Pinterest Announces Third Quarter 2025 Results, Delivers 17% Revenue Growth and Record Users

SAN FRANCISCO--( BUSINESS WIRE)--Pinterest, Inc. (NYSE: PINS) today announced financial results for the quarter ended September 30, 2025.

“We had a strong Q3, with 17% year-over-year revenue growth,” said Bill Ready, CEO of Pinterest. “Our investments in AI and product innovation are paying off. We’ve become a leader in visual search and have effectively turned our platform into an AI-powered shopping assistant for 600 million consumers. In turn, global advertisers are increasingly counting on Pinterest as a go-to search platform to reach their customers and drive sales.”

Q3 2025 Financial Highlights

The following table summarizes our consolidated financial results (in thousands, except percentages, unaudited):

Three Months Ended

September 30,

% Change

2025

2024

Revenue

1,049,205

898,373

Constant currency % growth (1)(2)

Net income

92,108

30,556

201

Net income margin

Non-GAAP net income (2)

262,925

223,298

Adjusted EBITDA (2)

306,051

246,990

Adjusted EBITDA margin (2)

Net cash provided by operating activities

321,652

248,027

Free cash flow (2)

318,421

244,111

______________

(1)

On a constant currency basis, revenue for the three months ended September 30, 2025 was $1,039.3 million due to a $9.9 million favorable impact of changes in foreign exchange rates.

(2)

For more information on these non-GAAP financial measures, please see "―About non-GAAP financial measures" and the tables under "―Reconciliation of GAAP to non-GAAP financial results" included at the end of this release.

Q3 2025 Other Highlights

The following table sets forth our revenue, MAUs and average revenue per user (ARPU) based on the geographic location of our users (in millions, except ARPU and percentages, unaudited):

Three Months Ended

September 30,

% Change

2025

2024

Revenue - Global

1,049

898

Revenue - U.S. and Canada

786

719

Revenue - Europe

193

137

Revenue - Rest of World

MAUs - Global

600

537

MAUs - U.S. and Canada

103

MAUs - Europe

150

139

MAUs - Rest of World

347

300

ARPU - Global

1.78

1.70

ARPU - U.S. and Canada

7.64

7.31

ARPU - Europe

1.31

1.00

ARPU - Rest of World

0.21

0.14

Guidance

For Q4 2025, we expect revenue to be in the range of $1,313 million to $1,338 million, representing 14% - 16% growth year over year. Our guidance assumes the impact of foreign exchange to be approximately 1 point of tailwind, based on current spot rates. We expect Q4 2025 Adjusted EBITDA* to be in the range of $533 million to $558 million.

We intend to provide further details on our outlook during the conference call.

*We have not provided the forward-looking GAAP equivalent for forward-looking Adjusted EBITDA or a GAAP reconciliation as a result of the uncertainty regarding, and the potential variability of, reconciling items such as share-based compensation expense and income taxes. Accordingly, a reconciliation of these non-GAAP guidance metrics to their corresponding GAAP equivalents is not available without unreasonable effort. However, it is important to note that material changes to reconciling items could have a significant effect on future GAAP results and, as such, we also believe that any reconciliations provided would imply a degree of precision that could be confusing or misleading to investors.

Webcast and conference call information

A live audio webcast of our third quarter 2025 earnings release call will be available at investor.pinterestinc.com. The call begins today at 1:30 PM (PT) / 4:30 PM (ET). This press release, including the reconciliations of certain non-GAAP measures to their nearest comparable GAAP measures and slide presentation are also available. A recording of the webcast will be available at investor.pinterestinc.com for 90 days.

We have used, and intend to continue to use, our investor relations website at investor.pinterestinc.com as a means of disclosing material nonpublic information and for complying with our disclosure obligations under Regulation FD.

