LinkedIn 2012 Outlook: EBITDA vs. EPS (LNKD)

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By Jon C. Ogg Updated Published
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LinkedIn Corporation (NYSE: LNKD) is out with its year-end and fourth quarter earnings report.  The company earned $6.9 million or $0.12 per share on non-GAAP on sales of $167.7 million.  Thomson Reuters had non-GAAP estimates of $0.07 EPS and $159.72 million in sales. 

Hiring solutions sales were up 136% to $84.9 million, marketing solutions rose 77% to $49.5 million, and premium subscriptions were up 87% to $33.3 million of the total sales. U.S. revenue was $112 million, or about 67% of total revenues.

The company is putting its first quarter of 2012 sales at $170 to $175 million against estimates of $170.79 million.

For 2012, the social network for professionals is projecting $840 million to $860 million versus about $828.2 million expected.  It also sees full 2012 adjusted EBITDA of $155 million to $165 million (versus $98.7 million for 2011).

The headlines appear to have caused a head-fake.  The stock initially fell on the $0.06 EPS headline, but the shares are up over 4% at $79.87 currently in the after-hours.  Until we see more report data, we will hold off on casting a final verdict.

Since the IPO last summer it has traded in a range of $55.98 to $122.70.  It also claims more than 150 million users now.

JON C. OGG

Photo of Jon C. Ogg
About the Author Jon C. Ogg →

Jon Ogg has been a financial news analyst since 1997. Mr. Ogg set up one of the first audio squawk box services for traders called TTN, which he sold in 2003. He has previously worked as a licensed broker to some of the top U.S. and E.U. financial institutions, managed capital, and has raised private capital at the seed and venture stage. He has lived in Copenhagen, Denmark, as well as New York and Chicago, and he now lives in Houston, Texas. Jon received a Bachelor of Business Administration in finance at University of Houston in 1992. www.247wallst.com.

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