LinkedIn’s Q4 Earnings Beat Analysts’ Expectations In Shares !!
The B2B social networking site, LinkedIn’s Q4 earnings 2012 report has been released this week.
Net income increased to 60% to $11.5 million, up $6.9 million from 2011. Excluding products, the company earned 35 cents a share, compared with 12 cents a share in 2011.
But analysts had expected earnings excluding items, 19 cents a share on $280 million in revenue and earnings per share of $0.19.
Revenue is up 81% from last year 2011. GAAP earnings per share were 10 cents. Non-GAAP net income soared from $13.3 million to $40.2 million, comparing Q4 earnings of 2011 and 2012. Adjusted EBITDA was 78.6 million, beating consensus at $62.6 million.
Before its earnings were reported, the company was worth $13.3 billion. In its most recent sequential quarter, LinkedIn bested both top and bottom line expectations, reporting revenue of $252 million and earnings per share of $0.22.
International revenue is key for LinkedIn, as roughly 66% of its userbase is not from its home market, and gains only about 33% of its total revenues from those users abroad.
By geographic area, revenue from the U.S. was $189.0 million, 62% of total revenue in the fourth quarter. while, Asia Pacific contributed $24.64 million, 8% of total share.
Coming to Revenue, Talent Solutions added up $161.0 million, up 90% from 2011, and represented 53% of total revenue compared to 51% a year ago.
Marketing Solutions added up to $83.2 million, up 68% from 2011, and represented 27% of total revenue compared to 30% a year ago.
Premium Subscriptions generated $59.4 million, up 79% from a year ago, representing 20% of total revenue and flat from a year ago.
In terms of guidance, revenue is projected at $305 million to $310 million, and adjusted EBITDA is projected at $67 million to $69 million.
In its previous Q3 2012 earnings, LinkedIn posted adjusted earnings per share of 22 cents on revenue of $252.0 million. LinkedIn was expected to post earnings of 11 cents per share on revenue of $243.9 million.
For the full calendar year of 2012, LinkedIn had $972.3 million in revenue, and non-GAAP earnings per share of $0.89.
For the full year of 2013, revenue is projected at $1.41 billion to $1.44 billion and adjusted EBITDA was expected to be $315 million to $330 million. and, for the first quarter of 2013, LinkedIn anticipates revenue of $305 million to $310 million and EBITDA of around $60 million.
LinkedIn, which recently crossed 200 million members, is one of the few recent Internet IPOs to perform strongly after its public listing. Despite, the IPO debacles of companies like Zynga, Groupon and to some extent Facebook, the stock performance is up 55% in previous year alone and every time in the past when the company report earnings, Stock jump around 4% to 5% on average following that report.