Zed revs soar past half a billion dollars

Zed’s revenues rose 40.4 per cent in fiscal 2007 to hit $545 million.

The results confirm the extraordinary growth achieved by the Spanish D2C company since 2003, and validate its strategy of switching focus away from one-off content downloads to community services. Last year Zed reported that its revenues hit $100 million in September alone.

It says net profit on the 2007 revenue was nearly $100 million.

The figures also show that 90 per cent of Zed’s corporate activity comes from operations outside of Spain and 65 per cent from markets in which the currency reference is the US dollar.

In 2008 Zed will continue to promote strategic alliances with key Internet and digital entertainment companies, along the lines of those reached with AOL and Metacafe, which it announced recently.

The company is now forecasting 2008 sales will reach more than $870 million.

In the short term, the company is targeting growth in India, Brazil, Australia and Latin America.

This should increase Zed’s presence to 55 countries.

“We are delighted with 2007 results, and with our net profit figures, which show that even during a year where our focus has been corporate consolidation after significant acquisitions, we still lead this industry with a great level of efficiency,” said Javier Pérez Dolset, CEO of Zed.

Zed is particularly pleased with the growth of its mobile marketing activities, which focuses on operators, large advertisers and the public sector. “During 2007, the activities led by Zed in this field have engaged over 160 million users in Europe, Russia and Latin America alone. We expect mobile marketing activity will reach full speed in 2008, becoming a central focus of our corporate business,” said Pérez Dolset.