Pinterest Recently Published Its Earnings Report For Q4 2020, Displaying Solid Growth For The Content Discovery Platform

Pinterest has recently published their Earnings report for Q4 of 2020, marking noticeable growth for the company throughout what was a tumultuous year for most individuals.

Pinterest, the image and video sharing social media service, meant to serve as a hobbyist's zeitgesit to any number of activities and endeavors such as reading, cooking or baking, art, film, the list goes on. Due to its massive online success, a matter we'll quickly delve into, there really is no limit to the myriad of topics and niches one can cover and contribute to using this simple app. While certainly not being a traditional social media app, the engagement over different hobbies and such scenarios as sharing recipes or notes on a particular post have carved the service a rather special corner of the internet to call home.

When speaking of revenue, 2020 has been an incredibly good year for the company, as Q4 2020 saw a year to year increase of over USD $300 million from Q4 2019. Of the $706 million earned in Q4-20, approximately $582 million was owing to revenue generated in the USA, while only $123 million was gained from international markets, still marking America as Pinterest's strongest marketplace. However, international shares have still seen a marked year to year end improvement, compared to the relatively meagre $50 out of $450 million in Q4-19. Overall, Q4 2020 saw a 76% global year to year growth, with a whopping 145% growth in international territory.

Surprisingly, despite the evidence touted by revenue streams, the increase in monthly active users tell a very different story about Pinterest's community. The international market dominated this category, as Q4 2020's 459 million monthly active users consisted of 361 million international users, and only 98 million users in the USA. Seeing a global year to year increase of 37%, from Q4 2019's 335 million active users, the number's still an impressive revamp, but Pinterest had better start quickly looking into monetization opportunities in its burgeoning international market.

Average revenue per user, as anyone could surmise at this point, is much higher in the US userbase as opposed to the international one. The USA generates $5.94 per user, as opposed to the tiny $0.35 per user in overseas territory. Clearly, Pinterest is having an easier time batting at home, even if they've got a surprisingly dedicated international fanbase. With a 29% year to year end growth to $1.57 from Q4-19's global $1.22 per user, still an impressive amount of growth!

Pinterest certainly gained a big boost in business due to the COVID-19 pandemic, which forced everyone indoors and eventually out of sheer boredom forced them to pursue new hobbies and vocations to escape the monotony of quarantine. Clearly, the platform utilized this moment to both cater to its userbase and make a killing in the process.

Read next: Pinterest’s New AR Tool for Trying on Virtual Makeup
Previous Post Next Post