You know those direct response ads on TV encouraging viewers to go into the DVD kiosk business? Well, as Coinstar, parent company of Redbox, will tell you, it’s still not a bad little business.
On Thursday, Coinstar reported second-quarter revenue growth of 22 percent to $532.2 million and profit of $26.7 million, driven by a 26 percent income spike to $458 million by its Redbox DVD kiosk business.
No new information about Redbox’s joint venture with Verizon was given during Thursday’s earnings call with investors.
During the second quarter, Redbox closed its purchase of rival kiosk operator NCR and also launched into Canada.
According to Coinstar, the kiosk operator’s U.S. share of the DVD and Blu-ray rental market — where it operates 38,500 kiosks — has reached 42.5 percent, up 8 percent year over year.