LinkedIn reported its third-quarter earnings moments ago, and it wasanother huge beat across the board.
LinkedIn reported third-quarter earnings of 22 cents a share, and revenue of $252 million. Analyst estimates were for 12 cents a share and $244.2 million in revenue, according to S&P CapitalIQ.
While other social networking-based services have faced significant turmoil in public markets, LinkedIn has been a bright spot, up nearly 70% on the year before it reported earnings today after the bell.
LinkedIn’s shares are up about 6% in extended trading.
Here are five takeaways from the earnings report:
- LinkedIn didn’t just beat, it absolutely demolished expectations. The numbers were well above LinkedIn’s own estimates for 3Q revenue. LinkedIn has 187 million members, according to the release.
- All three of LinkedIn’s main businesses continue to grow. LinkedIn makes money through online-advertising sales, businesses that involve recruiting services, and charges for enhanced user accounts. Talent Solutions revenue was up 95% year-over-year, marketing solutions rose 60% year-over-year and revenue from premium subscriptions was up 74% year-over-year.
- Talent Solutions appears to be growing the quickest. Previously named Hiring Solutions, it now represents 55% of LinkedIn’s total revenue stream. The share from premium subscriptions didn’t change, while its revenue share from marketing solutions fell.
- LinkedIn is raising its full-year guidance again. The company has revised its expected revenue range upward to $939 to $944 million from the prior range of $915 to $925 million. Last quarter, LinkedIn raised its full-year guidance to between $915 million and $925 million, up from $880 million to $900 million.
- The LinkedIn homepage redesign is driving additional traffic. Homepage traffic has increased more than 60% since its introduction of the newly-designed home page, the company said in its earnings statement.