Home LinkedIn Posts First Ever Public Earnings Announcement

LinkedIn Posts First Ever Public Earnings Announcement

LinkedIn shared its Q2 earnings today in its first earnings announcement as a public company. Usage numbers are up significantly, with 115.8 million members, up 61% from Q2 2010, and 81.8 million monthly unique visitors, 83% more than last year.

Net revenue growth was not as strong, but CEO Jeff Weiner says this is due to heavy reinvestment in the growth and development of the site. LinkedIn earned $4.5 million in net income this quarter, compared to $4.3 million last year, just a 5% increase. But their top-line revenue was up considerably, more than doubling since Q2 2010. Before costs, they pulled in $121 million last quarter.

The earnings overview breaks down revenue among three essential products: premium subscriptions, marketing solutions and hiring solutions. Premium LinkedIn subscriptions, which give individual users access to more valuable information about activity in their professional networks, accounted for 20% of revenue, and this percentage has declined slightly for four quarters straight. Marketing solutions comprised 32% of earnings.

Hiring solutions became LinkedIn’s most profitable product in Q1 2010, and that lead has grown wider over time. They’re down 1% since last quarter, but hiring solutions still comprise 48% of LinkedIn’s overall revenue. Their announcement last week of LinkedIn-powered job applications should bolster LinkedIn’s position as a hiring solution.

LinkedIn’s Web traffic is great by any measure; it saw 7.1 billion page views in Q2, which is an 80% increase since 2010. But there seems to be a slight problem with sustained user engagement. The service boasts 115.8 million members now, but only 81.8 million people, 71% of members at the very most, visit the site once a month. Many of their newest initiatives seem aimed to address this issue.

This year’s launch of LinkedIn Today greatly expanded the amount of content available on the site and mobile apps, with news targeted by industry, and the company is constantly experimenting with new email formats and other engagement strategies. April’s launch of the LinkedIn Share Button has already reached 100,000 sites. And Jeff Weiner has been open about his desire for the site to implement a Yammer-like enterprise chat/collaboration feature.

LinkedIn’s next goal appears to be making the site and its services more indispensable to the workplace, both for job seekers and for the enterprise.

LinkedIn’s First Earnings Announcement Deck, Q2 2011

View more presentations from

LinkedIn

About ReadWrite’s Editorial Process

The ReadWrite Editorial policy involves closely monitoring the tech industry for major developments, new product launches, AI breakthroughs, video game releases and other newsworthy events. Editors assign relevant stories to staff writers or freelance contributors with expertise in each particular topic area. Before publication, articles go through a rigorous round of editing for accuracy, clarity, and to ensure adherence to ReadWrite's style guidelines.

Get the biggest tech headlines of the day delivered to your inbox

    By signing up, you agree to our Terms and Privacy Policy. Unsubscribe anytime.

    Tech News

    Explore the latest in tech with our Tech News. We cut through the noise for concise, relevant updates, keeping you informed about the rapidly evolving tech landscape with curated content that separates signal from noise.

    In-Depth Tech Stories

    Explore tech impact in In-Depth Stories. Narrative data journalism offers comprehensive analyses, revealing stories behind data. Understand industry trends for a deeper perspective on tech's intricate relationships with society.

    Expert Reviews

    Empower decisions with Expert Reviews, merging industry expertise and insightful analysis. Delve into tech intricacies, get the best deals, and stay ahead with our trustworthy guide to navigating the ever-changing tech market.