SAN FRANCISCO (AP) — Online professional-networking service LinkedIn's fourth-quarter performance added another line to its sterling resume as a public company.
The results announced Thursday extended LinkedIn Corp.'s uninterrupted streak of exceeding analysts' projections for both earnings and revenue. It marked the seventh consecutive quarter since LinkedIn's May 2011 IPO that the company has pulled that off, to the delight of investors.
The run of pleasant surprises is one of the reasons that LinkedIn's stock has tripled from its initial public offering price of $45. The shares surged $11.71, or 9.4 percent, to $135.80 in extended trading after the numbers came out.
Besides a 66 percent increase in earnings from the previous year, the latest quarter was highlighted by an influx of 15 million accounts to propel LinkedIn's total membership beyond 200 million. Visitors to LinkedIn's website also viewed 67 percent more pages than the previous year, an indication that the company's efforts to add more business news and career tips from top business executives are paying off.
Wall Street's embrace of LinkedIn contrasts with the cold response given to other Internet services that have gone public during the past few years. Most of them are trading below their IPO prices. The most notable is Facebook Inc., whose stock is worth about 25 percent less than it was when it made its market debut in May.
Although both run websites devoted to connecting people with common interests, LinkedIn and Facebook are targeting different audiences. Facebook focuses mostly on letting friends and family share good times and swap stories, while LinkedIn concentrates on helping people advance their careers and helping companies fill jobs.
Facebook, which is based in Menlo Park, is the larger of the two services, with more than 1 billion active users and $5.1 billion in revenue last year. LinkedIn, which is based in Mountain View, Calif., has 202 million accountholders and revenue of $972 million in 2012.