SHANGHAI - Third-quarter revenues of China's online video advertising reached 2.64 billion yuan ($423.19 million), a 77.9 percent year-on-year increase, according to an Analysys International report.

Revenues for the three-month period also represented a 37.5-percent increase from the second quarter.

China has witnessed rapid growth in its online video sector in the six months to the end of September after fluctuations in the sector in 2011.

The size of the online video advertising market hit a record high in the third quarter of 2012, due to major sports events such as the Olympic Games, said Zhang Fan, an analyst with the company.

Advertisers were attracted back to video websites, helping boost revenues, Zhang said.

Original-produced videos on websites also helped grow advertising market share, he added.