Pinterest Inc. (PINS), the social platform that over 300 million people use as a virtual bulletin board to share, find and save ideas, said its annual revenue surpassed $1 billion for the first time last year as it focused on product improvements and creating a shopping experience.The Q4 earnings report released on Feb. 6, which beat analyst expectations on top and bottom lines, caused the stock to jump.
Here are some highlights:
- Q4 Revenue: $400 million, +46% YOY, versus $371 million expected
- Q4 EPS: 12 cents, versus 8 cents expected
- Q4 Global Monthly Active Users (MAUs): 335 million, +26% YOY.
- Q4 GAAP Net loss: $36 million, 176% YOY
- Q4 ARPU (Average Revenue Per User): $1.22, +15% YOY
- 2019 Revenue: $1.1 billion, +51% YOY
- 2019 GAAP Net loss: $1.3 billion, +2,076% YOY
- 2019 International Revenue: $117 million, 187% YOY
- 2020 Revenue Guidance: $1.52 billion
"In 2020, we continue to pursue our goal of making Pinterest the internet’s home for inspiration by focusing on delivering relevant content, ads and shopping experiences so Pinners can easily go from inspiration to action," said Ben Silbermann, Pinterest CEO and co-founder. The company plans to launch a Verified Merchants Program to mark trusted brands that meet its guidelines and expand an augmented reality feature that lets users "try on" cosmetics.
Pinterest went public in April last year at the price of $19 a share and the stock reached $36 in August before slumping. Loop Capital Markets analyst Rob Sanderson, who initiated coverage on the stock with a buy rating on Wednesday, called it "the most interesting of the small- and mid-cap stocks in the U.S. Internet sector." He said, "If the monetization curve continues to mirror early Facebook, this would imply a ramp to $8.5 billion in revenue by 2025, about double the Street expectation."