LinkedIn's marketing revenue soars 111%
LinkedIn's marketing products generated $38.6 million in revenue for the second quarter, a 111% increase compared with the prior year, the company said Aug. 4. The segment delivered 32% of LinkedIn's total revenue for the quarter, which rose 120% year-over-year to $121.0 million.
LinkedIn's marketing products include display ads, company pages, whitepaper distribution, sponsorships, partner messages and custom groups.
“In the second quarter, we saw record levels of members, unique visitors, and page views, while revenue growth further accelerated,” Jeff Weiner, CEO of LinkedIn, said in an earnings statement. “Going forward, we plan to continue to invest in our team, technology, and products in order to increase the value we deliver to members and realize the full potential of the LinkedIn platform.”
LinkedIn also reported net income of $4.5 million for the quarter, ticking up 5% compared with the previous year. Earnings per share hit $0.04, beating analysts' estimates of $0.02. The company's spending on sales and marketing accelerated by 99% to $36.0 million.
LinkedIn's two other revenue segments, its hiring products and premium subscriptions, also experienced a revenue bump. The company's hiring products, such as job posting and recruiting tools, jumped by 170% year-over-year to $58.6 million; the product suite accounted for 48% of LinkedIn's total second-quarter revenue. Revenue from premium subscriptions rose to $23.9 million, up 60% from the prior year.
LinkedIn said its member base experienced 61% growth versus last year to include 115.8 million consumers as of the end of the second quarter. Weiner said during an earnings call that LinkedIn added more than 14 million new members during the quarter. The company's unique visitors and page views also grew to 81.8 million uniques per month and 7.1 page views for the quarter, year-over-year increases of 83% and 80%, respectively.
The second quarter is the first period for which LinkedIn had reported earnings since the company went public May 19.