LinkedIn beats analysts again with record Q3 financials
LinkedIn, Inc. continued its market-beating run in the third quarter with the business-oriented social network provider once again surpassing analyst predictions.
The company booked $780 million for the third quarter on earnings of 78 cents per share, a 37 percent increase over the same quarter of 2014 and well ahead of analysts who were expecting earnings of 45 cents per share on $756 million in revenue.
Q3 also saw significant growth compared to the second quarter when LinkedIn reported $712 million in revenue on earnings of 55 cents a share.
GAAP net loss attributable to common stockholders was $41 million with Non-GAAP net income coming in at $103 million.
Talent solutions continued to be the biggest growth sector for LinkedIn, with quarterly revenue coming in at $502 million, an increase of 46 percent year-on-year, with Marketing Solutions growing a more modest 28 percent to revenue of $140 million, and Premium Subscriptions up 21 percent to $138 million.
Growth in the United States continues to dominate LinkedIn’s financials with domestic revenue coming in at $484 million, up 41 percent from $343 million in the in the same quarter of 2014, while international growth did put in a good show, growing 31 percent to $295 million.
The likeability of LinkedIn as a business networking platform remains strong, with the company seeing membership in the third quarter growing 20 percent to 396 million (compared to the second quarter) with unique visiting members up 11 percent to an average of 100 million per month.
Member page views rose 33 percent.
“LinkedIn delivered strong results in the third quarter, and recently announced several products focused on delivering increased member and customer value,” LinkedIn Chief Executive Officer Jeff Weiner said in a statement. “Our commitment to investing in our long-term roadmap continues to lay the foundation for future growth of the company.”
Guidance
LinkedIn isn’t being complacent about its growth prospects, with the guidance for the quarter ahead and full year both seeing higher numbers again.
Revenue for Q4 is predicted to range between $845 million and $850 million, on and adjusted EBITDA of approximately $210 million.
For the full year, LinkedIn is predicting revenue in an expected range of between $2.975 billion and $2.980 billion with an adjusted EBITDA is expected to be approximately $740 million.
Not surprisingly, the market loved the Q3 results and pushed shares in LinkedIn up $26.95 (12.42 percent) to $244 in after-hours trading.
Image credit: smi23le/Flickr/CC by 2.0
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