner that provides relevant, reliable, 
comparable and understandable information;
 § Provide additional disclosures when compliance with the specific requirements in IFRSs are 
insufficient to enable users to understand the impact of particular transactions, other events 
and conditions on the entity’s financial position and financial performance; and
 § Make an assessment of the Company’s ability to continue as a going concern.
The Directors are responsible for keeping adequate accounting records that are sufficient to 
show and explain the Company’s transactions and disclose with reasonable accuracy at any time 
the financial position of the Company and enable them to ensure that the financial statements 
comply with the Companies Act 2006.  They are also responsible for safeguarding the assets of 
the Company and hence for taking reasonable steps for the prevention and detection of fraud and 
other irregularities.
The Directors are responsible for the maintenance and integrity of the corporate and financial 
information included on the Company’s website.  Legislation in the United Kingdom governing 
the preparation and dissemination of financial statements may differ from legislation in other 
jurisdictions. RESPONSIBILITY STATEMENT
We confirm that to the best of our knowledge:
 § The financial statements, prepared in accordance with International Financial Reporting 
Standards, give a true and fair view of the assets, liabilities, financial position and profit or loss 
of the Company and the undertakings included in the consolidation taken as a whole;
 § The strategic report includes a fair review of the development and performance of the 
business and the position of the Company and the undertakings included in the consolidation 
taken as a whole, together with a description of the principal risks and uncertainties that they 
face; and
 § The annual report and financial statements, taken as a whole, are fair , balanced and 
understandable and provide the information necessary for shareholders to assess the 
Company’s performance, business model and strategy.
By order of the Board: 
Subhransu (“Brian”) Mukherjee 
Chief Executive Officer 
blinkx plc 
6 June 2014
|   51 Financial Statements
52   |   FY2014 Annual Report Independent Auditor’s Report to 
the Members of blinkx plc
We have audited the financial statements of blinkx plc for the year ended 31 March 2014, which 
comprises the Consolidated Income Statement, the Consolidated Statement of Comprehensive 
Income, the Consolidated and Parent Company Balance Sheets, the Consolidated and Parent 
Company Statements of Changes in Equity, the Consolidated and Parent Company Cash Flow 
Statements and the related notes 1 to 40.  The financial reporting framework that has been applied 
in their preparation is applicable law and International Financial Reporting Standards (IFRSs) as 
adopted by the European Union and, as regards the parent company financial statements, as applied 
in accordance with the provisions of the Companies Act 2006.
This report is made solely to the Company’s members, as a body, in accordance with Chapter 3 of 
Part 16 of the Companies Act 2006.  Our audit work has been undertaken so that we might state 
to the Company’s members those matters we are required to state to them in an auditor’s report 
and for no other purpose.  T o the fullest extent permitted by law, we do not accept or assume 
responsibility to anyone other than the Company and the Company’s members as a body, for our 
audit work, for this report, or for the opinions we have formed.
RESPECTIVE RESPONSIBILITIES OF DIRECTORS AND AUDITOR
As explained more fully in the Directors’ Responsibilities Statement, the Directors are responsible 
for the preparation of the financial statements and for being satisfied that they give a true and 
fair view.  Our responsibility is to audit and express an opinion on the financial statements in 
accordance with applicable law and International Standards on Auditing (UK and Ireland).  Those 
standards require us to comply with the Auditing Practices Board’s Ethical Standards for Auditors.
SCOPE OF THE AUDIT OF THE FINANCIAL STATEMENTS
An audit involves obtaining evidence about the amounts and disclosures in the financial 
statements sufficient to give reasonable assurance that the financial statements are free from 
material misstatement, whether caused by fraud or error.  This includes an assessment of: whether 
the accounting policies are appropriate to the Group’s and the parent company’s circumstances 
and have been consistently applied and adequately disclosed; the reasonableness of significant 
accounting estimates made by the Directors; and the overall presentation of the financial 
statements.  In addition, we read all the financial and non-financial information in the annual 
report to identify material inconsistencies with the audited financial statements and to identify 
any information that is apparently materially incorrect based on, or materially inconsistent with, 
the knowledge acquired by us in the course of performing the audit.  If we become aware of any 
apparent material misstatements or inconsistencies we consider the implications for our report.
|   53 OPINION ON FINANCIAL STATEMENTS
In our opinion:
 § The financial statements give a true and fair view of the state of the Group’s and of the 
parent company’s affairs as at 31 March 2014 and of the Group’s profit for the year then 
ended;
 § The Group financial statements have been properly prepared in accordance with IFRSs as 
adopted by the European Union;
 § The parent company financial statements have been properly prepared in accordance with 
IFRSs as adopted by the European Union and as applied in accordance with the provisions of 
the Companies Act 2006; and
 § The financial statements have been prepared in accordance with the requirements of the 
Companies Act 2006.
OPINION ON OTHER MATTER PRESCRIBED BY THE COMPANIES ACT 2006
In our opinion the information given in the Strategic Report and the Directors’ Report for the financial 
year for which the financial statements are prepared is consistent with the financial statements.
MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION
We have nothing to report in respect of the following matters where the Companies Act 2006 
requires us to report to you if, in our opinion:
 § Adequate accounting records have not been kept by the parent company, or returns 
adequate for our audit have not been received from branches not visited by us; or
 § The parent company financial statements are not in agreement with the accounting records 
and returns; or
 § Certain disclosures of Directors’ remuneration specified by law are not made; or
 § We have not received all the information and explanations we require for our audit.
Stuart Henderson (Senior statutory auditor)  
for and on behalf of Deloitte LLP  
Chartered Accountants and Statutory Auditor  
Cambridge, UK 
6 June 2014
54   |   FY2014 Annual Report CONSOLIDATED INCOME STATEMENT FOR THE YEAR ENDED 31 MARCH 2014 
Year ended 31 
March 2014
Year ended 31 
March 2013
Note $’000 $’000
Revenue: continuing operations 5 247,214 197,957
Cost of revenue (120,781) (97,006)
Research and development (24,690) (15,050)
Sales and marketing (57,733) (51,112)
Administrative expenses (12,140) (10,208)
(215,344) (173,376)
Amortization of  purchased  intangibles
Research and development (2,191) (1,629)
Sales and marketing (4,487) (3,749)
(6,678) (5,378)
Acquisition and exceptional costs 27 (8,066) (3,276)
Profit from operations 17,126 15,927
Profit  from operations before acquisition and exceptional costs and 
amortization of purchased intangibles* 31,870 24,581
Other income 344 757
Net investment revenue 139 38
Profit before taxation 17,609 16,722
Tax 10 (5,439) 634
Profit for the year attributable to equity holders of the parent 12,170 17,356
Profit for the year attributable to equity holders of the parent before 
acquisition and exceptional costs, amortization of purchased intangibles 
and other income** 26,570 25,253
Note Cents Cents
Earnings per share
Adjusted basic* 11 7.05 6.98
Basic 11 3.23 4.80
Adjusted diluted* 11 6.94 6.84
Diluted 11 3.18 4.70
*Adjusted for acquisition and exceptional charges of $8.1m (2013:$3.3m) and amortization of purchased intangibles of $6.7m (2013: $5.4m) 
** Adjusted for acquisition and exceptional charges of $8.1m (2013:$3.3m), amortization of purchased intangibles of $6.7m (2013: $5.4m) and other income of $0.3m (2013: 0.8m) 
|   55 CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 
31 MARCH 2014 
Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Profit for the year 12,170 17,356
Items that may be reclassified to profit and loss:  
Exchange difference on translation of foreign operations 824 (1,456)
T otal comprehensive income for the year, net of related tax effects 12,994 15,900
56   |   FY2014 Annual Report CONSOLIDATED BALANCE SHEET AT 31 MARCH 2014
 
As at 
 March 2014
As at 
 March 2013
Note $’000 $’000
ASSETS
Non-current assets
Goodwill 12 73,658 49,080
Intangible assets 13 41,732 24,678
Property, plant and equipment 14 2,621 2,103
Other receivables 16 161 100
Deferred tax asset 17 17,840 10,983
136,012 86,944
Current assets
T rade receivables 16 36,924 29,902
Other receivables 16 2,837 5,657
Cash and cash equivalents 16 126,909 55,861
166,670 91,420
T otal assets 302,682 178,364
LIABILITIES
Current liabilities
T rade and other payables 18 (40,194) (32,822)
Non-current liabilities
Other payables 18 (597) (551)
T otal liabilities (40,791) (33,373)
Net assets 261,891 144,991
Shareholders' equity
Share capital 19 7,461 6,850
Share premium account 20 167,945 101,975
Shares to be issued 21 3,579 750
Share-based-payment reserve 17,322 13,975
Currency translation reserve (8,469) (9,293)
Merger reserve 61,681 33,089
Retained earnings (deficit) 12,372 (2,355)
T otal equity 261,891 144,991
The financial statements of blinkx plc (registered number 06223359) were approved by the Board of Directors and 
authorized for issue on 6 June 2014.  They were signed on its behalf by:
Subhransu (“Brian”) Mukherjee 
Chief Executive Officer 
blinkx plc 
6 June 2014
|   57 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 31 MARCH 2014 
Ordinary 
share 
capital
Share 
premium 
account
Shares to 
be issued
Share- 
based 
payment 
reserve
Currency 
translation 
reserve
Merger 
reserve
Retained 
loss T otal
Note $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000
Balance as at 1 April 2012 6,837 101,552 754 11,938 (7,837) 33,089 (21,715) 124,618
Net profit for the year - - - - - - 17,356 17,356
Other comprehensive 
income - - - - (1,456) - - (1,456)
T otal comprehensive 
income for the year - - - - (1,456) - 17,356 15,900
Issue of shares, net of costs 13 423 (4) - - - - 432
Credit to equity for  
share- based payments 23 - - - 2,037 - - - 2,037
T ax movement on share 
options - - - - - - 2,004 2,004
Balance as at 31 March 
2013 6,850 101,975 750 13,975 (9,293) 33,089 (2,355) 144,991
Net profit for the year - - - - - - 12,170 12,170
Other comprehensive 
income - - - - 824 - - 824
T otal comprehensive 
income for the year - - - - 824 - 12,170 12,994
Issue of shares, net of costs 605 65,970 2,829 - - 28,592 - 97,996
Credit to equity for  
share-based payments 23 6 - - 3,347 - - - 3,353
T ax movement on share 
options - - - - - - 2,557 2,557
Balance as at 31 March 
2014 7,461 167,945 3,579 17,322 (8,469) 61,681 12,372 261,891
58   |   FY2014 Annual Report CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31MARCH 2014
 
Year ended 31 
March 2014
Year ended 31 
March 2013
Note $’000 $’000
CASH FLOWS FROM OPERATING ACTIVITIES
Profit from operations 17,126 15,927
Adjustments for:
Depreciation and amortization 6 11,097 8,961
Share-based payments 23 3,353 2,037
Non-cash acquisition and exceptional costs 991 2,676
Foreign exchange gain (104) (192)
Operating cash flows before movements in working capital 32,463 29,409
Changes in operating assets and liabilities:
Decrease (increase) in trade and other receivables 2,859 (9,534)
Increase in trade and other payables 5,959 6,944
Net cash generated by operations 41,281 26,819
Income taxes paid (2,091) (4,833)
Net cash generated by operating activities 39,190 21,986
CASH FLOWS FROM INVESTING ACTIVITIES
Interest received 139 38
Purchase of property, plant and equipment (1,257) (1,037)
Capitalization of internal development charges (3,063) (2,952)
Purchase of net assets 25 (6,005) -
Acquisitions, net of cash acquired 26 (24,901) 250
Net cash used in investment activities (35,087) (3,701)
CASHFLOWS FROM FINANCING ACTIVITIES
Net payments on finance lease (82) (171)
Proceeds from issuance of shares 66,429 432
Net cash generated in financing activities 66,347 261
Net increase in cash and cash equivalents 70,450 18,546
Beginning cash and cash equivalents 55,861 38,406
Effect of foreign exchange on cash and cash equivalents 598 (1,091)
Ending cash and cash equivalents 16 126,909 55,861
 
|   59 Notes to the Consolidated Financial 
Statements Y ear Ended 31 March 2014 
1.  GENERAL INFORMATION 
blinkx plc is a Company incorporated in England and Wales under the Companies Act 2006.  The address of the registered 
office is 2nd Floor, Ibex House, 42-47 Minories, London, EC3N 1DX, United Kingdom.  The nature of the Group’s operations 
and its principal activities are set out in the Strategic Report.
