Pinterest's Monthly Active User Count Increases to a Whopping 291 million, Despite of a Significant Shares Plunge

When Pinterest’s Q1 2019 reports were released, it was revealed that it had plunged around 19 percent. However, it managed to cover up some of the losses soon after and took the loss from 19 percent to 15 percent. According to the reports, the Loss per share (barring a few exceptions) was 32 cents and the total Revenue was $201.9 million.

The reports were quite different from what the Analysts at Refinitiv had estimated, both in terms of loss per share and the company’s net loss. The difference was mainly due to the fact that the analysts missed out on some key factors and used wrong numbers of outstanding shares at certain points to arrive at a conclusion.

Pinterest shared a revenue guide for 2019 of $1.06 billion to $1.08 billion, making it the first time the company would generate over a billion dollars in revenue during a calendar year. Factor in the Adjusted EBITDA, the loss would range from $45 million to $75 million.

Now coming to the positives of the report, there was a 22% increase in million global monthly active users (MAUs) in this quarter i.e. 291 million as compared to 2018’s first quarter’s 239 million. Also a 26% growth in Global Average Revenue per User (ARPU) was observed i.e. 73 cents as compared to 58 cents generated in Q1 of 2018.

Pinterest performed exceptionally well in international markets with the revenue experiencing an increase of 114% (from $7 million in 2018’s Q1 to $15 million in the last quarter) whereas the growth in US was just 51%. Also, the International MAUs grew from 160 million from last year’s Q1 to 206 million in the last quarter whereas the US MAUs increased by just 6%.

According to CFO Todd Morgenfeld, Pinterest plans on expanding in Europe due to the service’s popularity in English-speaking countries. The company also opened in six new markets during the last few months, making it available in 13 countries, as of today.

Pinterest has also won the trust of advertisers with time, thanks to the new self-service tool. Although this will not play a big factor in the company’s success in the coming months, it has the potential to be a game changer in the long run.

Morgenfeld also said that Pinterest wants users to stay on the platform for longer than the average time spent per user, or at least tempt them to return soon. Currently, the users leave the platform as soon as their purpose of tuning in gets fulfilled.

Photo: Pinterest Press

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