Xing: Increased business contacts bring record sales
Xing, the operator of the business networking platform, increased its membership by 53.6 percent to 6.53 million over the past twelve months. This helped the German networking platform operator achieve record revenue.
Xing, the operator of the network for business contacts, was able to increase its membership figures by 53.6 percent to 6.53 million within the last twelve months. This led to record sales: In the third quarter, Xing was able to increase its turnover by 86 percent to 9.18 million euros. In the same quarter of the previous year, revenue amounted to 4.94 million. Continued strong member and revenue growth and the high scalability of the business model led to the highest earnings before interest, taxes, depreciation and amortization (EBITDA margin) of the year at 40 percent, the German company wrote in a press release on Monday. Net profit doubled in the first nine months to 4.72 million euros.
Xing, which is listed on the stock exchange, is thus further expanding its position as Europe's professional online network. Xing recorded growth of 151,000 paying members in the first nine months of the year. As a result, the number of Premium Members exceeded 513,000 as of September 30, 2008. In the core business of Premium Memberships, revenue increased by 60 percent from 20.06 million euros. The number of direct connections - from members to other members - amounted to 110 million, which corresponds to an increase of 70 percent compared to the previous year.
According to Xing, the new business models introduced at the end of 2007 are already making a significant contribution to the increase in sales. In the e-commerce and advertising segment, the network operator achieved additional sales of 4.8 million euros for the first time.
The rapid rise in user numbers is partly due to the fact that since the beginning of the financial market crisis in summer 2007, more and more professionals have been networking online in order to find new business partnerships or to further their career planning, the Xing press release continued.
Xing, which is listed on the stock exchange, is thus further expanding its position as Europe's professional online network. Xing recorded growth of 151,000 paying members in the first nine months of the year. As a result, the number of Premium Members exceeded 513,000 as of September 30, 2008. In the core business of Premium Memberships, revenue increased by 60 percent from 20.06 million euros. The number of direct connections - from members to other members - amounted to 110 million, which corresponds to an increase of 70 percent compared to the previous year.
According to Xing, the new business models introduced at the end of 2007 are already making a significant contribution to the increase in sales. In the e-commerce and advertising segment, the network operator achieved additional sales of 4.8 million euros for the first time.
The rapid rise in user numbers is partly due to the fact that since the beginning of the financial market crisis in summer 2007, more and more professionals have been networking online in order to find new business partnerships or to further their career planning, the Xing press release continued.
