Latest LinkedIn Statistics
LinkedIn CEO Jeff Weiner told listeners on an earnings call that growth is up with LinkedIn. The following latest LinkedIn statistics seem to suggest that he is correct:
- LinkedIn has 131 million members
- More than a million groups.
- More than 15 million people joined LinkedIn in the third quarter of 2011, which is an increase of 63% compared to the growth rate this time last year.
- Mobile pageviews are up by 400% year-over-year. In total, mobile accounts for 13% of LinkedIn’s unique visits.
- The LinkedIn Share button is also gaining traction and is now on 180,000 domains, up from 100,000 in the second quarter.
- There are now 40,000 developers using the LinkedIn APIs, an increase of 30% from the second quarter. http://mashable.com/2011/11/03/linkedin-numbers-q3-2011/
With these rosy numbers, you would assume that LinkedIn’s stock is soaring, however, it is not. LinkedIn‘s third-quarter revenues rose 126% to $139.5 million, but despite this increase, the company posted a net loss of 2 cents per share. Investors were unimpressed, sending the company’s stock price down 7% in after-hours trading.
LinkedIn CFO Steve Sordello said in a statement the company was happy with the revenue growth: “LinkedIn plans to maintain a long-term perspective with investment in our key strategic areas.” Despite the after-hours decline, the results beat analysts’s expectations of a loss of 4 cents a share and revenues of about $128 million. http://mashable.com/2011/11/03/linkedin-revenues-jump-126/
Latest LinkedIn Statistics | What is LinkedIn Doing?
Part of the reason for the struggle is their high multiple. You see, LinkedIn was trading at 12.1 times projected sales over the next year. This is an extremely high valuation and everything has to be perfect to keep that ratio. For example, Google is only trading at 5.4 of projected sales.
According to Bloomberg, LinkedIn is doing the following:
LinkedIn is increasing spending on research, sales and marketing, and office expansions to boost its global presence and attract more recent college graduates to the site. Operating costs more than doubled in the period to $134.9 million. The company also opened an office in Tokyo and acquired IndexTank to improve its search technology. The net loss of $1.6 million, or 2 cents a share, compares with a profit of $3.96 million, or 2 cents, a year earlier, the Mountain View, California-based company said yesterday in a statement after the markets closed. Revenue more than doubled to $139.5 million, topping the $127.4 million average of estimates compiled by Bloomberg. LinkedIn plans to raise as much as $500 million in the stock sale. About $100 million of shares will be sold by the company, with the rest coming from existing stockholders. http://www.businessweek.com/news/2011-11-04/linkedin-drops-the-most-in-three-months-after-loss-stock-sale.html