Pinterest Earnings (PINS): Q1 2022

Pedestrians pass the Pinterest sign displayed outside the New York Stock Exchange.

Michele Nagel | Bloomberg | Getty Images

Pinterest skyrocketed in after-hour exchanges Wednesday after the social media company reported earnings for the first quarter of 2022 which exceeded analysts’ expectations.

The stock was up 11%.

Here’s how Pinterest did against Refinitiv’s consensus estimates:

  • EPS: 10 cents adjusted against 4 cents provided
  • Income: $ 575 million versus $ 573 million

Pinterest said it expects Q2 revenue to grow about 11% year-over-year.

Pinterest said its global monthly active users are down 9% from the same period a year ago to 433 million. Investors have expected 437.9 million total monthly active users, according to FactSet and StreetAccount. The company attributed the decline in large part to the growth of the pandemic in the quarter a year ago and the drop in search traffic, driven by the change in Google’s algorithm in November 2021.

Global average revenue per user was $ 1.33, up 28% from last year. Wall Street was expecting an ARPU of $ 1.31, according to preview from FactSet and StreetAccount.

Before the company released the report, Pinterest shares fell nearly 3% in trading on Wednesday. Investors have been nervous about macroeconomic conditions such as the war in Ukraine and supply chain problems which impacted some advertising activities. AppleIPhone privacy changes and inflation have also hampered some marketers.

competitor HurriedFor instance, said last week may continue to face a challenging operating environment that leads customers to suspend their campaigns or reduce advertising budgets. GoogleYouTube on Tuesday also reported disappointing advertising results. The company’s advertising revenue $ 6.87 billion followed on $ 7.51 billion expected on Wall Streetaccording to StreetAccount.

In his letter to shareholdersPinterest said the trends that led to its revenue growth “were offset by macro headwinds, including supply chain problems and other factors, which continued to affect one of our largest segments, CPG advertisers, as well. like some mid-range advertisers. “

“In Europe, Russia’s invasion of Ukraine has exacerbated a difficult macro environment, impacting many of our advertisers in that region,” the company added.

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