LinkedIn Results Top Estimates

(RTTNews) - LinkedIn Corp. (LNKD), the world's largest online professional network, said Thursday after the markets closed that it swung to a second quarter loss, hurt by higher costs and expenses even as revenue surged 47%.

However, the company's quarterly earnings per share, excluding items, came in above analysts' expectations as did its quarterly revenue.

At the same time, the company forecast third quarter revenue above analysts' current consensus estimate and once again raised its full year 2014 revenue outlook.

"LinkedIn delivered strong financial results in the second quarter while maintaining investment in our member and customer offerings," said Jeff Weiner, CEO of LinkedIn. "We made significant progress against several key strategic priorities including increasing the scale of job opportunities on LinkedIn; expanding our professional publishing platform; and continuing the strategic shift towards content marketing through Sponsored Updates."

LinkedIn shares are currently gaining 7.48% in after hours trading after closing the day's regular trading session at $180.64, down $6.65 or 3.55%. The shares trade in a 52-week range of $136.02 to $257.56.

For the second quarter ended June 30, 2014, the Mountain View, California-based company reported a net loss of $1.0 million or $0.01 per share, compared to net income of $3.7 million or $0.03 per share for the year-ago quarter.

Excluding items, adjusted net income for the second quarter was $63.3 million or $0.51 per share, compared to $44.5 million or $0.38 per share in the prior year quarter.

On average, 34 analysts polled by Thomson Reuters expected the company to earn $0.39 per share for the second quarter. Analysts' estimates typically exclude special items.

Revenue for the second quarter rose 47% to $533.88 million from $363.66 million in the same quarter last year. Thirty-three analyst had a consensus revenue estimate of $510.98 million for the second quarter.

The company recorded strong revenue growth across all its three product categories. Second quarter revenues from talent solutions products jumped 49% to $322 million, while revenue from marketing solutions products surged 44% to $106 million and revenue from premium subscriptions products climbed 44% to $105 million.

U.S. revenue comprised 60% of the company's total revenue in the second quarter, while international revenue comprised the rest 40%.

Looking forward to the third quarter, the company forecast revenue of $543 million to $547 million and adjusted earnings of about $0.44 per share. Analyst currently expect the company to earn $0.40 per share on revenue of $540.86 million for the third quarter.

The company raised its full year 2014 revenue guidance to a range of $2.14 billion to $2.15 billion from its prior guidance of of $2.06 billion to $2.08 billion. The company also forecast full year 2014 adjusted earnings of about $1.80 per share. Analyst currently expect the company to earn $1.64 per share on revenue of $2.13 billion for the full year 2014.

The company has recently announced some acquisitions. Earlier this month, LinkedIn acquired Newsle, a web application that allows users to follow real news about their friends, contacts, and public figures. Terms of the deal were not disclosed. LinkedIn also said earlier this month that it has agreed to buy Bizo, a business audience marketing start-up, for $175 million.