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LinkedIn revenue up 10%, though weaker hiring has impact

April 26, 2024

Revenue at LinkedIn rose 10%, though a weaker hiring environment is having an impact. The information came as parent company Microsoft Corp. (NASDAQ: MSFT) reported earnings on April 25 for its fiscal third quarter ended March 31.

“LinkedIn revenue increased 10% and 9% in constant currency, ahead of expectations driven by slightly better than expected performance in our Premium Subscriptions and Talent Solutions businesses,” Executive VP and CFO Amy Hood said in a conference call with analysts. “However, in Talent Solutions, bookings growth continues to be impacted by the weaker hiring environment in key verticals.”

Still, growth across LinkedIn’s business lines and LinkedIn sessions grew by 11%.

For the fiscal fourth quarter, Microsoft expects LinkedIn revenue to grow in the mid to high single digits driven by growth across its businesses. However, continued moderation in bookings growth is a headwind.

Microsoft Chairman and CEO Satya Nadella also noted LinkedIn is taking advantage of AI to change how its members learn, sell and get hired.

“Features like LinkedIn AI-assisted messages are seeing a 40% higher acceptance rate and are accepted over 10% faster by job seekers, saving hirers time and making it easier to connect them to candidates,” Nadella said in a conference call with analysts. “Our AI-powered collaborative articles, which have reached over 12 million contributions, are helping increase engagement on the platform, which reached a new record this quarter.”

Total revenue at Microsoft was up 17% (17% in constant currency as well) to $61.9 billion.