LinkedIn Reports Strong Earnings, But Predicts Slowing Revenue Growth

LinkedIn reported first-quarter revenue of $324.7 million, up nearly 75 percent over the first quarter of 2012, but the company’s guidance suggested that its revenue growth will cool, prompting stocks to fall after hours.

The company predicted revenue next quarter to be roughly $345 million and for the full year of 2013 of $1.45 billion. The annual revenue would represent 49 percent increase, down from an 86 percent increase between 2011 and 2012.

LinkedIn reported profit for the first quarter of $23 million, compared to $5.0 million for the first quarter of 2012.

The company saw 102 million unique visitors per month across mobile and desktop. Its newly launched Contacts app now has half a million users, the company said. With more than a third of the social network’s traffic coming from mobile devices, CEO Jeff Weiner noted that its early efforts to deliver sponsored posts through mobile apps have performed well but he declined to provide specific revenue numbers.

LinkedIn announced plans to bring control of its data centers back inside the company and to expand its physical footprint by 60 percent. It currently has 3,700 employees.

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