LinkedIn revenue up 37% in fiscal Q2, ‘Great Reshuffle’ across the labor market

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Microsoft Corp. reported revenue at LinkedIn rose 37% year over year to $3.53 billion in the company’s fiscal second quarter ended Dec. 31, an increase of 36% as measured in constant currency. Microsoft noted that LinkedIn’s growth was driven by advertising demand in its marketing solution business, which increased 43% year over year, and by an improving job market in its talent solutions business.

Total revenue at Microsoft rose 20% to $51.73 billion in the quarter.

Staffing Industry Analysts ranks LinkedIn as the largest online job advertising firm based on 2020 revenue.

“We are experiencing a Great Reshuffle across the labor market, as more people in more places than ever rethink how, where, and why they work,” said Satya Nadella, chairman and CEO of LinkedIn parent company Microsoft Corp. in call with investors. “In this new economy, LinkedIn has become mission critical to connect creators with their communities, job seekers with employers, learners with skills, and sellers with buyers.”

Last quarter saw record engagement, and LinkedIn has become one of the world’s largest platforms for professional events, with more than 24,000 events created and 1.5 million RSVPs each week, according to Nadella.

“Confirmed hires were up 110% year over year, and we added tools to make it easier to discover open roles that align with how and where people want to work,” he said. “With entrepreneurship on the rise, our new Service Marketplace has helped nearly 3 million freelancers and small businesses discover new clients.”

Microsoft expects the strong job market and healthy engagement on the platform should drive revenue growth in the low-30% range in its fiscal third quarter.