LinkedIn Files Registration Statement with SEC for Initial Public Offering (IPO)

LinkedIn Corporation has filed a registration statement with the Securities and Exchange Commission for a proposed initial public offering of its Class A common stock. The number of shares to be offered and the price range for the offering haven't yet been determined. A portion of the shares will be issued and sold by LinkedIn, […]

LinkedIn Corporation has filed a registration statement with the Securities and Exchange Commission for a proposed initial public offering of its Class A common stock. The number of shares to be offered and the price range for the offering haven't yet been determined. A portion of the shares will be issued and sold by LinkedIn, and a portion will be sold by certain stockholders of LinkedIn.

These securities mayn't be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective.

In terms of revenue, during the nine months ended Sep'30, 2010, LinkedIn's net revenue doubled to $161 million from $80.6 during the same period in 2009. Net income for the first nine months of 2010 came in at $10 million.

According to the filing, 41% of 2010 revenue came hiring solutions ($65.9 million), 32% from marketing ($51.4 million); and 27% came from premium subscriptions ($44.1 million). Net revenue from LinkedIn's hiring solutions products increased $42.2 million, or 178% from 2009 to 2010.

Other interesting things to note from the filing:

"We expect our revenue growth rate to decline, and as we continue to invest for future growth, we don't expect to be profitable on a GAAP basis in 2011."

"The number of our registered members is higher than the number of actual members, and a substantial majority of our page views are generated by a minority of our members… If the number of our actual members doesn't meet our expectations or we're unable to increase the breadth and frequency of our visiting members, then our business mayn't grow as fast as we expect, which'll harm our operating and financial results and may cause our stock price to decline."

[tags]ipo,sec,registration,stock market,shares,stockholders,professional network[/tags]

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