LinkedIn 4th-quarter profit and revenue beat Street

SAN FRANCISCO Fri Feb 8, 2013 4:19am IST

The logo for LinkedIn Corporation, a social networking website for people in professional occupations, is pictured in Mountain View, California February 6, 2013. REUTERS/Robert Galbraith/Files

The logo for LinkedIn Corporation, a social networking website for people in professional occupations, is pictured in Mountain View, California February 6, 2013.

Credit: Reuters/Robert Galbraith/Files

Related Topics

Stocks

   

SAN FRANCISCO (Reuters) - LinkedIn Corp (LNKD.N) on Thursday reported quarterly profit that beat Wall Street expectations and offered a bullish forecast for the new year, boosting shares of the professional social network in after-hours trading.

Excluding certain items, net income was $40.2 million, or 35 cents a share, above the 19 cents expected by analysts polled by Thomson Reuters I/B/E/S.

Shares rose 10 percent to $137 in extended trading.

The company also posted better-than-expected quarterly revenue of $303.6 million, an 81 percent rise from a year ago, as millions of new job seekers and corporate recruiters from around the world signed up with LinkedIn to post resumes or poach competitors' employees.

Sales from international markets more than doubled over the past year to $114.6 million, or 38 percent of total revenue in the quarter. The company said in December it had registered 200 million users.

A star in the mostly disappointing social media sector, LinkedIn has beaten expectations for seven consecutive quarters since going public in May 2011 at $45 a share.

The company offered bullish forecasts for the first quarter as well, projecting revenue between $305 million and $310 million, above analyst estimates of $301 million.

LinkedIn, founded by former PayPal employees in 2002, remains one of the most profitable companies in the Internet sector, with gross margins of roughly 90 percent.

But analysts have begun questioning in recent months whether the company can extend its remarkable hot streak as it becomes saturated in some job markets.

In response to an inevitable slowdown in user growth, the company has sought to introduce some social media features to encourage visitors to click more on its site, such as personal blogs by successful businesspeople like Sir Richard Branson, whom users can "follow."

(Editing by Leslie Adler, Chizu Nomiyama and Matthew Lewis)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

Reuters Showcase

Artificial Intelligence

Artificial Intelligence

Google bolsters artificial intelligence efforts, partners with Oxford.  Full Article 

Addressing Concerns

Addressing Concerns

China's Xiaomi shifts some smartphone user data out of Beijing on privacy concerns.  Full Article 

New Email Service

New Email Service

Google launches new email service dubbed "Inbox".  Full Article 

Apple-1 Auction

Apple-1 Auction

Early Apple computer sells for $905,000 at auction.  Full Article 

No More Nokia

No More Nokia

Microsoft looks set to drop Nokia name from smartphones.  Full Article 

Deal Talk

Deal Talk

Apple ponders sapphire options, leaves door open for GT.  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage