The photo-sharing social platform Pinterest recently announced the company’s third-quarter financial results for fiscal 2022. According to the report, Pinterest’s third-quarter revenue was $685 million, an increase of 8% compared with the $633 million in the same period last year; the net loss was $65.2 million, compared with a net profit of $94 million in the same period last year; GAAP adjusted net income was $76.5 million, compared with adjusted net income of $191 million a year earlier, down 60% year over year.
Main achievement:
In the quarter that ended Sept. 30, Pinterest posted a net loss of $65.2 million, or $0.10 per diluted share, a performance that was nowhere near the same as a year earlier. In the third quarter of fiscal 2021, Pinterest’s net income was $94 million, or $0.14 per diluted share.
Excluding certain one-time items (not in accordance with GAAP), Pinterest’s third-quarter adjusted net income was $76.5 million, compared to adjusted net income of $191 million in the year-ago quarter, down 60 percent year-over-year. %; Adjusted earnings per diluted share were $0.11, compared to $0.28 in the year-ago quarter, a sharp decline from the same period last year, but still better than analysts’ expectations. According to data provided by the Yahoo Finance website, 21 analysts had expected Pinterest to report adjusted earnings of $0.06 per share in the third quarter.
Pinterest’s third-quarter revenue was $685 million, up 8% from $633 million in the same period a year earlier and also beating analyst expectations. According to data provided by the Yahoo Finance website, 26 analysts had expected Pinterest’s third-quarter revenue to reach $666.71 million on average.
By region, Pinterest’s third-quarter revenue in the U.S. and Canada was $575 million, up 9% from $526 million in the same period last year; European revenue was $86 million, down from $89 million in the same period last year 4%; Rest of the World revenue was $24 million, up 36% from $17 million in the year-ago quarter.
Non-GAAP adjusted EBITDA, or net income before interest, taxes, depreciation and amortization, was $77.3 million in the third quarter, compared to adjusted EBITDA of $201 million in the year-ago quarter U.S. dollar, down 62% year over year; adjusted EBITDA margin was 11%, compared to 32% a year earlier.
Pinterest reported an operating loss of $69.4 million in the third quarter, compared with an operating profit of $98.4 million a year earlier.
Pinterest’s total costs and expenses in the third quarter were $754 million, compared with $534 million in the same period last year. Of which, cost of revenue was $183 million, compared to $127 million in the same period last year; research and development expenses were $255 million, compared to $186 million in the same period last year; and sales and marketing expenses were $230 million, compared to $230 million General and administrative expenses were $86.8 million, compared with $65.7 million in the same period last year.
In terms of operational metrics, Pinterest’s global monthly active users (MAU) in the third quarter were 445 million, a slight increase from 444 million in the same period last year. Among them, the number of monthly active users in the United States and Canada was 95 million, a decrease of 2% compared with 98 million in the same period last year; the number of monthly active users in Europe was 120 million, an increase from 119 million in the same period last year 1%; the rest of the world had 230 million monthly active users, up 1% from 228 million a year earlier.
Pinterest’s global average revenue per user (ARPU) in the third quarter was $1.56, up 11% from $1.41 a year earlier. Among them, the average revenue per user in the United States and Canada was $6.13, an increase of 15% compared with $5.32 in the same period last year; the average revenue per user in Europe was $0.72, a decrease of 3% compared with $0.74 in the same period last year; Average revenue per user in other regions was $0.11, up 38% from $0.08 a year earlier.
Performance Outlook:
Pinterest said it now expects revenue to grow in the mid-1% to 9% range year-over-year in the fourth quarter of fiscal 2022. According to Pinterest’s previously announced financial report, the company’s revenue in the fourth quarter of fiscal 2021 was $847 million. According to data provided by the Yahoo Finance website, 26 analysts had expected Pinterest’s fourth-quarter revenue to reach $884.57 million on average.
Pinterest also said it expects sequential growth in the company’s non-GAAP operating expenses to be in the low end of the 10% to 19% range in the fourth quarter of fiscal 2022. For the full fiscal year 2022, the company expects year-over-year growth in non-GAAP operating expenses to be around 35%.
