Dive Brief:

• LinkedIn announced its Q2 earnings with a 33% percent in revenue at $712 million, but shares fell on the news amid concerns about the core business not growing.
• Mobile represents 52% of LinkedIn’s total traffic and is growing at double the rate of overall member activity.
• Marketing Solutions grew 32% to $140 million and continues to represent around 20% of sales.

Dive Insight:

LinkedIn released an overall favorable Q2 earnings report, but shares still fell on the news because some of that growth was attributed to an acquisition leaving investors questioning the social media platform’s core development. 

The report included news that mobile is an increasingly important channel for LinkedIn representing 52% of its total traffic and growing at double the rate of overall member activity. Among its Sponsored Updates, 80% comes from mobile. In overall Marketing Solutions news, that division grew 32% to $140 million and represents around 20% of sales, similar to last year’s number.

In prepared remarks on the Q2 report, Steve Sordello, CFO LinkedIn Corporation, said, “In Marketing Solutions, three dynamics are at play. First, Sponsored Updates remains strong and will soon become the majority of our business, powered in particular by the shift to mobile. Second, premium display continues to face headwinds in light of deteriorating secular trends. And third, with Lead Accelerator, we are taking a more focused approach in the second half, and believe this focus will maximize long-term success."

The stock was down nearly 10% at the start of trade Friday.