Pinterest (PINS) earnings: Q1 2022
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A pedestrian passes in front of the Pinterest signs outside New York Stock Exchange.
Michael Nagle | Bloomberg | Getty Images
PinterestFollowing Wednesday’s report from the social media firm, shares rose in trading after hours first quarter 2022 earningsAnalyst expectations were exceeded by this result.
The stock rose by as much as 11%
Here’s how Pinterest did versus Refinitiv consensus estimates:
- EPS: 10 cents adjusted vs 4 cents expected
- Revenue: $575 million vs $573 million
Pinterest claimed that its second quarter revenues will grow by approximately 11% annually.
Pinterest announced that it saw a 9% decrease in global monthly active users compared with the year before, to 433,000,000. According to StreetAccount and FactSet, investors expected 437.9 millions monthly active users. Pandemic growth over the past year and lower search traffic due to Google’s algorithm changes in November 2021, were the main reasons for the drop in users.
The global average revenue per user was $1.33. This is 28% more than last year. Wall Street was expecting an ARPU value of $1.31 according to StreetAccount’s preview and FactSet.
Pinterest stock dropped nearly 3% on Wednesday trading before the company published the report. The macroeconomic environment, such as Ukraine’s war and issues with supply chains that may have affected some advertising companies have caused investors to be nervous. AppleMarketers have faced difficulties due to the iPhone inflation changes, as well as privacy concerns.
Competitor SnapFor instance, said last weekThe company could still face challenging operating conditions that force customers to stop their campaigns and reduce their advertising budgets. GoogleAlso, Tuesday’s YouTube report also included disappointing ad results. Revenue from advertising for the company is The trailing figure was $6.87 billion $7.51 billion Wall Street expectedAccording to StreetAccount, it is.
It is available in its shareholder letterPinterest claimed that its trends for revenue growth were offset by “macro headwinds”, including supply chain issues, and other factors. These continued to affect one of our largest segments: CPG advertisers as well as mid-market marketers.
According to the copmany, “In Europe Russia’s invasion Ukraine compounded an extremely difficult macroenvironment that affected many of our advertisers there.”
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