For the first time, LinkedIn has officially surpassed $10 billion in annual revenue, five years after Microsoft announced its decision to acquire the platform for more than $26 billion, the company reported on its recent fiscal report released on Tuesday.
Although Microsoft did not exactly reveal the number of the profits and losses made, officials did state that LinkedIn’s revenues were up by 46 percent in comparison to last year’s earnings.
Satya Nadella, executive chairman and CEO of Microsoft, described LinkedIn’s progress as “a testament to how mission-critical the platform has become to help people connect, learn, grow and get hired over the course of their careers.”
LinkedIn’s revenue performance is largely due to its ad-driven marketing solutions strategy. Brands are seeking to connect with business leaders instead of your average social media users, which has been clearly paying off based on the numbers achieved.
“Our results show that when we execute well and meet customers’ needs in differentiated ways in large and growing markets, we generate growth, as we’ve seen in our commercial cloud and in new franchises we’ve built, including gaming, security, and LinkedIn,” Nadella noted.
Overall, the money-making tech giant has witnessed a revenue increase of 21 percent year-on-year, adding another $46.2 billion to revenues.
In total, Microsoft has attained $168.1 billion in its full fiscal year revenues, highlighting its strength as the trailblazer of the global tech industry.
However, LinkedIn’s success story wasn’t always fruitful.
As a standalone company in 2015, the employment-oriented online service publicized its $165 million loss before Microsoft’s acquisition.
At the time, LinkedIn had around 430 million users, with the platform’s current user boast of 774 million users worldwide since Microsoft ‘s acquisition.
LinkedIn has become a one-stop shop for a business’s most important daily transactions. From helping employers hire the most fit individuals for the needed roles, to selling products and services in the most effective ways, the platform has successfully created economic opportunities for professionals in various fields.