Online video giant Brightcove has announced a staggering 26% increase in Q1 revenue for 2014 compared to the same period last year.
The company provides cloud-based video solutions and its latest financials show signs of these products gaining traction. Brightcove earned $31.1 million over the first quarter of this year - its 6,000-strong client base contributing a gross profit of $20.4 million.
Again, this marked a significant increase on results from Q1 2013, where profit was recorded at 22% lower than this year.
Business on the up
The bulk of Brightcove’s business was made through subscriptions and support for its services, which hit $29.4 million for the quarter ending March 31 2014, up 24% from 2013. The additional $1.7 million came courtesy of professional services and what the company classes as ‘other’ sources of revenue.
David Mendels, Brightcove’s CEO, was clear on what appears to be driving the growth.
“The consumption of digital content continues to move rapidly towards online and mobile platforms, which is driving digital content providers to increasingly focus on ways to monetise these emerging distribution channels,” he commented.
With eyes fixed firmly on what the future may hold, the company has played down the chances of quarter-on-quarter growth by forecasting a fairly modest Q2 revenue target of between $29.7 million and $30.2 million. This would see Brightcove fall short of its achievement for Q1 2014, but surpass the effort witnessed in Q2 2013.
For full-year revenue, the company expects to generate between $126 million and $130 million, marking a huge lift on the $109.9 million earned over the course of 2013.
Mendels has added that Brightcove will look to establish itself as a market leader as part of its goals for the rest of the year.
“We believe Brightcove is uniquely positioned to be the cloud services vendor of choice for companies looking to expand and better monetise their online digital content presence,” he added.
The figures arrive light of a release for the Brightcove Video Marketing Suite, unveiled this week, which is designed to help video marketers maximise their ROI from the platform.
Brightcove’s latest product consists of a series of tools that have been backed to drive customer awareness, engagement and conversion through techniques like search engine optimisation and support for social sharing.