LinkedIn Revenue Rises 46%; Firm Tempers Street Outlook

May 1 2014, 4:26pm CDT | by

LinkedIn reported a 46% jump in first quarter revenue, to $473 million, but higher expenses hurt earnings, while the company’s latest update of its overall 2014 outlook fell slightly short of analysts’ hopes. The professional-network company’s shares slipped about 3% in after-hours trading, after having climbed 5% earlier in the day, before the announcement.

In the latest quarter, LinkedIn revenue totaled $473.2 million. The company had a $13.4 million net loss attributable to common shareholders, compared to $22.6 million of net income in the year-earlier quarter. LinkedIn said its earnings before interest, taxes, depreciation and amortization (Ebitda) totaled $116.7 million, or 25% of revenue, in the latest quarter, versus 26% in the year-earlier quarter.

LinkedIn said it expects revenue of $500 million to $505 million in the current, second quarter, with Ebitda of $118 million to $120 million. While those numbers represent continued brisk growth, they raise the possibility that LinkedIn may fall slightly short of Wall Street analysts’ expectations.  Analysts surveyed by First Call have been predicting second quarter revenue of $505 million and Ebitda of $120 million.

For full-year 2014, LinkedIn now expects revenue of $2.06 billion to $2.08 billion, along with Ebitda of $505 million to $510 million. The First Call consensus has been for slightly stronger numbers: revenue of $2.11 billion and Ebitda of $514 million.

About an hour after LinkedIn’s results were released, shares were changing hand at $156.72 apiece. LinkedIn’s shares have skidded about 25% this year, amid concern that the company’s huge run-up last year was overdone. That compares with a 2% gain in the Standard & Poor’s 500-stock index.

 
 
 

<a href="/latest_stories/all/all/30" rel="author">Forbes</a>
Forbes is among the most trusted resources for the world's business and investment leaders, providing them the uncompromising commentary, concise analysis, relevant tools and real-time reporting they need to succeed at work, profit from investing and have fun with the rewards of winning.

 

blog comments powered by Disqus

Latest stories

Tag Heuer sings Marketing Deal with German Bundesliga
Tag Heuer sings Marketing Deal with German Bundesliga
Swiss Luxury watch brand Tag Heuer and the German Bundesliga signed a marketing deal.One of the world's most powerful football leagues was given an enormous boost by Germany's victory in the World Cup. Bundesliga...
 
 
18 Amazon Dash Buttons Released
18 Amazon Dash Buttons Released
The unique Amazon Dash Buttons are on sale now for Prime Members.
 
 
Yahoo Releases Livetext Video Texting App
Yahoo Releases Livetext Video Texting App
The app shares videos, pictures and texts with friends without sound and can rival Whatsapp and Snapchat.
 
 
United Airlines Also Hacked by OPM Hackers
United Airlines Also Hacked by OPM Hackers
The hackers previously breached the U.S. Office of Personnel Management and collected massive data.