Ben Silbermann, co-founder and chief executive officer of Pinterest Inc., center, rings the opening bell on the floor on the New York Stock Exchange during the company’s initial public offering (IPO) in New York, on Thursday, April 18, 2019.
Michael Nagle | Bloomberg | Getty Images
Here’s what they reported:
- Adjusted earnings per share: 13 cents vs. 3 cents expected per Refinitiv
- Revenue: $443 million vs. $383.5 million per Refinitiv
- Monthly Active Users (MAUs): 442 million vs. 436.38 million per FactSet
Pinterest’s strong user growth was fueled by the adoption of international users. The company’s international MAUs was 343 million, up 46% year-over-year. The company said the release of iOS 14 also fueled user growth as approximately 4 million people used Pinterest “for inspiration for customized background filters.”
Pinterest reported that advertiser demand was broad during the third quarter as businesses have adopted to the post-Covid environment.
Additionally, the company said that it saw an increase in spend from advertisers that boycotted social media. That’s a reference to the StopHateForProfit Facebook ad boycott in which more than 1,000 advertisers paused ads on the social network during the month of July in boycott of the company’s hate speech and misinformation policies. This echoes a similar uptick by Snap, which reported its third-quarter earnings last week. Pinterest, however, warned that it is unclear “how sustainable this trend will be.”
The company also announced that it is expecting fourth-quarter revenue to grow about 60% year-over-year, but Pinterest cautioned that it is continuing to navigate uncertainty given the pandemic.