The Company’s functional currency is Sterling, that is the currency of the primary economic environment in which the 
Company operates.  The presentational currency of the Group is US dollars as that is the currency of the primary economic 
environment in which the Group operates.  Foreign operations are included in accordance with policies set out in note 3.
2.  ADOPTION OF NEW AND REVISED STANDARDS 
In the current year, the following new and revised Standards and Interpretations have been adopted: Amendments to IAS 1 
Presentation of financial statements (amended June 2011)
IFRS 7 (amended Disclosures – Offsetting Financial Assets and Financial Liabilities) 
Adoption of these standards did not have any significant impact on the financial position or performance of the Group, or 
result in changes in accounting policy or additional disclosure.  At the date of authorization of these financial statements, the 
following Standards and Interpretations which have not been applied in these financial statements were in issue but not yet 
effective (and in some cases had not yet been adopted by the EU):
IFRS 1 (amended) Government Loans
IFRS 9 Financial Instruments
IFRS 10 Consolidated Financial Statements
IFRS 10, IFRS 12 and IAS 27 (amended) Investment Entities
IFRS 11 Joint Arrangements
IFRS 12 Disclosure of Interests in Other Entities
IFRS 14 Regulatory Deferral Accounts
IAS 27 (revised) Separate Financial Statements
IAS 28 (revised) Investments in Associates and Joint Ventures
IAS 32 (amended) Offsetting Financial Assets and Financial Liabilities
IFRIC 20 Stripping Costs in the Production Phase of a Surface Mine
Annual improvements to IFRSs
The Directors do not expect that the adoption of the other standards listed above will have a material impact on the financial 
statements of the Group in future periods.
3.  SIGNIFICANT ACCOUNTING POLICIES
BASIS OF ACCOUNTING
The financial statements have been prepared in accordance with International Financial Reporting Standards (IFRSs).  The 
financial statements have also been prepared in accordance with IFRSs adopted by the European Union (EU) and therefore 
the Group financial statements comply with Article 4 of the EU IAS Regulation.
60   |   FY2014 Annual Report The financial statements have been prepared on the historical cost basis.  The principal accounting policies adopted are set 
out below.
GOING CONCERN
The Directors have, at the time of approving the financial statements, a reasonable expectation that the Company and the 
Group have adequate resources to continue in operational existence for the foreseeable future.  They continue to adopt the 
going concern basis of accounting in preparing the financial statements.  Further detail is contained in the Directors’ Report 
on page 47.
BASIS OF CONSOLIDATION
The consolidated financial statements incorporate the financial statements of the Company and entities controlled by the 
Company (its subsidiaries) prepared up to 31 March each year.  Control is achieved where the Company has the power to 
govern the financial and operating policies of an investee entity so as to obtain benefits from its activities.
The results of subsidiaries acquired or disposed of during the year are included in the consolidated income statement from 
the effective date of acquisition or up to the effective date of disposal, as appropriate.  Where necessary, adjustments are 
made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by the Group.
All intra-Group transactions, balances, income and expenses are eliminated on consolidation.
GOODWILL
Goodwill arising on consolidation represents the excess of the cost of acquisition over the Group’s interest in the fair value 
of the identifiable assets and liabilities of a subsidiary, associate or jointly controlled entity at the date of acquisition.
Goodwill is initially recognized as an asset at cost and is subsequently measured at costs less any accumulated impairment 
losses.  Goodwill which is recognized as an asset is reviewed for impairment at least annually.  Any impairment is recognized 
immediately in profit or loss and is not subsequently reversed.
Goodwill is tested for impairment annually, or more frequently when there is an indication that the unit may be impaired.  If 
the recoverable amount is less than the carrying amount, the impairment loss is allocated to reduce the carrying amount of 
goodwill.  An impairment loss recognized for goodwill is not reversed in a subsequent period.
REVENUE RECOGNITION
The Group earns its revenue from providing online advertising services.
The Group’s business is based on the principle of facilitating free access to technology and content via an advertising- 
supported distribution model and its revenues are derived from advertising on the Internet.  The Group applies its technology 
across a set of standard and inter-related products to connect its audience with contextually relevant advertising in a variety of 
formats.  Advertisers select from these formats which are priced on different pricing schemes that include both impression-
based, Cost per Mille (CPM), and performance-based, Cost per Click (CPC) and Cost per Action (CPA) options.
Contracts containing multiple deliverables are split into their constituent parts and each deliverable’s fair value is separately 
determined and recognized accordingly.
The policies for each of the Group’s key revenue streams in relation to services is set out below:
Advertising  revenue
When sales values are based on the volume of impressions (cost per mille), revenue is based on an agreed amount per 
impression and the number of impressions displayed.  This revenue is recognized as the volumes are reported either by the 
Group’s customers, the Group’s internal reporting system or an authoritative third party, based on the contractual terms.  
When sales values are based on volume of clicks (pay per click), revenue is based upon an agreed amount per click that the 
end user makes after viewing the advertisement and the number of clicks made by the users.  The revenue is recognized as 
volumes of clicks are reported by the Group’s customers or an authoritative third party based on the contractual terms.
|   61 Share of advertising revenues
Where customers use the blinkx technology to retrieve their own content, contractual arrangements may provide for the 
Group to receive a share of the customer’s advertising revenues.  The amount of revenue is dependent upon the amount 
paid per clip or per advert shown.  This revenue is recognized as reported by the Group’s customers.
Media buying revenues
Revenue from media buying services may consist of various arrangements involving commissions, fees, incentive-based 
revenue or a combination of the three, as agreed upon with each client.  Revenue arising is recognized rateably over the term 
of an agreement.
E-commerce revenues
The Group generates revenues from e-commerce partners when an e-commerce transaction is referred to the partner 
from another vendor.  Revenues are recognized upon completion of the transaction.
Upfront license payment and related revenues
In certain cases customers will enter into a license agreement to license the right to use the blinkx technology.  The revenue 
is in the form of an up-front non-refundable payment with all future advertising revenues accruing directly to the customer.
Revenues from software license agreements are recognized where there is persuasive evidence of an agreement with a 
customer (a signed contract and/or binding purchase order), delivery of the software has taken place, the price is agreed 
and collectability is probable.
Revenue from subscription-based services is recognized rateably over the contract term beginning on the commencement 
date of each contract.
Investment  revenue
Investment revenues include bank interest and income from short term deposits.
CLASSIFICATION OF EXPENSES
Cost of revenues
Cost of revenues consists primarily of traffic acquisition costs (“TAC”) that are directly attributable to revenue generated by 
blinkx.  These amounts are primarily based on the revenue share arrangements with our audience and content partners.
Research and development
Research and development expenses consist primarily of compensation and related costs for personnel responsible for the 
research and development of new and existing products and services, in addition to co-locations and facilities charges.
Where required, development expenditures are capitalized in accordance with the Group’s standard internal capitalized 
development policy.  All research costs are expensed when incurred.
Sales and marketing
Sales and marketing expenses consist primarily of compensation and related costs for personnel engaged in customer 
service, sales, and sales support functions, as well as advertising and promotional expenditures that are not directly 
attributable to revenue, in addition to facilities charges.
General and administrative
General and administrative expenses consist primarily of compensation and related costs for personnel and facilities, and 
include costs related to our facilities, finance, human resources, information technology, and legal organizations, and fees 
for professional services.  Professional services are principally comprised of outside legal, audit, information technology 
consulting, and outsourcing services.
62   |   FY2014 Annual Report ACQUISITION AND EXCEPTIONAL
In line with the way the Board and chief operating decision maker review the business, large one-off acquisition and 
exceptional costs are separately identified and adjusted as shown in the financial statements.  The types of costs included 
within acquisition costs are those which are directly attributable to an acquisition, for example legal and accounting 
expenses, integration costs, severance and retention remuneration.  An example of the type of cost considered exceptional 
is restructuring costs.
LEASING
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of 
ownership to the lessee.  All other leases are classified as operating leases.
Assets held under finance leases are recognized as assets of the Group at their fair value or, if lower, at the present value of 
the minimum lease payments, each determined at the inception of the lease.  The corresponding liability to the lessor is 
included in the balance sheet as a finance lease obligation.
Lease payments are apportioned between finance expenses and reduction of the lease obligation so as to achieve a constant 
rate of interest on the remaining balance of the liability.  Finance expenses are recognized immediately in profit or loss, 
unless they are directly attributable to qualifying assets, in which case they are capitalized in accordance with the Group’s 
general policy on borrowing costs.
Rentals payable under operating leases are charged to income on a straight-line basis over the term of the relevant lease 
except where another more systematic basis is more representative of the time pattern in which economic benefits from 
the lease asset are consumed.  Contingent rentals arising under operating leases are recognized as an expense in the period 
in which they are incurred.
In the event that lease incentives are received to enter into operating leases, such incentives are recognized as a liability.  The 
aggregate benefit of incentives is recognized as a reduction of rental expense on a straight-line basis, except where another 
systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.
FOREIGN   CURRENCIES
T ransactions in currencies other than the functional currency of the entity concerned are recorded at the rates of exchange 
prevailing on the dates of the transactions.  At each balance sheet date, monetary assets and liabilities that are denominated  
in foreign currencies are retranslated into the presentational currency, US dollars, at the rates prevailing on the balance 
sheet date.  The Group has selected US dollars as its presentational currency as that is the currency of the principal 
economic environment in which the Group operates.
Non-monetary assets and liabilities carried at fair value that are denominated in foreign currencies are translated at the 
rates prevailing at the date when the fair value was determined.  Gains and losses arising on retranslation are included in 
net profit or loss for the period, except for exchange differences arising on non-monetary assets and liabilities where the 
changes in fair value are recognized directly in equity.
Exchange differences are recognized in profit or loss in the period in which they arise except for exchange differences 
on monetary items receivable from or payable to a foreign operation for which settlement is neither planned nor likely 
to occur (therefore forming part of the net investment in the foreign operation), which are recognized initially in other 
comprehensive income and reclassified from equity to profit or loss on disposal or partial disposal of the net investment.
On consolidation, the assets and liabilities of the Group’s foreign denominated operations are translated at exchange rates 
prevailing on the balance sheet date.  Income and expense items are translated at the average exchange rates for the period 
unless exchange rates fluctuate significantly.  Exchange differences arising, if any, are classified as equity and transferred to 
the Group’s translation reserve.  Such translation differences are recognized as income or as expenses in the period in which 
the operation is disposed of.
|   63 TAXATION
The tax expense represents the sum of the tax currently payable and deferred tax.
The tax currently payable or receivable is based on taxable loss/profit for the year.  T axable loss/profit differs from net loss/ 
profit as reported in the income statement because it will exclude items of income or expense that are taxable or deductible 
in other years and it further excludes items that are never taxable or deductible.  The Group’s liability for current tax is 
calculated using tax rates that have been enacted or substantively enacted by the balance sheet date.
Deferred tax is the tax expected to be payable or recoverable on differences between the carrying amounts of assets and 
liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit, and is 
accounted for using the balance sheet liability method.
Deferred tax liabilities are recognized for all taxable temporary differences and deferred tax assets are recognized to 
the extent that it is probable that taxable profits are available against which deductible temporary differences can be 
utilized.  Such assets and liabilities will not be recognized if the temporary difference arises from goodwill or from the initial 
recognition (other than in a business combination) of other assets and liabilities in a transaction that affects neither the tax 
profit nor the accounting profit.
Deferred tax liabilities are recognized for taxable temporary differences arising on investments in subsidiaries and 
associates, and interests in joint ventures, except where the Group is able to control the reversal of the temporary difference 
and it is probable that the temporary difference will not reverse in the foreseeable future.
The carrying amount of deferred tax assets are reviewed at each balance sheet date and reduced to the extent that it is no 
longer probable that sufficient taxable profits are available to allow all or part of the asset to be recovered.
Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is 
realized.  Deferred tax is charged or credited in the income statement, except when it relates to items charged or credited 
directly to equity, in which case the deferred tax will also be dealt with in equity.
Deferred tax assets and liabilities are offset when there is a legally enforceable right to set off current tax assets against 
current tax liabilities and when they relate to income taxes levied by the same tax authority and the Group intends to settle 
its current tax assets and liabilities on a net basis.
PROPERTY , PLANT AND EQUIPMENT
Leasehold improvements, fixtures, fittings and computer equipment are stated at cost less accumulated depreciation and 
any recognized impairment loss.
Depreciation is charged so as to write off the cost of assets, over their estimated useful lives, using the straight-line method, 
on the following bases:
Fixtures, fittings, office and computer equipment Over 3–5 years
Leasehold  improvements Over shorter of economic life or lease term
The gain or loss arising on the disposal or retirement of an asset is determined as the difference between the sales proceeds 
and the carrying amount of the asset and is recognized in income.
INTERNALLY-GENERATED INTANGIBLE ASSETS—RESEARCH AND DEVELOPMENT EXPENDITURE
Expenditure on research activities is recognized as an expense in the period in which it is incurred.
An internally-generated intangible asset arising from the Group’s product development is recognized only if all of the 
following conditions are met:
 § An asset is created that can be identified (such as software or new processes);
 § It is probable that the asset created will generate future economic benefits;
64   |   FY2014 Annual Report  § The development cost of the asset can be measured reliably; and
 § The product from which the asset arises meets the Group’s criteria for technical feasibility.
Internally-generated intangible assets are amortized on a straight-line basis over their useful lives, which is considered to be 
3 years starting when the associated technology is available for use.  Where no internally-generated intangible asset can be 
recognized, development expenditure is recognized as an expense in the period in which it is incurred.
OTHER INTANGIBLE ASSETS EXCLUDING GOODWILL
Other intangible assets excluding goodwill are measured initially at purchase cost and are amortized on a straight-line basis 
over their estimated useful lives, on the following bases:
T radenames, patents and trademarks 3 - 10 years
Software licences 3 years
Purchased  technology 3 - 5 years
Relationships with publishers and customers 3 - 12 years
IMPAIRMENT OF ASSETS EXCLUDING GOODWILL
At each balance sheet date, the Group will review the carrying amounts of its tangible and intangible assets to determine 
whether there is any indication that those assets have suffered an impairment loss.  If any such indication exists, the 
recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).  Where the 
asset does not generate cash flows that are independent from other assets, the Group estimates the recoverable amount of 
the cash-generating unit to which the asset belongs.
Recoverable amount is the higher of fair value less costs to sell and value in use.  In assessing value in use, the estimated future 
cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the 
time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying 
amount of the asset (cash-generating unit) is reduced to its recoverable amount.
An impairment loss is recognized as an expense immediately, unless the relevant asset is carried at a revalued amount, in 
which case the impairment loss is treated as a revaluation decrease.
Where an impairment loss subsequently reverses, the carrying amount of the asset (cash-generating unit) is increased to 
the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying 
amount that would have been determined had no impairment loss been recognized for the asset (cash-generating unit) in 
prior   years.  A reversal of an impairment loss is recognized as income immediately, unless the relevant asset is carried at a 
revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
PROVISIONS
Provisions are recognized when the Group has a present obligation as a result of a past event, it is probable that the Group 
will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.  Provisions 
are measured at the Directors’ best estimate of the expenditure required to settle the obligation at the balance sheet date, 
taking into account risks and uncertainties surrounding the obligation.  Where a provision is measured using the cash flows 
estimated to settle the present obligation, its carrying amount is the present value of those cash flows.
RESTRUCTURINGS
A restructuring provision is recognized when the Group has developed a detailed formal plan for the restructuring and 
has raised a valid expectation in those affected that it will carry out the restructuring by starting to implement the plan or 
announcing its main features to those affected by it.  The measurement of a restructuring provision includes only the direct 
expenditures arising from the restructuring, which are those amounts that are both necessarily entailed by the restructuring 
and not associated with the ongoing activities of the entity.
|   65 ONEROUS CONTRACTS
Present obligations arising under onerous contracts are recognized and measured as provisions.  An onerous contract is 
considered to exist where the Group has a contract under which the unavoidable costs of meeting the obligations under the 
contract exceed the economic benefits expected to be received under it.
SHARE-BASED PAYMENTS
The Group has applied the requirements of IFRS 2 Share-based Payments.
The Group issues equity-settled share-based payments to certain employees.  Equity-settled share-based payments are 
measured at fair value at the date of grant by use of an appropriate valuation model.  The fair value determined at the grant 
date of the equity-settled share-based payments is expensed on a straight-line basis over the vesting period, based on the 
Group’s estimate of shares that will eventually vest.
Fair value is measured by use of the Black-Scholes model.  The expected life used in the model has been adjusted, based on 
management’s best estimate, for the effects of non-transferability, exercise restrictions, and behavioral considerations.
At each balance sheet date, the Group revises its estimate of the number of equity instruments expected to vest as a result of the 
affect of non market-based vesting conditions.  The impact of the revision of the original estimates, if any, is recognized  in profit 
and loss such that the cumulative expense reflects the revised estimate, with a corresponding adjustment to equity reserves.
RETIREMENT BENEFITS
Payments to a defined contribution scheme are charged as an expense as they fall due.
FINANCIAL INSTRUMENTS
Financial assets and financial liabilities are recognized in the Group’s balance sheet when the Group becomes a party to the 
contractual provisions of the instrument.
Loans and receivables
T rade receivables, loans and other receivables that have fixed or determinable payments that are not quoted in an active 
market are classified as loans and receivables.  Loans and receivables are measured at amortized cost using the effective 
interest method, less any impairment.  Interest income is recognized by applying the effective interest rate, except for short- 
term receivables when the recognition of interest would be immaterial.
Impairment of financial assets
For certain categories of financial asset, such as trade receivables, assets that are assessed not to be impaired individually 
are subsequently assessed for impairment on a collective basis.  Objective evidence of impairment for a portfolio of 
receivables could include the Group’s past experience of collecting payments, an increase in the number of delayed 
payments in the portfolio past the average credit period, as well as observable changes in national or local economic 
conditions that correlate with default on receivables.
For financial assets carried at amortized cost, the amount of the impairment is the difference between the asset’s carrying 
amount and the present value of the estimated future cash flows, discounted at the financial asset’s original effective 
interest rate.
The carrying amount of the financial asset is reduced by the impairment loss directly for all financial assets with the 
exception of trade receivables, where the carrying amount is reduced through the use of an allowance account.  When 
a trade receivable is considered uncollectible, it is written off against the allowance account.  Subsequent recoveries 
of amounts previously written off are credited against the allowance account.  Changes in the carrying amount of the 
allowance account are recognized in profit or loss.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and demand deposits, and other short-term highly liquid investments 
that are readily convertible to a known amount of cash and are subject to an insignificant risk of changes in value.
66   |   FY2014 Annual Report Financial liabilities and equity
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements 
entered into.
Equity instruments
An equity instrument is any contract that evidences a residual interest in the assets of the Group after deducting all of its 
liabilities.  Equity instruments issued by the Group are recorded at the proceeds received, net of direct issue costs.
Financial liabilities
All financial liabilities are classified as ‘other financial liabilities’.
Other financial liabilities
Other financial liabilities, including borrowings, are initially measured at fair value, net of transaction costs.  Other financial 
liabilities are subsequently measured at amortized cost using the effective interest method, with interest expense 
recognized on an effective yield basis.  The effective interest method is a method of calculating the amortized cost of a 
financial liability and of allocating interest expense over the relevant period.  The effective interest rate is the rate that 
exactly discounts estimated future cash payments through the expected life of the financial liability or, where appropriate, a 
shorter period, to the net carrying amount on initial recognition.
Derecognition of financial liabilities
The Group derecognizes financial liabilities when, and only when, the Group’s obligations are discharged, canceled or they expire.
Derivative financial instruments
The Group does not use derivative financial instruments.
BUSINESS COMBINATIONS
Acquisitions of subsidiaries and businesses are accounted for using the acquisition method.  The consideration for each 
acquisition is measured at the aggregate of the fair values (at the date of exchange) of assets given, liabilities incurred or 
assumed, and equity instruments issued by the Group in exchange for control of the acquiree.  Acquisition-related costs are 
recognized in profit or loss as incurred.
Where applicable, the consideration for the acquisition includes any asset or liability resulting from a contingent 
consideration arrangement, measured at its acquisition-date fair value.  Subsequent changes in such fair values are adjusted 
against the cost of acquisition where they qualify as measurement period adjustments.  All other subsequent changes in the 
fair value of contingent consideration classified as an asset or liability are accounted for in accordance with relevant IFRSs.  
Changes in the fair value of contingent consideration classified as equity are not recognized.
Where a business combination is achieved in stages, the Group’s previously-held interests in the acquired entity are 
remeasured to fair value at the acquisition date (i.e.  the date the Group attains control) and the resulting gain or loss, if 
any, is recognized in profit or loss.  Amounts arising from interests in the acquiree prior to the acquisition date that have 
previously been recognized in other comprehensive income are reclassified to profit or loss, where such treatment would 
be appropriate if that interest were disposed of.
The acquiree’s identifiable assets, liabilities and contingent liabilities that meet the conditions for recognition under IFRS 3 
2010 are recognized at their fair value at the acquisition date, except that:
 § Deferred tax assets or liabilities and liabilities or assets related to employee benefit arrangements are recognized and 
measured in accordance with IAS 12 Income T axes and IAS 19 Employee Benefits respectively;
 § Liabilities or equity instruments related to the replacement by the Group of an acquiree’s share-based payment 
awards are measured in accordance with IFRS 2 Share-based Payment; and
 § Assets (or disposal groups) that are classified as held for sale in accordance with IFRS 5 Non-current Assets Held for 
Sale and Discontinued Operations are measured in accordance with that Standard.
|   67 If the initial accounting for a business combination is incomplete by the end of the reporting period in which the 
combination occurs, the Group reports provisional amounts for the items for which the accounting is incomplete.  Those 
provisional amounts are adjusted during the measurement period or additional assets or liabilities are recognized, to reflect 
new information obtained about facts and circumstances that existed as of the acquisition date that, if known, would have  
affected the amounts recognized as of that date.
The measurement period is the period from the date of acquisition to the date the Group obtains complete information 
about facts and circumstances that existed as of the acquisition date, and is subject to a maximum of one year.
Acquisition costs are as defined in IFRS3 and are written off as incurred.  Exceptional costs are defined as non recurring costs 
incurred outside of the Group’s normal operations.
4.  CRITICAL ACCOUNTING JUDGMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY
CRITICAL JUDGMENTS IN APPLYING THE GROUP’S ACCOUNTING POLICIES
The following are the critical judgments apart from those involving estimations (which are dealt with separately below), that 
the Directors have made in the process of applying the Group accounting policies and that have the most significant effect 
on the amounts recognized in the financial statements.
REVENUE RECOGNITION
In making its judgment with regard to revenue recognition, the Directors have considered the detailed criteria for the 
recognition of revenue for the provision of services set out in IAS 18 ‘Revenue’ and the policy in note 3, in particular regarding 
whether the debt is collectable.
There is a policy in relation to doubtful debt provision and the Directors have exercised judgment in relation to this.
CAPITALIZATION OF RESEARCH AND DEVELOPMENT COSTS
In making judgments in relation to research and development costs, the Directors have considered the detailed criteria 
for the capitalization of research and development set out in IAS 38 ‘Intangible assets’, and assessed which of the ongoing 
projects meets the criteria and is therefore Capitalized whether the project meets all the recognition criteria is subjective 
and management must make judgments over recognition of an intangible asset.
GOING CONCERN
In adopting the going concern basis for the preparation of the annual accounts, the Directors have exercised judgment with 
respect to the adequacy of resources to continue in operational existence for the foreseeable future.
