Facebook financials from 2011-2014 - Essay Example

Financial Results The above results suggest that the overall revenue of facebook is higher than that of Linkedin. In the year Facebook’s revenue increased by 55% 1whereas Linkedin’s revenue increased by 65% .2 During 2012, Facebook’s revenue increased by 37% whereas Linkedin’s revenue grew by 78%. Though the dollar value of Facebook’s revneue is higher than that of the linkedin however, the overall revenue growth of Linkedin remained higher against facebook. ProfitabilityIn 2013, Facebook’s profitability increased by 28% however it is also showing a dip of 26% in 2012 as compared to 2011.

On the other hand however, the profitability of Linkedin grew by 24% in 2013 and also registered a whopping growth of 81% in 2012. Profitability growth wise, the profitability of Linkedin is relatively better as compared to Facebook. However, 2013 comparision is relaitvely same as both the companies grew in almost in the same range of profitability.Stock PricesFacebook’s IPO was made in May 2012 therefore the stock prices for 2011 are not available however, for both 2012 and 2013, it is clear that LinkedIn stock prices are higher mostly due to its growth and improved profitability.

Though the overall user base of Facebook is much higher than LinkedIn however, the same has still not yet been translated into real success of Facebook in terms of the growth in stock prices of the firm.