LinkedIn Shares Down, While Revenue is Up
LinkedIn has performed better than what was predicted in terms of income, but shares have still dropped.
An online platform where many employers, like gambling software developers find their new workforce, LinkedIn provides endless opportunities in the area of Human Relations. LinkedIn boasts of more than 300 million users in more than 200 countries around the world – a huge audience making job-hunting and head-hunting a lot easier. As they put it, “Our mission is simple: connect the world’s professionals to make them more productive and successful. When you join LinkedIn, you get access to people, jobs, news, updates, and insights that help you be great at what you do.”
AsForbes reports, the company launched in 2003 just came out with their second-quarter report. These results “topped revenue and earning expectations,” but we shouldn’t forget that last quarter, LinkedIn lowered its revenue forecasts drastically. Furthermore, according to BidnessETC, after announcing their first quarter fiscal results, LinkedIn shares dropped by 18.6%. The company has a lot to recover from. Now, Forbes states, they decided to increase their annual revenueforecast to USD 2.94 billion.
The loss this quarter was 53 cents per LinkedIn share
The second quarter net loss of the company added up to USD 68 million as Forbes states. Just a year ago, this loss was USD 1 million. Earnings in the second quarter reached a total of 55 cents per share and their second quarter revenue was USD 712 million. This is an impressive expansion if we look at last year’s earnings in the same time: USD 534 million. Forbes reports that LinkedIn’s projections for the second quarter were around USD 670 million. So, online gambling companies who are looking for employees with the help of LinkedIn needn’t worry: the company is trying its very best to gain strength.
So, where does LinkedIn’s largest revenue portion come from? According to Forbes, the company gains a huge part of its income from “talent-solutions business, which mainly caters to corporate recruiters.” The growth here was 38% compared to last year’s income. Their marketing section also exhibited some rise, 32% in comparison to 2014. Income from Premium Subscriptions was lowest, although it also registered some rise: 22%. As Forbes states, the online organization has more than 30,000 corporate clients and, as of the second quarter this year, 380 million users. It is also important to note that the company’s predictions for the next quarter show that the company expects revenue to be around USD 750 million.
CEO brings up Lynda.com
Jeff Weiner, CEO of LinkedIn, also had something to say about the second-quarter reports: “LinkedIn continued to deliver increased member and customer value in the second quarter while delivering solid financial results. We continued to invest in our long-term strategic roadmap and began integrating the acquisition of lynda.com that closed during the quarter,” he said to the press. All in all, it seems like the company is not awfully panicky about shares dropping. Now, what is Lynda? A website that might prove very helpful in terms of learning online gambling tricks, that’s for sure.
According to BidnessETC, Lynda is a “site that provides online courses and video tutorials.” LinkedIn bought it in April for USD 1.5 billion, paid in part cash, part stocks. As Forbes reports, Jeff Weiner and his company expects the new acquisition to generate at least an extra USD 90 million this year. Lynda brings 6,800 tutorials to the table and the CEO remains very optimistic: “We have already tested early integration efforts, and the results so far have exceeded our expectations. One promotional campaign delivered to LinkedIn members outperformed our expectations by 7x in generating new subscribers.” We impatiently await the third quarter reports.