IDENTIFICATION AND VALUATION OF ACQUIRED INTANGIBLES
In making judgments in relation to the identification, valuation and useful economic life of acquired intangibles, the 
Directors base their assessment on valuation reports prepared by an expert third party at the time of an acquisition.
KEY SOURCES OF ESTIMATION UNCERTAINTY
The key assumptions concerning the future, and other key sources of estimation uncertainty at the balance sheet date, 
that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next 
financial period, are discussed below.
TRADE RECEIVABLES AND DEBTOR PROVISIONING
The Directors consider that the carrying amount of trade receivables approximates their fair value.  A provision has been  
made for estimated unrecoverable amounts based on information available to management.  Changes in collectability of 
trade receivables may impact the level of provision required.
68   |   FY2014 Annual Report SHARE OPTION CHARGE
In calculating the share option charge the Directors have considered the expected life of the option, the volatility of the 
Company’s share price, the risk free rate and anticipated rate of leavers.
SUBSIDIARY INVESTMENTS
The Company’s initial valuation of its investments in its subsidiary undertakings are based on cost and subsequent capital 
contributions.  The Directors have considered the criteria in IAS 36, Impairment of Assets, in assessing the carrying value.
IMPAIRMENT OF GOODWILL
Determining whether goodwill is impaired requires an estimation of the value in use of the cash generating unit (CGU) to 
which goodwill has been allocated.  The value in use calculation requires the entity to estimate the future cash flows of the 
CGU and a suitable discount rate in order to calculate present value.  The carrying amount of goodwill at the balance sheet 
date was $73,658,000 (2013: $49,080,000).
DEFERRED TAX ASSET
In determining the level of recognition of the deferred tax assets the Directors have considered the level of future taxable 
profits that are expected to be received in the foreseeable future.
5.  SEGMENTAL ANALYSIS
blinkx plc is organized internally along function lines with each line reporting to the Group’s chief operating decision maker, 
the Chief Executive Officer.  The primary function lines include: finance, human resources, operations, marketing, sales, 
business development, technology and product development.  Each of these functions supports the overall business 
activities; however, they do not engage in activities from which they earn revenues or incur expenditure in their operations 
with each other.  No discrete financial information is produced for these functional lines.  The Group’s chief operating 
decision maker is ultimately responsible for entity-wide resource allocation decisions and evaluates the performance of the 
Group on a group wide basis.  The Company integrates acquired businesses and products into the blinkx business model 
such that separate management financial data on these entities is not generally maintained post acquisition.  Acquired 
businesses immediately benefit from the primary function lines noted above and their products and services are enhanced 
by the inclusion of blinkx technology, functionality and the Group’s wider sales channels to the market.
The Group operates a global Internet business and its commercial activity is not generated from distinguishable geographic 
origins.  Although the Group has operations in several geographic locations, no discrete financial performance information 
is maintained on a regional basis because of the globally distributed nature of the revenues and high degree of functional 
integration among the different geographic locations.  Consequently, decisions around the allocation of resources are 
not determined on a regional basis and the chief operating decision maker does not assess the Group’s performance on a 
geographic basis.  Consequently, the Group’s chief operating decision maker reviews financial information for the Group as 
a whole, determining where to allocate resources and drive business forward by examining consolidated results showing 
underlying results adjusted for acquisition and exceptional charges and amortization of purchased intangibles.
The Group’s business is based on the principle of facilitating free access to content via an advertising-supported distribution 
model and its revenues are derived from advertising on the Internet.  The Group applies its technology across a set of 
standard and inter-related products to connect its audience with contextually relevant advertising.  Advertisers select 
from several product types which are priced on different pricing schemes.  Each of the products generates revenues from 
a mix of the various pricing methodologies.  There is considerable overlap among the products and advertisers and it is not 
meaningful to separate the revenues by primary pricing scheme or product.  Consequently, separate financial information is 
not reviewed by the chief operating decision maker for the various products to assess their performance or for the purpose 
of resource allocation decisions.
As a consequence of the above factors the Group has one operating and reportable segment in accordance with IFRS 8 
“Operating Segments”.
|   69 IFRS 8 also requires information on any customer which is 10% or more of the combined revenue.  There is no customer 
which accounts for 10% or more of the combined current year revenue (2013: one customer accounted for 10.7% of total 
revenue or $21,195,000).
Geographical analysis of the Group’s revenues, including analysis between the Group’s country of domicile and other 
countries, is not disclosed under IFRS 8 as the information is not readily available and the cost to develop it is considered to 
be excessive.
As required under IAS 18, Revenue, an analysis of the Group’s revenue is as follows:
Note
Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Continuing operations
Rendering of services 247,214 197,957
Investment revenue 9 139 56
T otal revenues 247,353 198,013
6.  PROFIT FOR THE YEAR
Profit for the year has been arrived at after charging/(crediting):
Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Net foreign exchange gains (1,032) (178)
Operating lease payments 2,797 2,315
Research and development costs 21,520 12,667
Depreciation of property, plant and equipment: (see note 14)
Owned 1,244 1,086
Leased 2 114
Amortization of intangibles: (see note 13)
Relationships with customers & publishers (included in Sales and Marketing) 3,799 3,136
Purchased technology (included in Research and Development) 2,191 1,629
Capitalized development costs (included in Research and Development) 2,167 1,368
T rade names, trademarks and patents (included in Sales and Marketing) 691 613
Software licenses (included in Research and Development) 1,003 1,015
Acquisition and exceptional costs (see note 27) 8,066 3,276
Staff costs (see note 8) 45,013 37,975
Impairment loss recognized on trade receivables 2,086 377
70   |   FY2014 Annual Report 7.  AUDITOR’S REMUNERATION
The analysis of auditor’s remuneration is as follows:
Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Fees payable to the Company’s auditor for the audit of the Company’s annual accounts 340 262
Fees payable to the Company’s auditor and their associates for other services to the Group
The audit of the Company’s subsidiaries pursuant to legislation 33 43
Audit related assurance services 89 -
T otal audit fees 462 305
T ax services 347 179
Corporate finance services 94 109
T otal non-audit fees 441 288
T otal 903 593
Non-audit services included post-acquisition restructuring and R&D tax credit advice.
8.  STAFF COSTS
The average monthly number of employees (including Executive Directors) was:
Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Sales and marketing 167 173
Research and development 78 60
Administration and operations 37 32
T otal 282 265
Wages and salaries 40,746 35,017
Social Security costs 3,156 2,184
Other pension costs 12 23
43,914 37,224
Other employee benefits and costs 3,794 3,243
Costs allocated to internally generated assets (2,625) (2,492)
Included in profit from operations 45,083 37,975
Included in profit from operations 45,083 37,975
Information on Directors’ remuneration can be found in the Remuneration Committee Report, starting on Page 40.  The 
Directors are considered to be the Group’s key management personnel for the purposes of IAS 24 Related Party Disclosures. 
 
9.  NET INVESTMENT REVENUE
Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Interest receivable on cash and cash equivalents 139 56
Interest on obligations under finance leases - (18)
T otal 139 38
|   71 10.  TAX
Note
Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Current tax 3,985 3,201
Deferred tax 17 1,454 (3,835)
T otal 5,439 (634)
The Finance Act 2013, which provides for reductions in the main rate of corporation tax from 23% to 21% effective from  
1 April 2014 and to 20% effective from 1 April 2015, was substantively enacted on 2 July 2013.  These rate reductions have 
been reflected in the calculation of deferred tax at the balance sheet date.
T axation for other jurisdictions is calculated at the rates prevailing in the respective jurisdictions. The charge/(credit) for the 
year can be reconciled to the profit per the income statement as follows:
Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Profit before tax 17,609 16,722
T ax at UK corporation rate of 23% (2013: 24%) 4,050 4,013
Adjustment for overseas tax rate 819 1,252
T ax effect of expense not deductible in determining taxable profit / loss 120 98
Adjustment arising from change in rate of UK corporation tax 8 (48)
Reduced tax in subsidiaries operating in other jurisdictions (1,307) (1,116)
Research and development tax credits (16) (956)
Deferred tax not recognized / utilization of tax losses 299 (3,415)
Impact of share-based payments (566) -
Adjustment in respect to prior years 2,032 (462)
T ax charge/(credit)  5,439 (634)
Under IAS 12 Income T axes the amount of tax benefit that can be recognized in the income statement is limited by reference 
to the IFRS 2 share-based payment charge.  The excess amount of $2,557,000 tax benefit in respect of share options was 
recognized in equity.  This comprises a current tax benefit recognized in equity of $2,727,000 and a deferred tax charge of 
$170,000.
72   |   FY2014 Annual Report 11.  EARNINGS PER SHARE
The calculation of the basic and diluted earnings per share is based on the following information:
Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Profit
Profit used in calculation of basic and diluted earnings per share 12,170 17,356
Profit used in calculation of adjusted basic earnings per share* 26,570 25,253
shares shares
Number of shares
Weighted average number of shares for the purpose of basic and adjusted* basic earnings 
per share 376,697,045 361,955,834
Weighted average number of shares for the purpose of diluted and adjusted* diluted 
earnings per share 382,883,292 369,116,636
* Adjusted for acquisition and exceptional charges of $8.1m (2013:$3.3m), amortization of purchased intangibles of $6.7m (2013: $5.4m) and other income of $0.3m (2012: $0.8m)
The difference between the weighted average number of ordinary shares used for the basic earnings per share and the 
diluted earnings per share is 6,186,247 (31 March 2013: 7,160,802), being the effect of all potentially dilutive ordinary shares, 
derived by the number of share options granted to employees and shares to be issued to Burst and Rhythm NewMedia 
shareholders where the exercise price is more than the average market price.
12.  GOODWILL
$’000
Cost
At 1 April 2011 and 31 March 2012 48,878
Recognized on acquisition of subsidiaries 202
At 31 March 2013 49,080
Recognized on acquisition of subsidiaries 24,578
At 31 March 2014 73,658
Accumulated impairment losses
At 1 April 2011, 31 March 2012 and 31 March 2013 -
Carrying amount
At 31 March 2014 73,658
At 31 March 2013 49,080
The Group tests goodwill annually for impairment or more frequently if there are indications that goodwill might be impaired.
|   73 The carrying amount of goodwill has been allocated between the CGUs according to the entities from which they originated 
as a result of a business acquisition as follows:
Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Burst 25,000 25,000
PVMG 21,663 21,663
blinkx 2,417 2,417
Rhythm 24,578 -
73,658 49,080
The key assumptions for the value in use calculations are those regarding the discount rates, growth rates and expected 
changes in direct and indirect costs during the forecast period.
The Group prepares cash flow forecasts derived from the most recent financial budgets approved by management for the 
next five years and extrapolates cash flows into perpetuity using a terminal growth rate of 2% (2013: 2%) for all CGUs.  This 
rate is based on an estimated long term growth rate for the industry and countries in which blinkx operates, and does not 
exceed the average long-term growth rate for the relevant markets based on the historical Consumer Price Index in the 
United States.
The rate used to discount the forecast cash flows is 12% (2013: 12%) for all CGUs other than Rhythm NewMedia, which is 
discounted at 13%.  Management estimates discount rates using pre-tax rates that reflect current market assessments of the 
time value of money and the risks specific to the CGUs.
The assumptions for growth rates and expected changes in direct and indirect costs, are based on past experience of each 
CGUs trading performance and are consistent with industry analyst expectations.  The assumptions used differ between 
CGUs, reflecting the differences in products, customers and suppliers between each CGU.  The compound annual growth 
rates of the assumptions applied over the forecast period for each CGU are as follows:
2014 2013
Revenue growth 
rate
Operating 
expenses growth 
rate
Revenue growth 
rate
Operating 
expenses growth 
rate
Burst 8.67% 3.35% 15.10% 4.80%
PVMG 5.00% -2.15% 7.80% 1.30%
blinkx 6.23% 6.19% 27.80% 16.30%
Rhythm 27.23% 8.56% n/a n/a
The Group has conducted a sensitivity analysis on each key assumption on the impairment test of each CGU’s carrying  value. 
No reasonably possible change of key assumptions would cause any CGU’s carrying amount to exceed its recoverable amount.
