LinkedIn profit beats as hiring services, ads revenue jumps
By Devika Krishna Kumar
(Reuters) - LinkedIn Corp's LNKD.N quarterly revenue and profit handily beat analysts' estimates as the world's biggest professional networking website operator earned more from its recruitment services business and from advertisements and paid memberships.
Shares of the company, which also raised its full-year profit and revenue forecasts, jumped 12 percent in extended trading on Thursday.
LinkedIn has been spending heavily on expansion by buying up companies, hiring sales personnel and increasing its presence in China and other markets outside the United States.
Expanded offerings helped boost revenue from the company's Talents Solutions business, which connects recruiters and job seekers, by 46 percent in the third quarter. The business accounted for nearly two-thirds of LinkedIn's total revenue.
Revenue from advertisements on its website rose 28 percent, while paid membership income increased 21 percent.
LinkedIn, which operates in over 200 countries and territories, said the total number of members rose 20 percent to 396 million at the end of the third quarter.
The company said the number of its subscribers in China had more than tripled since early 2014, when it launched a local language version, to over 13 million currently.
LinkedIn also said 55 percent of its traffic was through mobile devices such as smartphones and tablets. Continued...