LinkedIn surprised Wall Street on Thursday, with better-than-expected first quarter results. Shares jumped about 5 percent in after-hours trading.
The company reported adjusted earnings per share of 74 cents, significantly higher than the expected 60 cents. Revenue for the quarter was $861 million, above the anticipated $828 million and a 35 percent year-over-year increase.
This was a much-needed boost for LinkedIn. The company’s last earnings report disappointed, sending the stock tumbling down as much as 40 percent.
“As a result of our new mobile experience, members are increasing their activity on LinkedIn, helping drive strong levels of engagement across the platform,” said CEO Jeff Weiner, in a statement.
In particular, the talent solutions recruiter product saw revenue increase 41 percent year-over-year to $558 million. Sponsored content or “marketing solutions” revenue was up 29 percent and premium subscriptions brought in 22 percent more in sales.
Cumulative members increased by 19 percent to 433 million, seeing the most added users since the beginning of 2014.
LinkedIn shares are down 53 percent in the past year and closed Thursday at $122.94. The company has a market cap of $16 billion.