LinkedIn Soars on Huge Beat
NEW YORK (TheStreet) -- LinkedIn (LNKD) shares jumped after the social network geared for professionals beat Wall Street expectations.
LinkedIn reported fourth-quarter earnings of 35 cents a share on $303.6 million in revenue, up 81% year-over-year. Analysts polled by Thomson Reuters were looking for 19 cents a share on $279.52 million in sales. Analysts polled by Estimize were looking for 22 cents a share on $284.70 million in revenue.
Revenue growth was aided by Talent Solutions revenue, which totaled $161 million, up 90% year-over-year. Talent Solutions revenue made up 53% of this quarter's sales.
"2012 was a transformative year for LinkedIn," said Jeff Weiner, CEO of LinkedIn. "We exited 2011 having successfully revamped our underlying development infrastructure. Based on that investment, we said that 2012 would be a year of accelerated product innovation, and it was. The products we delivered throughout the year drove member engagement and financial results to record levels in the fourth quarter."
LinkedIn noted in the release that its passed the 200 million member milestone, ending the year with approximately 202 million members, up 39% year-over-year.
LinkedIn also provided first-quarter guidance that blew past Wall Street estimates. It expects revenue between $305 million and $310 million. Analysts polled by Thomson Reuters were expecting $301.3 million in revenue. For the full year, LinkedIn expects sales between $1.41 billion and $1.44 billion. Wall Street analysts expect $1.439 billion.
Shares of LinkedIn fell during Thursday's trading session, but are moving sharply higher in extended hours trading, up 9.7% to $136.13, according to Nasdaq.com.
The company will hold a conference call at 5 P.M. EST to discuss the results.
--Written by Chris Ciaccia in New York
>Contact by Email.