The company is also growing its collection of movies. Blockbuster started acquisition talks with Circuit City in April this year and is moving fast looking to increase it's presence in the digital entertainments distribution industry. Another new launch from Blockbuster will be its download service which will also start in June, and has been done with a tie up with Movielink LLC.
Blockbuster is pursuing new e-commerce initiatives at the same time it’s working to improve the overall performance of the business. In the first quarter Blockbuster posted net income of $45.4 million on revenue of $1.39 billion, compared with a net loss of $94.4 million on sales of $1.47 billion for the first quarter of 2007. Revenue declined as a result of operating fewer stores, the company says. Blockbuster no longer breaks out e-commerce numbers in its quarterly earnings.