Qihoo expects internet usage in China to continue to rise significantly as China's middle class gains wealth and access to broadband technologies. According to iResearch, internet in CHina grew from 137M users to 457M users from 2006 to 2010. By 2013, iResearch forecasts the number of users to be 667M. In addition to total usage, Qihoo believes that users will increasingly use the internet to pass on personal and sensitive information. Due to the dangers of malicious attacks, demand for Qihoo's security platforms will increase.
The company's initial public offering of stock on the NYSE occurred on March 29, 2011. The company offered 12.1M ADSs each for $14.50. This was above the initial price range of $10.50-$12.50. The lead underwriters of the IPO were UBS and Citi. On its first trading day, Qihoo's price rose by 134%. This makes it 3rd largest first day jump in the last 10 years. Qihoo's rise is beaten by Baidu.com (BIDU) in 2005 and Youku.com (YOKU) in 2010. All three of these IPOs are Chinese internet companies.
In 2010, Qihoo reported a total revenue of $58M. This was a 79% increase over the 2009 figure of $32M. Qihoo also increased its total income from $4.2M in 2009 to 48.5M in 2010. This was a 102% increase.