LinkedIn Business Highlights from Microsoft’s FY23 Q2 Earnings

Microsoft announced Q2 FY23 Earnings. Included in the report on the financial performance were the following LinkedIn highlights:

• People and companies continue to look to LinkedIn to connect, learn, sell, and get hired. In Q2, LinkedIn’s revenue increased 10% year-over-year (14% in constant currency)to $3.88 billion.
• We once again saw record engagement among our more than 900 million members. Three members are signing up every second. Over 80% of these members are from outside the US.
• And as members come to the platform to find and share professional knowledge and expertise, newsletter creation was up 10X year-over-year.
• Skills are the new currency, and people are increasingly investing in their skill-building to keep up with their changing roles and industries. We offer more than 20,000 courses in 11 languages.
• And companies are also turning to a skills-based approach, in place of degree or pedigree, to identify qualified talent, with more than 45% of hirers on LinkedIn explicitly using skills data to fill their roles.
• Finally, LinkedIn Marketing Solutions continues to be a leader in B2B digital advertising, helping companies deliver the right message, to the right audience, on a safe and trusted platform.

Revenue growth at LinkedIn is expected to slow to the mid-single digits in the third quarter. Microsoft cited a slowdown in hiring along with a decline in advertising spend, although LinkedIn continues to add members, CEO Satya Nadella said.

“We once again saw record engagement among our more than 900 million members,” Nadella said in the second-quarter earnings call with analysts. “Three members are signing up every second. Over 80% of these members are from outside the United States.”

Microsoft CFO Amy Hood said the slowdown in hiring affected the tech industry in particular.

“For LinkedIn, we expect mid-single digits revenue growth with continued strong engagement on the platform, although impacted by the advertising trends noted earlier and a slowdown in hiring, particularly in the technology industry where we have significant exposure,” Hood said.

You can see LinkedIn’s quarterly product highlights, releases and enhancements in the Q2 FY23 product list here. For more information, see the Q2 FY23 earnings release here.