LinkedIn to buy SlideShare as profit more than doubles
AP(CBS/AP) MOUNTAIN VIEW, Calif. — LinkedIn Corp. (LNKD) said Thursday that its first-quarter profit more than doubled, and the business networking company is buying presentation sharing website SlideShare for $118.8 million.
Shares jumped 8 percent in extended trading.
Net income in the three months to March 31 was $5 million, or 4 cents per share, from $2.1 million, or break-even per share, a year ago.
Excluding stock-based compensation expenses and other items, profit was 15 cents per share, beating the 9 cents expected by analysts polled by FactSet.
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Revenue doubled to $188.5 million from $93.9 million, topping the $179 million analysts were looking for.
LinkedIn's revenue comes from fees it charges companies, recruiting services and other people who want broader access to the profiles and other data on the company's website. The rest comes from advertising. During the quarter, revenue grew across the company's divisions.
The Mountain View, Calif., company is buying San Francisco-based SlideShare with cash and stock and expects the deal to close by June.
"Presentations are one of the main ways in which professionals capture and share their experiences and knowledge, which in turn helps shape their professional identity," said LinkedIn CEO Jeff Weiner in a statement. He said SlideShare fits "perfectly" with LinkedIn's mission and will help deliver more value to its members.
LinkedIn said SlideShare had nearly 29 million visitors in March, citing data from research firm comScore.
Looking forward, LinkedIn said it expects second-quarter revenue of $210 million to $215 million, above the $208 million analysts had forecast.
For the full year, the company boosted its revenue estimate to a range between $880 million and $900 million, up from $840 million to $860 million seen previously. Analysts had estimated $876 million.
LinkedIn went public a year ago at $45 per share.
The stock added $8.98 to $118.39 after results were released. Shares had closed up $3.01, or 2.8 percent, to $109.41 during the regular trading day.
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