LONDON -(Dow Jones)- Video search engine company Blinkx PLC (BLNX.LN) Tuesday said that it expects first-half financial results to come in ahead of the top end of analyst forecasts, sending its shares up 13% in early morning trading.

Blinkx, which spun off from Autonomy Corp (AU.LN) in May, said it hopes to record strong first half financials when it reports Oct. 25.

"We're very pleased with our strong debut and anticipate that our results will be ahead of the top end of analysts' forecasts," said Blinkx Chief Executive Suranga Chandratillake. "Our markets are growing extremely rapidly as on-line television becomes an integral part of daily life."

Blinkx, which listed on London's Alternative Investment Market in May, has indexed more than 14 million hours of news, music and TV content from the internet, having struck deals with more than 200 media partners.

"The company has managed expectations well in the initial months post de- merger," said Seymour Pierce analyst Derek Brown. "That, combined with the dramatic growth in internet-based video ads, has obviously enabled Blinkx to beat the street. The company is clearly executing its strategy well."

At 0905GMT Blinkx shares traded up 4 pence, or 12.8%, at 33 pence.

In the past year, Blinkx has inked deals to provide video search technology for RealNetworks Inc's (RNWK) RealPlayer, as well as internet search engine companies including Ask.com (IACI), Microsoft Corp.'s (MSFT) MSN and Time Warner's (TWX) AOL. It is looking to profit from video advertising spending, which research firm eMarketer estimates will top $2.9 billion in the U.S. alone by 2010.

The Cambridge, U.K. and San Francisco-headquartered company comprises the Blinkx.com internet portal and consumer search technology that demerged from Autonomy after more than $150 million in research and development and 111 patents were transferred over to the new company.

In May the company announced plans to launch AdHoc, a video-search advertising platform, which it believes will become as important as Google Inc.'s (GOOG) AdSense technology that is used for text-based search. AdHoc will allow advertisers to match customized TV adverts to the search habits and preferences of internet video viewers.

Blinkx also has plans to introduce new products such as broadband TV and online transaction hijacking technology to help the online advertising sector over the next few years.

Company Web site: http://www.blinkx.com