Pinterest Hits 600 Million Users, Beats Revenue Estimates on International Growth

Pinterest, which just released a challenging but ultimately transformative third-quarter report. The social platform delivered a mixed bag to investors, pairing phenomenal user growth with an earnings shortfall.

The good news? Pinterest is scaling fast. It hit a new high of 600 million global monthly active users, a jump of 12% year-over-year. CEO Bill Ready noted that Gen Z is leading the charge, now forming the platform’s largest cohort. On the financial front, revenue soared 17% to $1.049 billion, matching Wall Street estimates, thanks to “eye-popping” growth of 41% and 66% in the European and Rest of World segments, respectively.

The snag? Profitability. Earnings per Share (EPS) came in at $0.38, missing the expected $0.43.

Management attributes this earnings miss to aggressive, ongoing investments—specifically in AI-powered product innovations designed to turn Pinterest into an “AI-powered shopping assistant.”

In short, Pinterest is spending big to cement its future as an e-commerce heavyweight. The market’s reaction, a modest dip in the stock, shows investors are waiting to see if these short-term costs will eventually translate into significantly higher Average Revenue Per User in its massive international markets.