74   |   FY2014 Annual Report 13.  OTHER INTANGIBLE ASSETS
Relationships 
with 
cust omers  
& publishers
Purchased 
technology
Capitalized 
development 
costs
T radenames, 
trademarks & 
patents
Software 
licenses T otal
$’000 $’000 $’000 $’000 $’000 $’000
Cost
At 1 April 2012 17,199 9,198 4,827 3,517 4,784 39,525
Additions - - 2,741 21 190 2,952
Exchange differences (20) (31) (234) (24) (84) (393)
At 31 March 2013 17,179 9,167 7,334 3,514 4,890 42,084
Additions 1,930 800 2,625 257 381 5,993
Acquired on acquisitions of subsidiaries 11,600 5,700 - 3,300 - 20,600
Exchange differences 38 58 564 46 154 860
At 31 March 2014 30,747 15,725 10,523 7,117 5,425 69,537
Amortization
At 1 April 2012 (3,582) (2,881) (373) (562) (2,476) (9,874)
Amortization (3,136) (1,629) (1,368) (613) (1,015) (7,761)
Exchange differences 24 31 19 6 149 229
At 31 March 2013 (6,694) (4,479) (1,722) (1,169) (3,342) (17,406)
Amortization (3,799) (2,191) (2,167) (691) (1,003) (9,851)
Exchange differences (38) (58) (268) (29) (155) (548)
At 31 March 2014 (10,531) (6,728) (4,157) (1,889) (4,500) (27,805)
Net book value
At 31 March 2014 20,216 8,997 6,366 5,228 925 41,732
At 31 March 2013 10,485 4,688 5,612 2,345 1,548 24,678
Software licenses predominantly relate to software used in research and development.
|   75 14.  PROPERTY , PLANT AND EQUIPMENT
Computer 
equipment
Fixtures 
and fittings 
and office 
equipment
Leasehold 
improvements T otal
$’000 $’000 $’000 $’000
Cost
At 1 April 2012 2,965 1,032 494 4,491
Additions 664 321 52 1,037
Exchange differences (15) (5) - (20)
At 31 March 2013 3,614 1,348 546 5,508
Additions 985 145 127 1,257
Purchase of net assets 70 - - 70
Acquired on acquisitions of subsidiaries 429 - - 429
Exchange differences 34 9 - 43
At 31 March 2014 5,132 1,502 673 7,307
Depreciation
At 1 April 2012 (1,902) (207) (107) (2,216)
Depreciation (738) (327) (135) (1,200)
Exchange differences 11 - - 11
At 31 March 2013 (2,629) (534) (242) (3,405)
Depreciation (827) (335) (84) (1,246)
Exchange differences (32) (3) - (35)
At 31 March 2014 (3,488) (872) (326) (4,686)
Net book value
At 31 March 2014 1,644 630 347 2,621
At 31 March 2013 985 814 304 2,103
The net book value of computer equipment includes an amount of $ nil (2013: $87,000) held under finance leases.  The 
obligations under finance leases are secured by the lessors’ rights over the leased assets.
15.  SUBSIDIARIES
A list of the significant investments in subsidiaries, including the name, country of incorporation and proportion of 
ownership interest is given in note 30 to the Company’s separate financial statements.
76   |   FY2014 Annual Report 16.  OTHER FINANCIAL ASSETS
a) TRADE AND OTHER RECEIVABLES
As at 
 March 2014
As at 
 March 2013
$’000 $’000
Current assets
T rade receivables 37,990 30,342
Accrued revenues 323 326
Sales and doubtful debts allowance (1,389) (766)
Net trade receivables 36,924 29,902
Other receivables and prepayments 2,837 5,657
Non current assets
Other receivables 161 100
T rade receivables disclosed above are classified as loans and receivables and therefore measured at amortized cost.  The 
average credit period taken on sales of goods is 54 days (2013: 54 days).
The Group has credit risk with respect to trade receivables due from its customers.  The Group has an increasing number of 
customers as the business grows which will assist in spreading credit risk through diversity .  Allowance is made for bad and doubtful 
debts based on management’s assessment of the risk taking into account the aging profile, experience and circumstance.  In 
cases where collectability is uncertain at the time of invoicing, a sales allowance is offset against the receivable and no revenue is 
recognized.  Ongoing credit evaluation is performed on the financial condition of accounts receivable.
Included within the Group’s trade receivables balance are debtors with a carrying valuing of $876,000 (2013: $40,000) 
which are past due and impaired between 0-90 days and $513,000 (2013: $726,000) in excess of 90 days which are past 
due and impaired.  Debtors with a carrying value of $9,742,000 (2013: $9,595,000) between 0-90 days and $2,040,000 
(2013: $2,034,000) in excess of 90 days were past due but not impaired.  The remaining balance of $24,820,000 (2013: 
$17,950,000) is not yet due and not impaired.
The Group’s allowance for doubtful debt amounts to $1,389,000 (2013: $766,000).  The charge for the year was $2,086,000 
(2013: $377,000).  No interest has been charged for overdue debts in the period.
Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Balance at beginning of the period 766 2,684
Amounts provided in the year (net of amounts written off ) 581 (1,918)
Allowance related to beginning balances of acquired subsidiaries 42 -
Balance at end of the period 1,389 766
The Directors have considered the credit quality of assets neither past due nor impaired and do not consider further credit 
provision is required in excess of the allowance for sales and doubtful debts.
The Directors consider that the carrying amount of trade and other receivables approximates their fair value. 
 
b) CASH AND CASH EQUIVALENTS
Cash and cash equivalents comprise cash held by the Group and short-term bank deposits with an original maturity of one 
month or less.  The carrying amount of these assets approximates their fair value.
c) CREDIT RISK
The Group’s principal financial assets are bank balances and cash, trade and other receivables.
|   77 The Group’s credit risk is primarily with cash and cash equivalents.  This credit risk is limited because counterparties are 
banks with high credit ratings assigned by international credit-rating agencies.  The Group carries out credit checks on 
its customers and has in place credit control systems to minimize the credit risk to the Group whilst maintaining healthy 
commercial relationships.  The Group had no other significant concentration of credit risk in the current or prior year.
17.  DEFERRED TAX
Deferred T ax is calculated in full on temporary differences under the liability method using the substantively enacted tax 
rates of the jurisdictions in which the temporary differences are expected to reverse.
a) RECOGNIZED DEFERRED TAX ASSETS
Deferred tax assets have been recognized in respect of tax losses and other deductible temporary differences where it is 
probable that these assets will be recovered.
The movements in deferred tax assets and liabilities (including offsetting of balances within the same jurisdication as 
permitted under IAS 12) during the period are shown below.  Deferred tax assets and liabilities are only offset where there is a 
legally enforceable right of offset and there is an intention to settle the balance’s net.
Assets 
2014
Assets 
2013
Liabilities 
2014
Liabilities 
2013
Net 
2014
Net 
2013
$’000 $’000 $’000 $’000 $’000 $’000
Property, plant and equipment and 
intangible assets (102) (132) 10,816 5,616 10,714 5,484
T ax credit and loss carry forward (22,796) (10,901) - - (22,796) (10,901)
Share-based payments (3,168) (3,530) - - (3,168) (3,530)
Other deductible temporary 
differences (2,590) (2,036) - - (2,590) (2,036)
Deferred tax (assets) / liabilities (28,656) (16,599) 10,816 5,616 (17,840) (10,983)
Offset tax 10,816 5,616 (10,816) (5,616) - -
Net deferred tax (assets) / liabilities (17,840) (10,983) - - (17,840) (10,983)
b) UNRECOGNIZED DEFERRED TAX ASSETS
There is an unrecognized deferred tax asset arising from unrecognized temporary differences of $1.3m (2013 $0.8m) which has 
not been recognized due to insufficient certainty that taxable profits will be available against which this asset could be used.
c) MOVEMENT IN TEMPORARY DIFFERENCES
Balance at 
31-March 2013
Recognized in 
income
Recognized in 
goodwill
Recognized in 
equity
Balance at 
31-March 2014
$’000 $’000 $’000 $’000 $’000
Property, plant and equipment and intangible 
assets 5,484 (1,918) 7,148 - 10,714
T ax credit and loss carry forward (10,901) 3,734 (15,629) - (22,796)
Share-based payments (3,530) 192 - 170 (3,168)
Other deductible temporary differences (2,036) (554) - - (2,590)
T otal (10,983) 1,454 (8,481) 170 (17,840)
The amount of credit that can be recognized in the income statement is limited under IAS 12 and any remaining credit is 
taken to equity.
78   |   FY2014 Annual Report 18.  OTHER FINANCIAL LIABILITIES
TRADE AND OTHER PAYABLES
Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Current liabilities
T rade payables 24,914 18,325
Customer deposits 24 630
Onerous lease provision 512 512
Other accrued liabilities (including the amount of finance leases due within 12 months) 14,744 13,355
40,194 32,822
Non-current liabilities 597 551
T rade creditors and accruals principally comprise amounts outstanding for trade purchases and ongoing costs.  The average 
credit period taken for trade purchases is 56 days (2013: 51 days).  No interest has been charged by suppliers in respect of 
overdue amounts in the year.  The onerous lease provision relates to a facility lease obligation that the Group is currently 
working with the landlord to exit.  Non-current liabilities include deferred rent of $597,000 (2013: $538,000) and obligations 
under financing leases of $ nil (2013: $14,000).
The Directors consider that the carrying amount of trade payables approximates to their fair value.
OBLIGATIONS UNDER FINANCE LEASES
Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Amounts payable under finance leases:
Within one year 14 82
In second to fifth years inclusive - 14
14 96
Less: Amounts due for settlement within 12 months (shown under current liabilities) 14 82
Amounts due for settlement after 12 months - 14
It is the Group’s policy to lease certain of its computer equipment under finance lease.  For the year ended 31 March 2014, the 
average effective borrowing rate was 7.9% (2013: 9.9%).
Lease obligations are denominated in dollars.  There is no material difference between the minimum lease payment and 
their present values.
The following table details the Group’s remaining contractual maturity for its non-derivative financial liabilities with agreed 
repayment period.
Less than 3 months 3-12 months 1-5 years T otal
$’000 $’000 $’000 $’000
Finance lease liability 5 9 - 14
|   79 19.  SHARE CAPITAL
Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Issued and fully paid
399,908,379 ordinary shares of 1 pence each 7,461 6,850
(2013: 362,407,609 ordinary shares of 1 pence each)
The Company has one class of ordinary share, which carries no right to fixed income.  
During the current year 37,500,770 shares were issued, of which 20,000,000 shares related to the December 2013 share 
placement, 8,719,064 shares to consideration for the acquisition of Rhythm New Media Inc., 8,269,834 shares were issued 
related to exercise of employee share options, 283,330 shares were issued related to restricted stock units, and 228,542 
shares related to consideration for the acquisition of Burst Media Corporation (2013: 805,708 shares were issued, of 
which 804,071 shares were issued related to exercise of employee share options and 1,637 related to consideration for the 
acquisition of Burst Media Corporation).
20.  SHARE PREMIUM ACCOUNT
Share premium
$’000
Balance at 31 March 2012 101,552
Premium arising on issue of equity shares, net of costs 423
Balance at 31 March 2013 101,975
Premium arising on issue of equity shares, net of costs 65,970
Balance at 31 March 2014 167,945
T ransaction costs accounted for as a deduction to the share premium account total were $2,923,000 for the current year 
(2013: $nil).
21.  SHARES TO BE ISSUED
The shares to be issued reserve relates to shares that are expected to be issued to former Burst shareholders, as part of the 
consideration, who have not yet submitted the paperwork to effect the exchange of Burst shares for blinkx shares and to 
Rhythm NewMedia shareholders as part of consideration.
22.  OPERATING LEASE ARRANGEMENTS
Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Minimum lease payments under operating leases recognized as an expense in the year 2,797 2,315
At the balance sheet date, the Group had outstanding commitments for future minimum lease payments under non- 
cancelable operating leases, which fall due as follows:
80   |   FY2014 Annual Report Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Within one year 2,742 2,332
In the second to fifth years inclusive 8,137 8,354
More than 5 years 906 1,988
11,785 12,674
Operating lease payments represents rental payable by the Group for certain of its office properties, computer equipment 
and software.  Lease terms range from three to seven years.
