Pinterest, Inc. PINS reported blended fourth-quarter 2024 outcomes, whereby adjusted earnings missed the Zacks Consensus Estimate whereas revenues beat the identical.
Discover the most recent EPS estimates and surprises on Zacks Earnings Calendar.
The San Francisco-based Web content material supplier reported income progress 12 months over 12 months, pushed by robust momentum in all areas. Administration’s deal with enhancing shoppability and monetization potential throughout the platform and the incorporation of superior AI-integrated instruments to assist advertisers and retailers led to top-line progress. Weak point throughout the meals & beverage sub-sector of consumer-packaged items stays a headwind.
Web Revenue
On a GAAP foundation, web earnings was $1.85 billion or $2.68 per share in contrast with $201.2 million or 29 cents per share within the prior-year quarter. High-line progress and earnings tax profit led to an enchancment in web earnings.
Non-GAAP web earnings was $385.6 million or 56 cents per share, up from $370.7 million or 53 cents per share within the year-ago quarter. Nevertheless, the underside line missed the Zacks Consensus Estimate by 7 cents.
In 2024, the corporate reported a GAAP web earnings of $1.86 billion or $2.67 per share towards a lack of $35.6 million or a lack of 5 cents per share in 2023. For 2024, non-GAAP web earnings was $901 million or $1.29 per share in contrast with $783.5 million or $1.13 cents per share in 2023.
Pinterest, Inc. Value, Consensus and EPS Shock
Pinterest, Inc. price-consensus-eps-surprise-chart | Pinterest, Inc. Quote
Revenues
In the course of the quarter, revenues rose to $1.15 billion from $981.3 million within the prior-year quarter, beating the Zacks Consensus Estimate of $1.14 million. Pinterest witnessed 11% year-over-year progress in world month-to-month energetic customers (MAUs) to 553 million, which is an all-time report.
Within the fourth quarter, Pinterest unveiled the Pinterest Efficiency+ suite, a brand new set of AI and automation advert merchandise designed to reinforce lower-funnel promoting for world advertisers. By integrating AI and automation options, the answer permits advertisers to optimize concentrating on, handle budgets and set bids routinely, lowering marketing campaign creation time by about half whereas providing flexibility for manufacturers to combine and match options.
These developments are enabling the corporate to reinforce the relevancy and personalization of the content material, which, in flip, is driving extra consumer engagement. A number of decrease funnel merchandise, comparable to Cellular Deep Linking and Direct Hyperlinks, are boosting buyer conversion and driving return on funding for advertisers and retailers. Partnerships with third events, together with Amazon and Google, are enabling Pinterest to monetize a number of unmonetized markets.
For 2024, the corporate reported revenues of $3.65 billion, up 19% from the prior-year quarter’s revenues of $3.06 billion.
The USA and Canada generated $900 million in revenues, up 16% 12 months over 12 months. Web gross sales surpassed our income estimate of $899 million. Stable momentum in retail and rising verticals, together with monetary providers and expertise, supported the web gross sales.
Revenues from Europe totaled $196 million, up 21% from $162 million within the year-ago quarter. The highest line surpassed our estimate of $183.6 million. Wholesome traction in retail boosted the highest line.
Web gross sales from the Remainder of World rose to $58 million from $41 million recorded within the prior-year quarter, exceeding our income estimate of $53.3 million.
MAUs from the USA and Canada had been 101 million, up 4% 12 months over 12 months. The quarterly determine surpassed our estimate of 100 million. The Remainder of World registered MAUs of 307 million, up 15% from 266 million within the year-earlier quarter. MAUs from Europe elevated to 145 million from 135 million within the year-ago quarter and beat our estimate of 142 million.
Within the December quarter, the worldwide common revenues per consumer (ARPU) stood at $2.12 in contrast with the year-ago quarter’s determine of $2.00. ARPU in Europe improved 12% 12 months over 12 months to $1.38, whereas the USA and Canada rose 12% 12 months over 12 months to $9. ARPU from the Remainder of World elevated 24% 12 months over 12 months to 19 cents.
Different Particulars
Adjusted EBITDA was $470.9 million in fourth-quarter 2024, up from the prior-year quarter’s tally of $369.3 million. Disciplined expense administration and operational effectivity led to a 28% year-over-year enchancment.
Whole prices and bills had been $892.5 million, up from $785 million within the year-ago quarter. On a GAAP foundation, analysis and growth bills rose to $320.8 million from $268 million.
Money Stream & Liquidity
In 2024, the corporate generated $964.6 million of money from working actions in contrast with $613 million in 2023. As of Dec 31, 2024, Pinterest had $1.14 billion in money and money equivalents and $151.4 million of working lease liabilities in contrast with $1.36 billion in money and money equivalents and $160.6 million of working lease liabilities.
Outlook
For the primary quarter of 2025, Pinterest expects income within the vary of $837-852 million, indicating 13-15% year-over-year progress. Administration expects adjusted EBITDA to be within the vary of $155-$170 million.
PINS’ Zacks Rank
Pinterest at present carries a Zacks Rank #3 (Maintain). You’ll be able to see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Upcoming Releases
Keysight Applied sciences, Inc. KEYS is scheduled to launch first-quarter fiscal 2025 earnings on Feb. 25. The Zacks Consensus Estimate for earnings is pegged at $1.69 per share, indicating progress of three.68% from the year-ago determine.
Zillow Group, Inc. ZG is scheduled to launch fourth-quarter earnings on Feb. 11. The Zacks Consensus Estimate for earnings is pegged at 34 cents per share, indicating progress of fifty% from the year-ago determine.
Gentle and Marvel LNW is scheduled to launch fourth-quarter earnings on Feb. 25. The Zacks Consensus Estimate for earnings is pegged at $1.08 per share, indicating progress of 47.95% from the year-ago determine.
Free At the moment: Taking advantage of The Future’s Brightest Power Supply
The demand for electrical energy is rising exponentially. On the similar time, we’re working to cut back our dependence on fossil fuels like oil and pure gasoline. Nuclear vitality is a perfect substitute.
Leaders from the US and 21 different nations lately dedicated to TRIPLING the world’s nuclear vitality capacities. This aggressive transition might imply large earnings for nuclear-related shares – and traders who get in on the motion early sufficient.
Our pressing report, Atomic Alternative: Nuclear Power’s Comeback, explores the important thing gamers and applied sciences driving this chance, together with 3 standout shares poised to profit essentially the most.
Download Atomic Opportunity: Nuclear Energy’s Comeback free today.
Keysight Technologies Inc. (KEYS) : Free Stock Analysis Report
Zillow Group, Inc. (ZG) : Free Stock Analysis Report
Pinterest, Inc. (PINS) : Free Stock Analysis Report
Light & Wonder, Inc. (LNW) : Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the creator and don’t essentially replicate these of Nasdaq, Inc.
