Pinterest reports strong revenue growth thanks to holidays, pandemic lockdowns

A banner for the uncover image board Pinterest Inc. hangs from the Unusual York Stock Replace on the morning that Pinterest makes its initial public offering on April 18, 2019.

Spencer Platt | Getty Photography

Pinterest reported fourth quarter financial results Thursday that beat on both the pinnacle and bottom lines and confirmed real individual verbalize.

The company’s stock jumped extra than 10% in after hours trading.

Here are the first numbers:

  • Earnings per share: 43 cents vs. 32 cents expected in a Refinitiv glance of analysts
  • Earnings: $706 million vs. $645.6 million expected by Refinitiv
  • Month-to-month Lively Users (MAUs): 459 million vs. 449.4 million expected in a FactSet glance
  • ARPU: $1.57 vs. $1.44 per Factset

The company’s complete U.S. income jumped 67% year over year, to $582 million. Its world income became once up 145% year over year, to $123 million. Pinterest mentioned the desire enhance in both teams uncover been driven by a verbalize in ARPU. Pinterest mentioned that its U.S. MAUs came in at 98 million, an develop of 11% year over year. The company’s world individual nefarious also persevered to impulsively amplify, up 46% to 361 million.

The company mentioned in its letter to patrons that it persevered to mediate customers uncover with its app amid the ongoing Covid-19 pandemic that is left of us at dwelling and searching entertainment. Pinterest mentioned that its income verbalize became once largely driven by an earlier and sustained vacation season and product enhancements in marketing. Pinterest added that its procuring ad income grew faster than its overall replace, and it noticed a 6 times develop within the different of companies that gentle its procuring ads format. 

“Our investments in ad instruments and sales coverage persevered to repay, especially all over a real vacation season. Promoting set a question to became once healthy all over diversified advertiser sizes and verticals, with Retail set a question to further building off last quarter’s recovery,” the corporate mentioned in its record.

Pinterest mentioned it continues to mediate real ad momentum in its world markets.

“Worldwide income extra than doubled in Q4 from the prior year, speaking to how important Pinterest has become to advertisers reaching a worldwide viewers of Pinners. And we’re lawful getting started right here: in 2021, we conception to amplify our presence in present world markets and are enraged to enter recent geographies in Latin The US within the first half of the year,” the corporate mentioned.

Analysts expected the social media company to put up a real quarter, pointing toward last week’s earnings from Facebook, which benefited in 2020 by a shift toward online commerce and products all around the pandemic.

The company also gave greater first quarter 2021 guidance than expected. Pinterest mentioned it expects income to grow within the low 70% vary year over year. 

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