23.  SHARE-BASED PAYMENTS EQUITY-SETTLED SHARE OPTION SCHEMES
On the demerger from Autonomy Corporation plc the Company established the following share options schemes;
 § the blinkx 2007 Enterprise Management Incentive Plan (the ‘blinkx EMI Scheme’)
 § the blinkx US Share Option Plan (the ‘blinkx US Plan’)
 § the blinkx Autonomy Employee Discretionary Share Option Scheme 2007 (the ‘Autonomy Discretionary Scheme’)
 § the blinkx Autonomy Employee US Share Option Plan (the ‘Autonomy US Plan’)
The blinkx EMI Scheme and the blinkx US Plan allow for the grant of options over ordinary shares to employees of the 
Company and its subsidiaries.  At the time of demerger two special grants were made under these plans.  The first allowed a 
fully vested grant at nominal value and the second was a grant at nominal value but with a 3 year vesting period.  Since then 
grants have been made at market value and with a 3 or 4 year vesting period with options vesting in varying sized tranches 
over that period (apart from replacement options granted to Burst Media employees on acquisition which were granted at 
market value but followed the original vesting pattern).  No option may be granted for a term in excess of 10 years.  Vested 
options are exercisable following termination of employment for a period ranging from 40 to 90 days.  Vesting criteria is 
based on continued employment with the Company.
On 16 September 2013 the Board of Directors approved the blinkx plc US Share Option Plan be amended to allow the grant 
of Restricted Stock Units to be made under its terms.
The Autonomy Discretionary Scheme and the Autonomy US Plan allowed a one-time grant of blinkx options to certain 
Autonomy employees who at the time of the demerger had vested Autonomy options.  Options granted under this plan 
were granted at market price and vest over a period of 3 years.
Share-based compensation charges have been charged in the income statement within the following functional areas:
Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Sales and marketing 866 1,105
Research and development 861 668
Administrative expenses 1,626 264
3,353 2,037
The following table summarizes options outstanding at 31 March 2014 relating to the blinkx EMI scheme and the blinkx US 
plan.  All option exercise prices are quoted in sterling.
|   81 2014 Weighted 
average exercise 
price
2013 Weighted 
average exercise 
price
Number £ Number £
Outstanding balance at beginning of year 20,242,280 0.50 16,253,063 0.50
Granted during the year 2,940,000 1.21 7,072,143 0.65
Exercised during the year (7,919,616) 0.38 (467,080) 0.26
Lapsed during the year (1,159,887) 0.89 (2,615,846) 0.90
Outstanding balance at end of year 14,102,777 0.69 20,242,280 0.50
Exercisable at end of year 2,650,397 1.28 11,317,570 0.33
Options were granted on 16 September 2013 and 21 February 2014.  The weighted average of the fair market value of the 
options granted in the year was £1.21 per share (2013: £0.65 per share).
The inputs into the Black-Scholes model are as follows: 
2014 2013
Weighted average share price £ 1.21 £ 0.65
Weighted average exercise price £ 1.21 £ 0.65
Expected volatility 50-112% 83-96%
Expected life 3-4 years 3-4 years
Risk free rate 2.50-2.75% 3.50%
Expected dividend - -
Expected volatility was determined by calculating the historical volatility of the Group’s share price since IPO.  The expected 
life used in the model has been adjusted, based on management’s best estimate, for the effects of non-transferability, 
exercise restrictions, and behavioral considerations.
The following table summarizes options outstanding at 31 March 2014 in relation to the Autonomy Discretionary Share 
Scheme and Autonomy US Plan options:
2014 Weighted 
average exercise 
price
2013 Weighted 
average exercise 
price
Number £ Number £
Outstanding balance at beginning of year 1,032,506 0.45 1,391,827 0.45
Exercised during the year (374,674) 0.45 (336,991) 0.45
Lapsed during the year (53,546) 0.45 (22,330) 0.45
Outstanding balance at end of year 604,286 0.45 1,032,506 0.45
Exercisable at end of year 604,286 0.45 1,032,506 0.45
The weighted average share price at the date of exercise for share options exercised during the period was £0.45 
(2013: £0.45).  The options outstanding at 31 March 2014 had a weighted average exercise price of £0.45 (2013: £0.45).  The 
weighted average remaining contractual life of the options was 3 years (2013: 4 years).
No options were granted during the current or prior year.
The following table summarizes Restricted Stock Units activity through 31 March 2014:
82   |   FY2014 Annual Report Number of RSUs
Weighted average 
Grant date Fair 
Value
Number £
Outstanding balance at beginning of year - -
RSUs granted 2,565,000 1.39
RSUs vested (283,333) 1.55
RSUs canceled (50,000) 1.55
Exercisable at end of year 2,231,667 1.36
The fair value as of the respective vesting dates of RSUs was $439,000 (2013:$ nil).  The majority of RSUs that vested in fiscal 
year 2014 were net-share settled such that the Company withheld shares with value equivalent to the employees’ minimum 
statutory obligation for the applicable income and other employment taxes, and remitted the cash to the appropriate taxing 
authorities.
24.  FINANCIAL INSTRUMENTS
CAPITAL RISK MANAGEMENT
The Group manages its capital to ensure that entities in the Group are able to continue as going concerns while maximizing 
the return to shareholders through the optimization of the debt and equity balance.  The capital structure of the Group 
consists of cash and cash equivalents and equity attributable to equity holders of the parent, comprising issued capital, 
reserves and retained earnings.  The Group’s overall strategy remains unchanged from 2013.
GEARING RATIO
The Board of Directors reviews the capital structure on a regular basis and as part of this review, the Board considers the 
cost of capital and the risks associated with each class of capital.  The Group does not currently carry any material (finance 
leases) long or short term borrowings.
EXTERNALLY IMPOSED CAPITAL REQUIREMENT
The Group is not subject to externally imposed capital requirements.
SIGNIFICANT ACCOUNTING POLICIES
Details of the significant accounting policies and methods adopted, including the criteria for recognition, the basis of 
measurement and the basis on which income and expenses are recognised, in respect of each class of financial asset, 
financial liability and equity instrument are disclosed in note 3 to the financial statements.
CLASSES OF FINANCIAL INSTRUMENTS 
2014 2013
$’000 $’000
Financial assets
Cash and cash equivalents 126,909 55,861
Amounts due from customers (loans and receivables) 36,924 29,902
Financial liabilities
T rade payables (amortized cost) (24,914) (18,837)
The fair value of all of the Group’s financial instruments are derived from inputs other than unadjusted quoted prices that 
are observable for the asset or liability, either directly or indirectly.  The carrying amount of financial assets and financial 
liabilities recorded at amortized cost in the financial statements approximate their fair values.  Therefore there is no 
difference between the carrying value and fair value of the above financial assets and liabilities.
|   83 FINANCIAL RISK MANAGEMENT
The Group’s financial function provides services to the business, monitors and manages the financial risks relating to the 
operations of the Group.  These risks include:
Market risk (including currency risk) 
The Group does not enter into or trade financial instruments, including derivative financial instruments, for any purpose.  
The Group maintains the majority of its cash in US dollars as a national hedge, in line with our revenue and costs which are 
predominantly US based.
Credit risk
The Group’s customer base is highly diversified and no customer represents a significant percentage of revenue (2013: one 
customer accounted for 10.7%).  The Group does not have any significant credit risk exposure to any single counterparty 
or any group of counterparties having similar characteristics.  The Group defines counterparties as having similar 
characteristics if they are related entities.  Concentration of credit risk did not exceed 5% of gross monetary assets at any 
time during the year.  Before accepting any new customer, the Group uses an external credit rating system to assess the 
potential customer’s credit quality.  All customers have credit limits set by credit managers and are subject to standard 
terms of payment.
Interest rate risk
The Group has no loans and borrowings outside finance leases so no material exposure.
Liquidity risk
The Group seeks to manage financial risk to ensure sufficient liquidity is available to meet foreseeable needs and to invest 
cash safely and profitably by maintaining adequate reserves and cash on hand by continuously monitoring forecast and 
actual cash flows and by matching the maturity profiles of financial assets and liabilities.  The Group reviews its cash flow 
requirements on a monthly basis.
MARKET RISK
The Group’s activities expose it primarily to the financial risks of changes in foreign currency exchange rates as it undertakes 
certain transactions denominated in foreign currencies.  The Group’s presentational currency is US dollars and the 
Company’s functional currency is sterling.  The Group operates subsidiaries in the US, UK  and Canada and as a result cash is 
held predominantly in sterling and US dollars.  The Group holds its funds in several different financial institutions.
The carrying amounts of the Group’s foreign currency denominated monetary assets and monetary liabilities at the 
reporting date are as follows:
2014 Liabilities 2013 Liabilities 2014 Assets 2013 Assets
$’000 $’000 $’000 $’000
Sterling 1,458 968 9,254 25,089
FOREIGN CURRENCY SENSITIVITY ANALYSIS
The Group is mainly exposed to movements in pound sterling and US dollar.
The following table details the Group’s sensitivity to a 20% increase and decrease (2013: 20%) in the functional currency of the 
entity against the relevant foreign currencies.  20% is the sensitivity rate used (2013: 20%) when reporting foreign currency 
risk internally to key management personnel and represents management’s assessment of the reasonably possible change in 
foreign exchange rates.  The sensitivity analysis includes only outstanding foreign currency denominated monetary items and 
adjusts their translation at the year end for a 20% change (2013: 20%) in foreign currency rates.  The sensitivity analysis includes 
loans to foreign operations within the Group where the denomination of the loan is in a currency other than the currency of 
the lender or the borrower .  A positive number below in 2014 indicates an increase in profit and other equity where the Sterling 
strengthens 20% against the relevant currency.  For a 20% weakening of the Sterling against the relevant currency, there would 
be an equal and opposite impact on the profit and other equity, and the balances below would be negative.
84   |   FY2014 Annual Report 2014 2013
$’000 $’000
Cash and cash equivalents 1,336 4,480
Amounts due from customers 304 644
T rade payables 292 194
Other equity
Currency translation reserves 21,319 17,819
CREDIT RISK MANAGEMENT
Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the Group.  
The Group has adopted a policy of only dealing with counterparties that are considered to be creditworthy by management, 
having completed various credit checks.
The Group’s principal financial assets are cash and cash equivalents, trade and other receivables.
The Group’s credit risk is primarily with cash and cash equivalents.  This credit risk is limited because counterparties are a 
number of different banks with high credit ratings assigned by international credit-rating agencies.  Details regarding the 
management of credit risk in relation to trade receivables are dealt with in note 16.  Other than noted here the Group has no 
other significant concentration of credit risk at either balance sheet date.
The carrying amount of financial assets recorded in the financial statements, which is net of impairment losses, represents the 
Group’s maximum exposure to credit risk.
LIQUIDITY RISK MANAGEMENT
The Group manages liquidity risk by maintaining adequate reserves, diversifying its cash accounts across several banking 
institutions and constantly monitoring forecast and actual cash flows.
FAIR VALUE OF ASSETS AND LIABILITIES 
The Group has assets and liabilities that have been fair valued, on a non-recurring basis, which have arisen through the 
acquisition of Rhythm NewMedia in the year .  
These assets have been fair valued by an external, specialist valuer .  The assets and liabilities are all at level 3 in the fair value 
hierarchy set out in IFRSS 13.  Level 3 is fair value measurements that are derived from valuation techniques that include inputs 
for the asset or liability not based on observable market data (unobservable inputs).  
The Group does not have any assets or liabilities at levels 1 or 2 in the fair value hierarchy, and there have been no movements in 
the year between levels.
25.  PURCHASE OF NET ASSETS
On 5 August 2013, the Group entered into an all cash transaction with Grab Network Holdings, Inc., to acquire its Grab 
Media platform.  Grab Media is a leading online video content syndication and advertising platform.  The specific assets 
acquired by blinkx in the transaction will enable the Company to add incremental audience and augment its relationships 
with advertisers, publishers and content providers.  The provisional fair value of the assets at the time of purchase was $6.6 
million as detailed in the table below:
Provisional FV @ 
date of purchase
$ ‘000
Property, plant and equipment 70
T rade receivables 3,555
Intangibles (trademarks, technology, publisher and advertiser relationships) 2,930
T otal consideration 6,555
The Group engaged an independent valuer to assess and determine the acquired intangibles valuation.
|   85 26.  ACQUISITION OF SUBSIDIARIES
On 12 December 2013 the Group acquired 100% of the issued share capital of Rhythm NewMedia, Inc., a leading premium 
mobile video advertising technology platform focused exclusively on smartphones and tablets for a total consideration of 
$56.5 million.  Rhythm connects brand advertisers with highly engaged mobile audiences by selling and serving video, rich 
media and other immersive advertising formats.  Rhythm has partnered with more than 50 premium media companies, 
typically on an exclusive basis, across a portfolio of 200+ properties to deliver meaningful brand advertising within the 
highest quality content for targeted, relevant audiences.  Rhythm’s leading mobile video publisher technology platform and 
direct advertising sales team combine to provide a unique offering in the fastest growing and most coveted segment of the 
advertising industry.  Rhythm is headquartered in Mountain View, California and currently generates 100% of its revenue in 
the United States.
The amounts recognized in respect of the identifiable assets acquired and liabilities assumed are as set out in the table below.
Book value and 
Provisional FV @ 
date of purchase
$ ‘000
Property, plant and equipment 429
Intangibles 20,600
Other assets 262
Deferred tax asset 8,481
Cash 53
T rade receivables 8,797
T rade & other payables (6,668)
T otal identifiable assets 31,954
Goodwill 24,578
T otal consideration 56,532
Satisfied by:
Cash 24,954
Equity instruments (8,719,064 ordinary shares of parent company) 28,254
Contingent consideration arrangement (1,025,763 ordinary shares of parent company) 3,324
T otal consideration transferred 56,532
Net cash outflow arising on acquisition:
Cash consideration 24,954
Less: cash and cash equivalent balances acquired (53)
T otal net cash outflow arising on acquisition 24,901
The fair value of the financial assets includes trade receivables with a fair value of $8.8 million and a gross contractual value 
of $8.8 million.  The best estimate at acquisition date of the contractual cash flows not to be collected is $ nil.
The goodwill of $24.2 million arising from the acquisition was primarily attributable to the assembled workforce of the 
acquired business and the synergies expected to arise post acquisition and integration of the business.  None of the goodwill 
recognized is expected to be deductible for tax purposes.
The fair value for all the acquired assets and liabilities other than the intangibles and goodwill was assessed to be equal to the 
book value.
The Group engaged an independent valuer to assess and determine the acquired intangibles and goodwill balances.
86   |   FY2014 Annual Report The acquisition incrementally added $10.0 million of revenue to the Group in the current fiscal year and generated a loss 
before tax of $2.0 million.  If the acquisition had been completed on the first day of the financial year, Group revenues for the 
period would have been $267.5 million and profit before tax of $13.7 million.
Acquisition and other integration and related costs of $5.2 million have been included in acquisition and exceptional costs 
identified on the face of the income statement.  These charges included post acquisition retention remuneration costs, 
severance and professional services.  Further acquisition / integration related costs have been incurred since the balance 
sheet date.
27.  ACQUISITION AND EXCEPTIONAL COSTS
In line with the way the Board and chief operating decision maker reviews the business, large one-off acquisition and 
exceptional costs and other costs related to acquisitions such as amortization of purchased intangibles, are separately 
identified and adjusted results shown.  The types of costs included within acquisition costs are those which are directly 
attributable to an acquisition, such as legal and accounting expenses, integration costs, severance and retention 
remuneration.  The types of costs which are considered exceptional include restructuring and onerous lease charges.
ACQUISITION AND EXCEPTIONAL COSTS: 
Year ended 31 
March 2014
Year ended 31 
March 2013
$’000 $’000
Acquisition costs:
Severance and retention costs 4,526 153
Professional fees 1,521 1,582
T otal acquisition costs 6,047 1,735
Exceptional  costs:
Restructuring charges 2,019 995
Onerous lease provision - 546
T otal exceptional costs 2,019 1,541
T otal acquisition and exceptional 8,066 3,276
28.  RELATED PARTY TRANSACTIONS
For the purposes of IAS 24 Related Party Disclosures, the directors are considered to be the Group’s key management 
personnel.  Their remuneration is disclosed within the Directors’ Report and the Renumeration Report.  There were no 
other related party transactions in either the current year or prior year.
29.  EVENTS AFTER THE BALANCE SHEET DATE
On 1 May, 2014 the Group acquired 100% of the issued share capital of LYFE Mobile Inc.  (LYFE), an innovative mobile 
Demand-Side Platform (DSP) and Data Management Platform (DMP), in a cash transaction totaling $2.9 million.  In addition 
$0.8 million is payable after one year contingent upon the product line meeting certain financial conditions.
LYFE offers a smart mobile technology to programmatically deliver relevant ads to consumers based on their geographic 
location and other attributes.  With access to over 100 million users in the US and 600 million worldwide through its 
integrations with supply side partners, LYFE’s cross channel platform offers a full range of mobile advertising formats, 
including mobile display, video and native ads with customized, dynamic audience segmentation and targeting capabilities.  
|   87 As part of the transaction, blinkx has retained the LYFE Mobile team—a talented and multifaceted group of engineers, data 
scientists and business staff with years of relevant mobile experience and relationships.
The provisional fair value of the financial assets at the time of purchase was $3.7 million as detailed in the table below:
Book value and 
Provisional FV @ 
date of purchase
$’000
T rade Receivables 580
T rade Payables (993)
Intangibles and goodwill 4,113
T otal consideration 3,700
Due to the recent completion date, the full valuation exercise has not been completed.  The valuation exercise will be 
completed during the first half of the 2015 financial year and we will report updated fair values in the interim management 
statement for the period ending 30 September 2014.
88   |   FY2014 Annual Report COMPANY BALANCE SHEET AS AT 31 MARCH 2014 
Note
As at 31-March 
2014
As at 31-March 
2013
£’000 £’000
Non-current assets
Investment in subsidiaries 31 206,386 170,317
Current assets
Amounts due from subsidiary undertakings 32 1,756 2,590
Other receivables 9 32
Cash and cash equivalents 32 39,711 10,307
T otal assets 41,476 12,929
Current liabilities
T rade and other payables 33 (111) (158)
Amounts due to subsidiary undertakings 33 (9,022) (1,944)
T otal liabilities (9,133) (2,102)
Net assets 238,729 181,144
Capital and reserves
Share capital 35 3,999 3,624
Share premium account 36 98,059 57,989
Stock compensation reserve 5,134 4,698
Shares to be issued reserve 2,192 460
Merger reserve 136,881 119,359
Retained loss 37 (7,536) (4,986)
T otal equity 238,729 181,144
The financial statements of blinkx plc (registered number 06223359) were approved by the Board of Directors and 
authorized for issue on 6 June 2014.   
 
They were signed on its behalf by:
Subhransu (“Brian”) Mukherjee 
Chief Executive Officer 
blinkx plc 
6 June 2014
|   89 COMPANY STATEMENT OF CHANGES IN EQUITY YEAR ENDED 31 MARCH 2014
Note
Ordinary 
share 
capital
Share 
premium 
account
Shares to 
be issued 
reserve
Stock 
payment 
reserve
Merger 
reserve
Retained 
loss T otal
£’000 £’000 £’000 £’000 £’000 £’000 £’000
Balance as at 1 April 2012 3,616 57,721 462 3,392 119,359 (5,059) 179,491
Net profit for the year - - - - - 73 73
Other comprehensive income - - - - - - -
T otal comprehensive income 
for the year - - - - - 73 73
Issue of shares, net of costs 19 8 268 (2) - - - 274
Capital contribution - - - 1,306 - - 1,306
Balance as at 31 March 2013 3,624 57,989 460 4,698 119,359 (4,986) 181,144
Net loss for the year - - - - - (2,550) (2,550)
Other comprehensive income - - - - - - -
T otal comprehensive income 
for the year - - - - - (2,550) (2,550)
Issue of shares, net of costs 19 375 40,070 1,732 - 17,522 - 59,699
Capital contribution - - - 436 - - 436
Balance as at 31 March 2014 3,999 98,059 2,192 5,134 136,881 (7,536) 238,729
COMPANY CASH FLOW STATEMENT YEAR ENDED 31 MARCH 2014 
Note
Year ended 31 
March 2014
Year ended 31 
March 2013
£’000 £’000
Net cash generated by / (used in) operating activities 38 5,313 (1,949)
CASH FLOWS FROM INVESTING ACTIVITIES
Acquisitions of subsidiaries, net of cash acquired (18,455) -
Interest received 25 -
Net cash used in investing activities (18,430) -
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issuance of shares 42,521 274
Net cash generated by financing activities 42,521 274
Net increase in cash and cash equivalents 29,404 (1,675)
Beginning cash and cash equivalents 10,307 11,982
Ending cash and cash equivalents 39,711 10,307
90   |   FY2014 Annual Report Notes to the Company Only 
Financial Statements
30.  SIGNIFICANT ACCOUNTING POLICIES
The separate financial statements of the Company are presented as required by the Companies Act 2006.  As permitted 
by that Act, the separate financial statements have been prepared in accordance with International Financial Reporting 
Standards adopted by the European Union.  The Company has no employees other than the three Non-Executive Directors.  
Their remuneration is shown in the Group remuneration report.
The financial statements have been prepared on the historical cost basis.  The principal accounting policies adopted are the 
same as those set out in note 3 to the consolidated financial statements except as noted below:
Investments in subsidiaries are stated at cost less, where appropriate, provisions for impairment.
These Company financial statements are presented in sterling as that is the currency of the primary economic environment 
in which the Company operates.
As permitted by section 408 of the Companies Act 2006 the income statement of the parent Company is not presented as 
part of these accounts.  The parent Company’s loss for the financial year amounted to £2,550,000 (2013: profit of £73,000).  
The Company’s profit or loss for each year is the same as its total comprehensive income for each year.
31.  SUBSIDIARIES
Cost and net book value
$ 000’
At 1 April 2012 169,011
Capital contribution 1,306
At 31 March 2013 170,317
Investment in subsidiaries 36,069
At 31 March 2014 206,386
The capital contribution is in respect of equity settled share-based payments made to employees of the Company’s 
subsidiaries for which the Company receives no reimbursement.
The principal subsidiary companies within the Group’s operation at 31 March 2014 are as follows:
Place of incorporation 
(or registration) and 
operation Percentage owned
blinkx UK Limited England & Wales 100%
blinkx UK Holding Limited USA 100%
blinkx (Canada), Inc Canada 100%
Operating subsidiaries of the above companies have been excluded to the extent such subsidiaries’ operations are 
consolidated in the interim operating companies’ operations and results.  These include operating subsidiaries in the UK, US 
and Canada.
|   91 32.  FINANCIAL ASSETS
LOANS DUE FROM OTHER GROUP ENTITIES
At the balance sheet date there are receivables from fellow Group companies amounting to £1,756,000 (2013: £2,590,000).  
The carrying amount of these assets approximates their fair value.  There are no past due or impaired receivable balances 
(2013: none).
CASH AND CASH EQUIVALENTS
These comprise cash held by the Company and short-term bank deposits with an original maturity of three months or less.  
The carrying amount of these assets approximates their fair value.
33.  FINANCIAL LIABILITIES
LOANS DUE TO OTHER GROUP ENTITIES
At the balance sheet date there are payables to fellow Group companies amounting to £9,022,000 (2013: £1,944,000).  The 
carrying amount of these liabilities approximates to their fair value.
TRADE AND OTHER PAYABLES
T rade payables principally comprise amounts outstanding for trade purchases and ongoing costs.  The average credit 
period taken for trade purchases is 22 days (2013: 11 days).
The carrying amount of trade payables approximates to their fair value.
34.  DEFERRED TAX
No deferred tax assets or liabilities have been recognized by the Company in the year.  At the balance sheet date there is an 
unrecognized deferred tax asset of £nil (2013: £nil).
