LinkedIn posted its Q3 2013 financial results, which is on track as expected by analysts; however, a weak outlook for Q4 2013 prompted the company's share prices to fall.
LinkedIn was launched in May 2003 and went public in May 2011 on NYSE. The price of LinkedIn IPO was $45, which closed at $94.25 (a rise of around 109 percent) on the first day of trading.
The website has millions of registered users worldwide and is available in 20 languages, including English, French, German, Italian, Portuguese, Spanish, Dutch, Swedish, Romanian, Russian and more.
The professional networking website made its earnings call for Q3 2013 on Tuesday, October 29. The company said it now has over 259 million members, which is a 38 percent rise from Q3 2012.
LinkedIn said that its revenue for Q3 2013 was $393 million, which is 56 percent higher when compared to the revenue of $252 million posted in Q3 2012. The company announced a profit of 39 cents a share.
Analysts predicted slightly lower revenue for the quarter. Some analysts expected the company to announce a revenue of $385 million, or profit of 32 cents per share.
"Increased member growth and engagement helped drive strong financial results in the third quarter," said Jeff Weiner, CEO of LinkedIn. "We continue to deliver value to professionals through investment in core products and strategic initiatives such as mobile, students, and the professional publishing platform."
The company also announced its outlook for the final quarter of the year, which is lower than expected by many analysts. LinkedIn expects revenue for Q4 2013 to be in the range of $415 million and $420 million. Analysts, on the other hand, were hoping the company to announce expected revenue of $438 million for the final quarter of the year. However, the company raised its full year revenue forecast for 2013 to $1.5 billion, which is in line with current market estimates.
LinkedIn shares dropped by around 3 percent to $240, in the after hours of trading following the company's earnings call on Tuesday.
