LinkedIn (LNKD) Q1 Revenue Surges 101%; Shares Up 8%

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					Robert DeFrancesco’s
May 3, 2012

LinkedIn Shares Jump 8% on Q1 Revenue +101%
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LinkedIn (LNKD, $119.10 after hours) turned in a stellar Q1 and raised 2012
guidance, sending the shares up more than 8% in after-hours trading.

For the March quarter, revenue rose 100.7% year over year to $188.5 million, above
the consensus estimate of $178.6 million, and EPS of 15 cents topped the consensus
by six cents.

The company now has 161 million members, up 58% year over year and a gain of 16
million members since the end of 2011. Of the new Q1 members, about two thirds
came from outside the U.S. The company’s fastest growing markets are in Latin
America, APAC and Southern Europe. Overall, non-U.S. members account for 61% of
the installed base.

The mobile business is thriving, showing 275% growth year over year. Mobile
accounted for 22% of Q1 member visits, up from 8% in the year-ago quarter and
15% in Q4. LinkedIn’s launch of its iPad app last week exceeded the company’s
aggressive internal expectations for downloads.

The Hiring Solutions unit (54% of total revenue) saw 121% revenue growth.
LinkedIn ended the quarter with 10,400 enterprise customers, up 120% from a year
ago. The company in Q1 added about 1,200 new enterprise accounts after nearly
1,900 adds in an exceptionally strong Q4.

Marketing Solutions (26% of revenue) revenue rose 73%, while Premium
Subscriptions (20% of total) revenue growth accelerated (for the eighth quarter in a
row) to 91% from 87% in Q4. Premium subs are growing at 2X the rate of the
overall member base.
For Q2, LinkedIn sees revenue of $210 million to $215 million, above the consensus
of $207.9 million.

The new 2012 revenue guidance range: $880 million to $900 million, vs. previous
guidance of $840 million to $860 million and the consensus of $876.8 million.

The April 2012 issue of Tech-Stock Prospector is available at (subscription required), in the Amazon Kindle store (this
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Here are some of the topics covered in the April 2012 issue:

*Playing the tech IPO cycle
*5 promising new small caps
*Demandware powers e-commerce
*Yelp delivers the reviews
*Bazaarvoice analyzes the feedback
*ExactTarget hits the social media mark
*A former high-flyer comes back to earth
*Mobile-ad play Millennial Media
*ValueClick’s Greystripe purchase paying off
*Cloud buzz drives NetSuite shares
*Valuation update: & Concur
*Intel looks for growth in the Post-PC era
*EMC gets a boost from the cloud
*Tibco Software’s 5 key growth segments
*Behind the surge in Rackspace Hosting shares
*Cornerstone OnDemand emerges in talent management
*TSP Deal Report: Symantec buys Nukona & Odyssey

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Read the latest issue of Tech-Stock Prospector on your Amazon Kindle or your
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Tech-Stock Prospector Managing Editor Rob DeFrancesco has more than 20
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Description: Investors react positively to LinkedIn's Q1 results