Have you evaluated the performance of Pinterest's (PINS Quick QuotePINS - Free Report) international operations during the quarter that concluded in March 2025? Considering the extensive worldwide presence of this digital pinboard and shopping tool company, analyzing the patterns in international revenues is crucial for understanding its financial resilience and potential for growth.

In today's increasingly interconnected global economy, a company's ability to tap into international markets can be a pivotal factor in shaping its overall financial health and growth trajectory. For investors, understanding a company's reliance on overseas markets has become increasingly crucial, as it offers insights into the company's sustainability of earnings, ability to tap into diverse economic cycles and overall growth potential.

Being present in foreign markets serves as protection against local economic declines and helps benefit from more rapidly expanding economies. Yet, such expansion also introduces challenges related to currency fluctuations, geopolitical uncertainties and varied market behaviors.

Our review of PINS' last quarterly performance uncovered some notable trends in the revenue contributions from its international markets, which are commonly analyzed and tracked by Wall Street experts.

The company's total revenue for the quarter amounted to $854.99 million, marking an increase of 15.5% from the year-ago quarter. We will next turn our attention to dissecting PINS' international revenue to get a clearer picture of how significant its operations are outside its main base.

A Dive into PINS' International Revenue Trends

Rest of World generated $45 million in revenues for the company in the last quarter, constituting 5.26% of the total. This represented a surprise of -3.97% compared to the $46.86 million projected by Wall Street analysts. Comparatively, in the previous quarter, Rest of World accounted for $58 million (5.03%), and in the year-ago quarter, it contributed $30 million (4.05%) to the total revenue.

During the quarter, Europe contributed $147 million in revenue, making up 17.19% of the total revenue. When compared to the consensus estimate of $140.72 million, this meant a surprise of +4.46%. Looking back, Europe contributed $196 million, or 16.98%, in the previous quarter, and $118 million, or 15.95%, in the same quarter of the previous year.

Revenue Projections for Overseas Markets

For the current fiscal quarter, it is anticipated by Wall Street analysts that Pinterest will report a total revenue of $972.73 million, which reflects an increase of 14% from the same quarter in the previous year. The revenue contributions are expected to be 5.7% from Rest of World ($54.92 million) and 16.7% from Europe ($161.98 million).

For the full year, the company is projected to achieve a total revenue of $4.13 billion, which signifies a rise of 13.4% from the last year. The share of this revenue from various regions is expected to be: Rest of World at 5.8% ($240.01 million) and Europe at 16.5% ($682.22 million).

Wrapping Up

Pinterest's reliance on international markets for revenues offers both opportunities and risks. Hence, keeping an eye on its international revenue trends could significantly help forecast the company's prospects.

With the increasing intricacies of global interdependence and geopolitical strife, Wall Street analysts meticulously observe these patterns, especially for companies with an international footprint, to tweak their forecasts of earnings. Importantly, several additional factors, such as a company's domestic market status, also impact these earnings forecasts.

Emphasizing a company's shifting earnings prospects is a key aspect of our approach at Zacks, especially since research has proven its substantial influence on a stock's price in the short run. This correlation is positively aligned, meaning that improved earnings projections tend to boost the stock's price.

Boasting a remarkable track record that's been externally verified, the Zacks Rank, our unique stock rating system, leverages changes in earnings projections to function as a reliable gauge for predicting short-term stock price movements.

At present, Pinterest holds a Zacks Rank #3 (Hold). This ranking implies that its near-term performance might mirror the overall market movement. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Pinterest's Recent Stock Market Performance

Over the past month, the stock has gained 27% versus the Zacks S&P 500 composite's 9.1% increase. The Zacks Computer and Technology sector, of which Pinterest is a part, has risen 11.9% over the same period. The company's shares have declined 15.5% over the past three months compared to the S&P 500's 3.1% decline. Over the same period, the sector has declined 6.8%.