Business-focused social network, LinkedIn, has revealed its first quarter financial performance for 2013. The report shows the company had a total of revenue of $324.7 million for the period, beating out expectations from analyst firms.
The company reported non-GAAP earnings per share of $0.45, as compared to expectations of $0.31 earnings on revenue of $318 million. In addition, LinkedIn’s net income was $22.6 million for the first quarter on a GAAP basis and $52.4 million on a non-GAAP basis.
The company climbed to more than 2% in normal trading but went down sharply in after-hours trading. Also, the site’s user base stands at a reported 225 million, with 38% of its total top line in the first quarter coming from its international revenue.
LinkedIn’s Premium Subscription product brought a revenue of $65.6 million, showing a modest growth for the firm from $59.4 million in its sequentially previous quarter.
Investors are expecting rapid growth for the very richly valued company. Estimates peg LInkedIn’s 2013 revenue at around $1.5 billion depending on market conditions and corporate performance.
LinkedIn is currently off 9%, likely due to its predicted second quarter top line earnings of $342 to $347 million. Investors expected around $360 million. The gap between investors’ expectations and its forecasted second quarter revenue may indicate that the company’s growth is slowing, raising questions about its high valuation.