After Facebook’s Q2 2013 numbers, it’s the turn for the world’s largest professional network, LinkedIn to reveal its second quarter earnings results. The company released its results yesterday and has once again beat estimates by showing a continuous upward growth.
The article initially reported by TC, shares that it has been a good quarter for the company which is listed on NYSE. The company grew to 238 million members with growth accelerating to 37% year-over-year and saw revenue increase to 59 percent to $363.7 million from $228.2 million in Q2 2012. The net income also jumped to $3.7 million from $2.8 million in Q2 last year, while non-GAAP net income was $44.5 million, compared to $18.1 million in 2012.
Revenue breakdown for Q2 2013
LinkedIn made $363.7 million in the second quarter from three major sources – 1. Talent Solutions, 2. Marketing Solutions and 3. Premium Subscriptions.
Talent Solutions, the feature that provides companies with full recruiting services to attract passive talents too, has represented 56% of total revenue in the second quarter of 2013, compared to 53% in the second quarter of 2012. $205.1 million alone was made from Talent Solutions products thereby leading to an increase of 69% compared to the second quarter of 2012.
Marketing solutions of LinkedIn which include Premium Display Advertising, Sponsored InMail, etc. represented 24% of total revenue in the second quarter of 2013, compared to 28% in the second quarter of 2012. $85.6 million was earned from Marketing Solutions itself resulting in an increase of 36% compared to the second quarter of 2012. With the recent introduction of Sponsored Updates, this sector is going to see some major spikes in the later quarters.
Besides this the Premium Subscriptions products of LinkedIn totaled $73.0 million, an increase of 68% compared to the second quarter of 2012. The sector represented 20% of total revenue, compared to 19% in the second quarter of 2012.
LinkedIn also shared that its biggest market US represented 62% of total revenue in the second quarter of 2013 with a total of $224.3 million. Revenue from the International markets has also shown good growth totaling $139.4 million, by representing 38% of total revenue in the second quarter of 2013.
Other highlights of the Q2 2013
Besides this the Q2 announcement also highlighted the recent strategic announcements such as adding influencers like Bill Gates, Japan’s Prime Minister Shinzo Abe, Senator Elizabeth Warren, etc to the Influencer Program.
LinkedIn’s professional publishing platform today hosts more than 300 influencers and drives amazing traffic. Recently it shared that on an average an influencers post gets more than 24K views. Bill Gates’ first post on the platform fetched more than 1M page views in a matter of 48 hours.
Mobile has been reflecting success for LinkedIn too. The platform witnessed mobile homepage engagement rising over 40%, and increasing levels of social actions, article views, and mobile profile edits when compared to the past version. In fact LinkedIn recently launched its app for the Nokia Asha Full Touch and 501 series tapping the budget market. LinkedIn has also been investing in acquiring startups like Pulse and Maybe to strengthen its base on the segment. Though it would be great if going further LinkedIn shares revenues being fetched by mobile.
LinkedIn had a pretty decent Q2 2013 and the company that is supposed to be the darling of Wall Street has expected its Q3 revenues to range between $367 million and $373 million and yearly revenue to range between $1.455 billion and $1.475 billion.