Professional networking giant, LinkedIn Corp. (NYSE:LNKD), soared to record highs as Wall Street remained buoyed by the company’s stellar fourth quarter earnings although they came with a below-consensus outlook. During an interview on CNBC’s LinkedIn Asia Pacific and Japan MD, Hari Krishnan, attributed the stellar results to the company’s focus on international markets that continues to provide more synergies for growth.
It was an impressive quarter for LinkedIn Corp. (NYSE:LNKD) seen by the addition of 3,000 new customers to the hiring business in the quarter as the company seeks to achieve more gains on its active user’s front. Asia remains a key market for the giant networking company according to Krishnan, which should provide more synergies for growth going forward.
“Our focus has been on growing our business globally we are a global professional network and when we think about our business and our customer base, it has also been global for many years. In Asia specifically in Q4 we had over $54 million dollars’ worth of revenue growing about 57% year on year,” said Mr. Krishnan.
LinkedIn Corp. (NYSE:LNKD)’s revenues for the quarter came in at $643 million against analyst estimates of $617 million as the company continues to remain dominant on the social networking front for professionals. The company ended the fourth quarter with 347 million members 15 million more than the previous quarter with the biggest headline being mobile usage accounting for 49% of unique visitors.
Monetization of the unique visitors remains key if LinkedIn Corp. (NYSE:LNKD) is to continue toppling earnings estimates going forward.
“When it comes to monetization I mentioned multiple revenue streams and today our premium job postings are available on the mobile platform. We have an app for pulse, which is content consumption and so for marketing solutions as well. […] Premium subscriptions can also avail a premium experience on a mobile platform. So we actually monetize our mobile platform,” said Mr. Krishnan.
Product improvement is a key front that LinkedIn Corp. (NYSE:LNKD) will have to work on going forward, if it’s to continue enjoying the huge user base that has been at its disposal over the years. The fact that one cannot opt out of the premium subscription service is one of the fronts that the company will have to work on especially on the growing users concerns.
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