Irish division of LinkedIn posts losses of €3.4m
The Irish unit of LinkedIn, the online business social network that has its international HQ in Dublin, posted losses of $4.8m (€3.4m) in the period from November 2009 to the end of December as it established the operation here.
Revenue at the division was $43m (€30.3m), according to the first set of accounts filed by the business here.
The accounts note that LinkedIn Ireland generates its revenue from enterprises and professional organisations by selling its hiring and marketing solutions, both online and offline, through field agents. It also receives revenue from the sales of job adverts on its website and the sale of premium subscriptions to members.
The establishment of the LinkedIn HQ in Ireland was a major coup for the IDA when it was announced last year. The company recently floated on the stock exchange in the United States with shares priced at $45. Yesterday they were trading at $106, valuing the company at over $10bn (€7bn).
Directors for LinkedIn Ireland note that the unit's revenues were expected to rise during 2011 and that the company will continue to expand its operations here to support the growth.
The cost of its sales in the reporting period was $17.1m, while administrative costs totalled $30.5m.
The 11 people employed at LinkedIn Ireland at the end of December 2010 had been paid a combined $1.01m during the period.
In the same accounting period, LinkedIn Ireland also received a capital contributions amounting to $9.7m from the parent LinkedIn corporation in the United States.
Last March, the company announced that it intended hiring 100 people for its Irish base.