35.  SHARE CAPITAL
As at 
 March 2014
As at 
 March 2013
£ ‘000 £ ‘000
Issued and fully paid
399,908,379 ordinary shares of 1 pence each 3,999 3,624
(2013: 362,407,609 ordinary shares of 1 pence each)
The Company has one class of ordinary share, which carries no right to fixed income.
During the current year 37,500,770 shares were issued, of which 20,000,000 shares related to the December 2013 share 
placement, 8,719,064 shares to consideration for the acquisition of Rhythm NewMedia Inc., 8,269,834 shares were issued 
related to exercise of employee share options, 283,330 shares were issued related to restricted stock units, and 228,542 
shares related to consideration for the acquisition of Burst Media Corporation, (2013: 805,708 shares were issued, of 
which 804,071 shares were issued related to exercise of employee share options and 1,637 related to consideration for the 
acquisition of Burst Media Corporation).
92   |   FY2014 Annual Report 36.  SHARE PREMIUM ACCOUNT
Share premium
£’000
Balance at 31 March 2012 57,721
Premium arising on issue of equity shares, net of costs 268
Balance at 31 March 2013 57,989
Premium arising on issue of equity shares, net of costs 40,070
Balance at 31 March 2014 98,059
37.  RETAINED EARNINGS
£’000
Balance at 31 March 2012 (5,059)
Net profit for the year 73
Balance at 31 March 2013 (4,986)
Net loss for the year (2,550)
Balance at 31 March 2014 (7,536)
38.  NOTES TO THE CASH FLOW STATEMENT
Year ended 31 
March 2014
Year ended 31 
March 2013
£’000 £’000
Cash Flow From Operating Activities
( Loss  from operations ) / Profit (3,198) 859
Foreign exchange losses / (gains) 623 (786)
Operating cash flows before movements in working capital (2,575) 73
Decrease / (increase) in amounts due from Group undertakings 7,912 (2,118)
Decrease in receivables 23 738
Decrease in payables (47) (642)
Cash generated by / (used in) operations 5,313 (1,949)
Cash and cash equivalents (which are presented as a single class of asset on the face of the balance sheet) comprise cash at 
bank and other short-term highly liquid investments with a maturity of three months or less.
|   93 39.  FINANCIAL INSTRUMENTS
The policies of the Group are discussed in note 3 to the consolidated financial statements.  The tables below provide 
financial instrument disclosures for the Company.
CATEGORIES OF FINANCIAL INSTRUMENT
Year ended 31 
March 2014
Year ended 31 
March 2013
£’000 £’000
Financial assets
Cash and cash equivalents 39,711 10,307
Other receivables (loans and receivables) 9 32
Amounts due from Group undertakings (loans and receivables) 1,756 2,590
41,476 12,929
Financial liabilities
T rade payables (amortized cost) 110 158
Amounts due to Group undertakings (amortized cost) 9,022 1,944
9,132 2,102
There is no difference between the carrying value and fair value of the above financial assets and liabilities.  The fair value of 
all the Company’s financial instruments are derived from inputs other than unadjusted quoted prices that are observable for 
the asset or liability, either directly or indirectly.
FOREIGN CURRENCY RISK MANAGEMENT
The carrying amounts of the Company’s foreign currency denominated monetary assets and monetary liabilities at the 
reporting date are as follows:
2014 Liabilities 2013 Liabilities 2014 Assets 2013 Assets
£’000 £’000 £’000 £’000
US Dollar 109 26 39,720 10,340
FOREIGN CURRENCY SENSITIVITY ANALYSIS
The Company is mainly exposed to movements in US dollar.  The Company has maintained its sensitivity at 20% in 2014 
(2013: 20%).
The following table details the Company’s sensitivity to a 20% increase and decrease (2013: 20%) in the functional  currency 
of the entity against the relevant foreign currencies.  20% is the sensitivity rate (2013: 20%) used when reporting foreign 
currency risk internally to key management personnel and represents management’s assessment of the reasonably 
possible change in foreign exchange rates.  The sensitivity analysis includes only outstanding foreign currency denominated 
monetary items and adjusts their translation at the year end for a 20% change (2013: 20%) in foreign currency rates.  The 
sensitivity analysis includes loans to foreign operations where the denomination of the loan is in a currency other than the 
currency of the lender or the borrower.  A positive number below for 2014 indicates an increase in profit and other equity 
where the Sterling strengthens 20% against the relevant currency.  For a 20% weakening of the Sterling against the relevant 
currency, there would be an equal and opposite impact on the profit and other equity, and the balances below would be 
negative.
94   |   FY2014 Annual Report 2014 2013
£’000 £’000
Cash and cash equivalents 13,242 3,130
T rade payables 36 8
Inter company loans (2,423) 423
The movements above arise where the Company has financial assets or liabilities in currencies other than sterling.  There 
are no foreign currency balances included within other equity.  There has not been any significant change in the Company’s 
sensitivity to foreign currency during the period.
40.  RELATED PARTIES
T ransactions relate to funding and recharges and are conducted on an arm’s length basis.  The amount owed by subsidiary 
undertakings is £1,756,000 (2013: £2,590,000).  The amount owed to subsidiary undertaking is £9,022,000 (2013: 
£1,944,000).
For the purposes of IAS 24 Related Party Disclosures, the Directors are considered to be the Company’s key management 
personnel.  Their remuneration is disclosed within the Remuneration Committee Report, starting on Page 40.
|   95 Shareholder Information and Advisors
REGISTRARS AND BLINKX SHAREHOLDER SERVICES
All Administrative inquiries regarding shareholdings such as questions about lost share certificates should be directed to the 
company’s registrars as follows:
Computershare Investor Services plc The Pavilions 
Bridgwater Road Bristol 
BS99 6ZY UK 
T el: +44 870 707 1593 
email:   web.queries@computershare.co.uk
STOCK EXCHANGES
blinkx’s ordinary shares are listed on the London Stock Exchange (AIM) under the symbol “BLNX.” blinkx does not maintain 
listings on any other stock exchanges.
SHAREHOLDER  COMMUNICATIONS
T opics featured in this Annual Report can be found via the blinkx home page on the Internet (http://www.blinkx.com).  
Financial results, news on blinkx products, services and other activities can also be found via that address.
Advisors / Auditor
AIM Nominated Advisor 
and Co-Broker Co-Broker Investor Relations
Deloitte LLP Citigroup Global Markets Numis Securities Limited FTI Consulting, Inc.
City House Citigroup Centre The London Stock 200 Aldersgate
126-130 Hills Road Canada Square Exchange Building Aldersgate Street
Cambridge, CB2 1RY Canary Wharf 10 Paternostar Square London, EC1A 4HD
United Kingdom London, E14 5LB London EC4M 7L T United Kingdom
United Kingdom
Corporate Legal Advisors Registered Office
Bird & Bird LLP DLA Piper LLP 2nd Floor
15 Fetter Lane 2000 University Avenue Ibex House
London, EC4A 1JP East Palo Alto, CA 94303 42-47 Minories
United Kingdom USA London, EC3N 1DX
United Kingdom
96   |   FY2014 Annual Report Glossary
Ad Exchange – An online marketplace for advertisers and publishers to buy and sell inventory, often through real-time auctions.
Ad Network – A company that has deals with advertisers and publishers to manually buy and sell ads across the Web.
Ad Server – A company whose technology relays an ad buy to a website and reports on how it performed.
Agency T rading Desk – A division within an ad agency focused on buying ads using ad technology.
Audience Extension – Extending the distribution footprint for content beyond the organic or endemic audience of a 
content provider.
Audience Verification – Third-party reporting to provide validation that a site, and the ads on it, reach a legitimate, verifiable 
audience.
Behavioral T argeting – Showing ads to people based on the type of sites they visit or their online behavior.
Click Through Rate (CTR) – Measure of how many people clicked on an ad or a piece of digital content.  Used as a proxy to 
determine the level of engagement of the ad or content by the consumer.
Compound Annual Growth Rate (CAGR) – The compounded year-over-year rate of growth over a specified period of time.
Connected TV – T elevision sets and set-top boxes with built-in integration of Web features, such as streaming services and 
apps.  Also known as Smart TVs.
Cookie – Identifier attached to a person’s Internet browser to track the site he or she visits.
Cost Per Click (CPC) – Represents the cost an advertiser pays each time a user clicks on their ad.
Cost Per Download/Install (CPD/CPI) – Represents the cost an advertiser/software provider pays each time a consumer 
downloads or installs their software.
Cost Per Mille/Thousand Advertising Impressions (CPM) – Represents the cost of an advertising placement divided by the 
number of impressions generated (in thousands).
Cost Per View (CPV) – Represents the cost an advertiser pays for a single view of their content or ad.
Data-Management Platform (DMP) – A company that provides technology to store and catalog marketer data.
Demand – Advertisers’ need for advertising inventory to place their ads on digital properties.  T ypically represented by 
volume, price and ad format for a specified timeframe.  Demand is typically executed on behalf of advertisers by their agency 
who may also use a series of intermediaries, such as trading desks, Demand-Side Platforms and advertising exchanges to 
execute ad campaigns.
Demand-Side Platform (DSP) – A company that provides technology for media buyers to purchase ad placements, typically 
via bids in exchange’s real-time auctions.
First-Party Data – Data that a company has collected directly, like a retailer’s list of loyalty members.
Fraudulent Advertising (Ad Fraud) – When a company knowingly serves ads that no one will actually see as a way to drive 
“views” and revenue.
|   97 Geo-targeting – Showing ads to people based on their mobile device’s location; ZIP code information they submit when 
registering for a site/service; or GPS coordinates collected by a site/service.
Hashing – A way for separate companies to match their data sets without either side being able to access the other’s data.
Identifier for Advertisers (IDFA or IFA) – A temporary device identifier used on mobile devices for targeted advertising, 
which provides device identification without compromising personally identifiable information.  Replaces Apple’s Unique 
Identifier (UDID) and Android ID and used instead of cookies that are common on desktop devices.
Impression – Measure of the number of times an ad is seen.
In-Stream – An ad that appears within a piece of content.
Mobile Apps – Specialized computer programs designed to run on smartphones, tablets and other mobile devices.
Mobile Web – Access to the Web from a handheld mobile device, such as a smartphone or tablet.
Pixel – A piece of code placed on websites so companies can recognize which cookies have already been dropped on a 
person’s browser and put in new cookies.
Programmatic Direct – An ad buy done directly between a publisher and advertiser through automated ad-buying systems.   
 
Real-Time Bidding (RTB) – The purchase and sale of ads through computer-run auctions that happen within milliseconds.   
 
Retargeting – Showing an ad to a person who visited your site while that person is visiting another site.
Second-Party Data – When a company makes its first-party data directly available to another company.
Supply – Advertising inventory offered by publishers or owners of digital properties.  T ypically supply is represented by volume, 
price and ad format for a specified time period.  Supply may be offered up directly by the owners of the inventory (owned and 
operated supply) or through a series of intermediaries (such as ad networks, exchanges and Supply-Side Platforms).
Supply-Side Platform (SSP) – An ad-tech company that works with publishers to help them sell their inventory at scale.
Third-Party Data – Information that a company collects indirectly (such as through cookies) or aggregated from others 
(such as credit-card companies and magazine publishers) and then sells to ad buyers to aid in targeting.
T raffic – The result of the act of browsing the Internet or other digital properties by consumers.  Such browsing behavior 
generates advertising inventory.  Used as a proxy for the volume and level of user attention or engagement and typically 
priced and aggregated into and sold as audiences to agencies who represent advertisers.
Unique-User/Device ID – Identifier assigned to a device or user that lasts until the device is reset or the account is deleted.
Viewability – Measuring an ad to make sure that it was visible to the user.  The industry is moving toward this as a new 
standard for impression.
VTR (View-Through Rate) – The measurement of how many people saw an ad and eventually visited the advertiser’s site.
98   |   FY2014 Annual Report  UK Office
London
Third Floor
47-50 Margaret Street
London W1W 8SB
UK
T el: +44 (0) 203 551 4710
USA Office
San Francisco
One Market Plaza
Spear T ower, Suite 1810
San Francisco, CA 94105
USA
T el: +1 (415) 655 1450
www.blinkx.com