NYSE$PINS

Pinterest Inc · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Pinterest's Q1 revenue grew by 18% year-over-year, driven by strength in retail advertisers, international business, and managed SMB advertisers, but global MAUs decreased by 9% year-over-year due to lapping of pandemic-influenced growth and lower traffic from search.

Pinterest's Q1 2022 results showed revenue growth of 18% year-over-year to $575 million, driven by retail advertisers, international business, and managed SMB advertisers. However, global MAUs decreased by 9% year-over-year to 433 million, primarily due to lapping pandemic-influenced growth and lower search traffic. The company reported a GAAP net loss of $5 million and an Adjusted EBITDA of $77 million.

  • Q1 revenue grew 18% year over year to $575 million, driven by retail advertisers, international business, and managed SMB advertisers.
  • Global MAUs decreased 9% year over year to 433 million, primarily due to lapping pandemic-influenced growth and lower search traffic.
  • GAAP net loss was $5 million for Q1, compared to a net loss of $22 million in the year-ago quarter.
  • Adjusted EBITDA was $77 million for Q1.

Headline financials

Total Revenue

$575M

Previous: $485M+18.5%
EPS (adj)

$0.10

Previous: $0.11-9.1%
Global MAUs

433.0M

Previous: 478.0M-9.4%
U.S. and Canada MAUs

94.0M

Previous: 98.0M-4.1%
Europe MAUs

120.0M

Previous: 380.0M-68.4%
Rest of World MAUs

220.0M

No prior period
Global ARPU

$1.33

Previous: $1.04+27.9%
U.S. and Canada ARPU

$4.98

Previous: $3.99+24.8%
Europe ARPU

$0.72

Previous: $0.26+176.9%
Rest of World ARPU

$0.08

No prior period
Free Cash Flow

-$5.28M

Previous: -$21.7M+75.6%
Net Income

-$5.28M

Previous: -$21.7M+75.6%
Operating Income

-$3.67M

Previous: -$22.9M+84.0%
Gross Profit

$429M

Previous: $352M+21.9%
Cash & Equivalents

$1.68B

Previous: $914M+84.3%
Total Assets

$3.56B

Previous: $2.69B+32.2%
Stock-Based Comp

$73.2M

Previous: $79.5M-7.8%

Revenue & EPS history

Pinterest · Revenue · Quarterly

$575M

Q1 2022+18.5%vs Q1 2021
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Forward guidance

Pinterest expects Q2 revenue to grow around 11% year over year and non-GAAP operating expenses to grow around 10% quarter-over-quarter. For the full year, the company expects non-GAAP operating expenses will grow between 35-40% year-over-year.

Tailwinds

  • Scaling native content ecosystem with emphasis on video and Idea Pins.
  • Improving core search and recommendations to enhance user experience.
  • Enhancing shopping experience to make it more personalized.
  • Providing value for advertisers through new tools and partnerships.
  • Investing in machine learning to improve ad marketplace efficiency.

Headwinds

  • Continued year-over-year engagement declines due to pandemic-influenced growth in the year-ago quarter and lower search traffic.
  • Time spent on competitive video-centric consumer platforms remains a headwind, particularly in mature markets.
  • Decline in global MAUs from February 1, 2022 to March 31, 2022 was primarily due to Russia's recent invasion of Ukraine.
  • Macro headwinds, including supply chain issues, continue to impact CPG and some mid-market advertisers.
  • Russia’s invasion of Ukraine compounded a difficult macro environment, impacting many advertisers in Europe.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2022

Historical avgQ1 2022

+1.0%

Avg return

Earnings day

+0.7%

Avg return

5 days after

+0.4%

Avg return

30 days after

46%

13 / 28 earnings

Positive

+43.2%

Q2 2020

Best reaction

-23.2%

Q2 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.4%+2.2%+3.8%
Q4 2025-16.8%-11.7%-1.9%
Q3 2025-21.8%-17.9%-18.7%
Q1 2025+4.6%+18.1%+22.8%
Q4 2024+19.1%+16.4%+2.1%
Q3 2024-13.6%-9.2%-4.4%
Q2 2024-14.5%-22.1%-16.5%
Q1 2024+19.8%+19.6%+22.5%
Q4 2023-9.7%-12.5%-14.5%
Q3 2023+22.7%+27.0%+36.6%
Q2 2023-3.9%-8.0%-5.2%
Q1 2023-13.6%-19.7%-8.9%
Q4 2022-3.7%-9.6%-6.3%
Q3 2022+13.0%+9.8%+13.4%
Q2 2022+14.5%+15.8%+18.3%
Q1 2022+10.3%+15.3%+6.4%
Q4 2021-0.3%-2.4%-11.5%
Q3 2021+3.4%+4.4%-19.8%
Q2 2021-23.2%-21.7%-25.3%
Q1 2021-13.6%-13.5%-16.2%
Q4 2020+6.2%+2.9%-11.7%
Q3 2020+19.0%+11.2%+32.7%
Q2 2020+43.2%+42.4%+40.3%
Q1 2020-17.3%-7.7%-1.1%
Q4 2019+15.0%+9.7%-15.5%
Q3 2019-19.5%-21.0%-24.8%
Q2 2019+15.8%+12.7%+18.7%
Q1 2019-6.7%-11.2%-4.3%
Q3 2018
Q2 2018
Q1 2018
Q4 2017

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro