LinkedIn posts massive rise in revenues
LinkedIn the business-networking site has reported a 120% rise in revenues between April and June.
According to the BBC, the revenues from the sites first period as a publicly traded company reached $121 million (£74 million), while profits rose from $4.3 million from $4.3 million last year.
LinkedIn is the first social networking site to go public, and its success could indicate that we are about to enter a ‘social media tech bubble’.
On the first day of trading, LinkedIn’s share prices more than doubled, and now the value of a share in the company sis at around $95 per share.
LinkedIn has also seen a massive surge in membership over the last quarter, with a 61% increase on the same period in 2010 to 115.8 million. This amounts to two new members every second.
While LinkedIn’s profits are better than expected for the quarter, the company has warned that it will not see profits over the year as a whole due to aggressive investment plans.