The shares of LinkedIn Corp (NYSE:LNKD) witnessed nearly 5% hike after the online network posted its third quarter 2014 financial results. The hiring business of the corporate network has performed well in the domestic as well as overseas markets.
The corporate networking platform reported 45% increase in its quarterly revenue at $568 million as compared to its previous year revenue of $393 million during the same quarter. Talent Solutions was the primary contributor in revenue at $345 million followed by marketing solutions and Premium Subscriptions at $109 million and $114 million respectively. Net loss for the quarter was $4.3 million attributable to the shareholders.
Steve Sordello, CFO of LinkedIn Corp (NYSE:LNKD), said,
“LinkedIn demonstrated strength in the third quarter, leveraging the scale created by our member network to deliver growth across all three product lines. We continue to make aggressive investments in our member and customer platforms in order to realize our long-term potential.”
The company announced promising guidance for the fourth quarter with expected revenues of $600 million to $605 million along with adjusted EBITDA of $153 million to $155 million.
As far as analysts are concerned, the impressive performance of the hiring unit and global expansion efforts of the company are the primary reasons behind its tremendous performance. The professional network released a “beta” version of its platform in Chinese to attract employers from the country and gain more subscription from the largest internet market of the world.
Jeff Weiner, CEO of LinkedIn Corp (NYSE:LNKD), said,
“In third-quarter, about 75 percent of new members came to LinkedIn from outside the U.S., with China providing particular strength. China has become the second-largest contributor to new sign-ups on a daily basis, after only the United States.”
The corporate network surpassed market revenue expectations of $557.6 million, although the revenue guidance for the current quarter fell short of the market expectations of $611.6 million.
This article has been written by Prakash Pandey.