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LinkedIn Shares Soar on Quarterly Results (LNKD)

Shares of professional networking site, LinkedIn Corp. (NYSE: LNKD) have risen sharply in early trading today following the release of the company’s third-quarter financial results.

LNKD, which is the world’s largest professional network on the Internet with over 187 million members, reported revenue of $252 million for the third quarter ended September 30, 2012. The company’s third-quarter revenue rose an impressive 81% over the same period in the previous year.

The company’s revenue from Talent Solutions products was $138.7 million, representing an increase of 95% over the same period in the previous year. Talent Solutions revenue accounted for 55% of LNKD’s total revenue in the third quarter of 2012.

LNKD’s net income for the quarter was $2.3 million, compared to a net loss of $1.6 million reported for the same period in the previous year. Non-GAAP net income for the third quarter was $25.1 million, compared to $6.6 million reported for the same period in the previous year.

The company’s adjusted EBITDA for the quarter was $56 million, compared to $24.7 million reported for the same period in the previous year.

Jeff Weiner, CEO of LinkedIn, said that the company had a strong quarter with all of its key operating and financial metrics showing solid growth. Weiner further said that the last few months mark the most significant period of product development in LNDK’s history and this accelerated pace of innovation is fundamental to the company’s goal of driving greater engagement on the LinkedIn platform.

Steve Sordello, CFO of LinkedIn, noted that increased member activity led to sustained growth across the company’s Talent, Marketing and Premium product lines.

Looking ahead, the company expects revenue for the fourth quarter to be between $270 million and $275 million. Adjusted EBITDA for the fourth quarter is expected to be between $58 million and $60 million.

LinkedIn shares have risen sharply following the release of quarterly results. At last check, the stock was trading 4.25% higher at $111.39. Year-to-date, LNKD shares have gained more than 80%.

 


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