Pinterest (PINS - Free Report) reported third-quarter 2019 non-GAAP earnings of 1 cent per share against the Zacks Consensus Estimate of a loss of 5 cents per share.
The company had reported a loss of 12 cents in the year-ago quarter.
Revenues surged 47.1% year over year to $279.7 million. Revenues from the United States jumped 38.7% to $251 million. International revenues soared 211.1% year over year to $28 million.
The Zacks Consensus Estimate for revenues was pegged at $271 million for third-quarter 2019.
User Base & Advertising Business Expands in Q3
Monthly average users (MAUs) Global increased 28% to 322 million driven by double-digit growth in nearly all international countries except Canada, Iceland, and New Zealand.
While United States MAUs increased 8% to 87 million, International MAUs increased 38% to 235 million.
Average revenue per user (ARPU) Global increased 14% to 90 cents. ARPU United States and International jumped 26% and 127% on a year-over-year basis to $2.93 and 13 cents, respectively.
Growth in ARPU was primarily driven by an increase in the number of advertisements. Further, the price of advertisements increased on a year-over-year basis. Internalizing ads business, simplifying ad systems for smaller businesses and improving advertisers’ ability to measure the effectiveness of their ad spend were the key priorities in the third quarter.
At the end of third-quarter 2019, Pinterest offered ads to users in 28 countries, up from 19 at the end of second-quarter 2019. New markets added include Cyprus, Czech Republic, Greece, Hungary, Luxembourg, Malta, Poland, Romania and Slovakia.
Pinterest, Inc. Price, Consensus and EPS Surprise