In this video I will go over Pinterest's (PINS 2.68%) Q4 earnings report and talk about all the current and future product developments the company is working on. Overall, it was a better quarter than expected by analysts, and there was a show of confidence from management. You can find the video below, but here are some of the highlights.
The company reported Q4 revenue of $847 million, up 20% year over year (YOY). Global monthly active users (MAUs) decreased 6% YOY to 431 million. But as of Feb. 1, global MAUs are approximately 436.8 million, indicating that we might be seeing the end of the drop-off in users.
- U.S. revenue grew 11% to $648 million, and international revenue grew 61% to $199 million.
- The company expects that Q1 revenue will grow in the high-teens percentage range YOY.
- U.S. MAUs decreased 12% to 86 million, and international MAUs decreased 4% to 346 million.
- In 2022, Pinterest will enter three new Latin American markets as well as Japan. This will certainly boost engagement on the platform.
- Average revenue per user (ARPU) keeps growing, but there's still so much potential in the monetization of international users. U.S. ARPU grew 25% YOY, reaching $7.43, while international ARPU grew 62% to just $0.57.
- The main reason international ARPU is still so low is that Pinterest doesn't monetize the majority of those international markets.
- Seamless shopping on the platform is showing promising signs. Catalog uploads were up over 100% YOY globally in Q4, and in international markets they were up over 400% YOY. The company plans to invest in and continue to expand seamless checkout experiences over the course of the year.
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*Stock prices used were the closing prices of Feb. 3, 2022. The video was published on Feb. 4, 2022.