Forward-looking statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act of 1934, as amended, about us and our industry that involve substantial assumptions, risks and uncertainties. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts and are often characterized by the use of words such as "believe," "estimate," "expect," "may," "will," "can," "could," "would," "might," "continue," "intend," "plan," "forecast," "target," "anticipate," "potential," "looking ahead," "long-term" or and similar expressions, or by discussions of strategy, plans or intentions. Such forward-looking statements involve known and unknown risks, uncertainties, assumptions and other important factors that could cause our actual results, outcomes, performance or achievements, or industry results, to differ materially from historical results or any future results, outcomes, performance or achievements expressed, suggested or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to, statements about: general economic uncertainty in global markets and a worsening of global economic conditions or low levels of economic growth, including inflation, tariffs and related retaliatory actions and other trade protection measures, stress in the banking industry, foreign exchange fluctuations and supply-chain issues; the effect of general economic and political conditions; our financial performance, including revenue, cost and expenses and cash flows; our ability to attract, retain and recover users and maintain and grow their level of engagement; our ability to provide content that is useful and relevant to users' personal taste and interests; our ability to develop successful new products or improve existing ones; our ability to maintain and enhance our brand and reputation; potential harm caused by compromises in security, including our cybersecurity protections and resources and costs required to prevent, detect and remediate potential security breaches; potential harm caused by changes in online application stores or internet search engines' methodologies, particularly search engine optimization methodologies and policies; discontinuation, disruptions or outages in third-party single sign-on access; our ability to compete effectively in our industry; our ability to scale our business, including our monetization efforts; our ability to attract and retain advertisers and scale our revenue model; our ability to attract and retain creators and publishers that create relevant and engaging content; our ability to develop effective products and tools for advertisers, including measurement tools; our ability to expand and monetize our platform internationally; our ability to effectively manage the growth of our business; our ability to continue to use and develop artificial intelligence ("AI") as well as managing the challenges and risks posed by AI; our ability to successfully manage our flexible work model with a more distributed workforce; our ability to sustain profitability; decisions that reduce short-term revenue or profitability or do not produce the long-term benefits we expect; fluctuations in our operating results; our ability to raise additional capital on favorable terms or at all; our ability to realize anticipated benefits from mergers and acquisitions, joint ventures, strategic partnerships and other investments; our ability to protect our intellectual property; our ability to receive, process, store, use and share data, and compliance with laws and regulations related to data privacy and content; current or potential litigation and regulatory actions involving us; our ability to comply with modified or new laws and regulations applying to our business, and potential harm to our business as a result of those laws and regulations; real or perceived inaccuracies in metrics related to our business; disruption of, degradation in or interference with our use of Amazon Web Services and our infrastructure; and our ability to attract and retain personnel. These and other potential risks and uncertainties that could cause actual results to differ from the results predicted are more fully detailed in our Quarterly Report on Form 10-Q for the fiscal quarter ended September 30, 2025, which is available on our investor relations website at investor.pinterestinc.com and on the SEC website at www.sec.gov. All information provided in this release and in the earnings materials is as of November 4, 2025. Undue reliance should not be placed on the forward-looking statements in this press release, which are based on information available to us on the date hereof. We undertake no duty to update this information unless required by law.

About non-GAAP financial measures

To supplement our condensed consolidated financial statements, which are prepared and presented in accordance with generally accepted accounting principles in the United States ("GAAP"), we use the following non-GAAP financial measures: Adjusted EBITDA, Adjusted EBITDA margin, non-GAAP costs and expenses (including non-GAAP cost of revenue, research and development, sales and marketing, and general and administrative), non-GAAP income (loss) from operations, non-GAAP net income (loss), non-GAAP net income (loss) per share, constant currency revenue and free cash flow. The presentation of these financial measures is not intended to be considered in isolation, as a substitute for or superior to the financial information prepared and presented in accordance with GAAP. Investors are cautioned that there are material limitations associated with the use of non-GAAP financial measures as an analytical tool. In addition, these measures may be different from non-GAAP financial measures used by other companies, limiting their usefulness for comparative purposes. We compensate for these limitations by providing specific information regarding GAAP amounts excluded from these non-GAAP financial measures.

We define Adjusted EBITDA as net income (loss) adjusted to exclude depreciation and amortization expense, share-based compensation expense, payroll tax expense related to share-based compensation, interest income (expense), net, other income (expense), net, provision for (benefit from) income taxes and certain other non-recurring or non-cash items impacting net income (loss) that we do not consider indicative of our ongoing business performance. Adjusted EBITDA margin is calculated by dividing Adjusted EBITDA by revenue. Non-GAAP costs and expenses (including non-GAAP cost of revenue, research and development, sales and marketing, and general and administrative) and non-GAAP net income (loss) exclude amortization of acquired intangible assets, share-based compensation expense and payroll tax expense related to share-based compensation. In addition to these exclusions, we also subtract an assumed provision for income taxes to calculate non-GAAP net income. We calculate the non-GAAP income tax provision using a fixed long-term projected tax rate in order to provide better consistency across reporting periods. The fixed long-term projected tax rate uses a financial projection that excludes the direct impact of our non-GAAP adjustments and eliminates the effects of items that can vary in size and frequency. For 2024 and 2025, we used a long-term projected tax rate of 20%, which reflects currently available information, as well as other factors and assumptions. The non-GAAP tax rate could be subject to change for a variety of reasons, including significant changes in the geographic earnings mix or changes in tax laws and regulations. We re-evaluate this long-term rate on an annual basis or if any significant events that may materially affect this long-term rate occur. Non-GAAP income (loss) from operations is calculated by subtracting non-GAAP costs and expenses from revenue. Non-GAAP net income (loss) per share is calculated by dividing non-GAAP net income (loss) by diluted weighted-average shares outstanding. We calculate constant currency revenue by translating our current period revenue using the corresponding prior period’s monthly exchange rates for currencies other than the U.S. dollar. We define free cash flow as net cash provided by operating activities less purchases of property and equipment. Free cash flow is not intended to represent our residual cash flow available for discretionary expenditures. We use these non-GAAP financial measures to evaluate our operating results and for financial and operational decision-making purposes. We believe these measures help identify underlying trends in our business that could otherwise be masked by the effect of the income and expenses they exclude. We also believe these measures provide useful information about our operating results, enhance the overall understanding of our past performance and future prospects and allow for greater transparency with respect to key metrics we use for financial and operational decision-making. We present these non-GAAP measures to assist potential investors in seeing our operating results through the eyes of management and because we believe these measures provide an additional tool for investors to use in comparing our operating results over multiple periods with other companies in our industry. There are a number of limitations related to the use of non-GAAP financial measures rather than the nearest GAAP equivalents. For example, Adjusted EBITDA excludes: (i) certain recurring, non-cash charges such as depreciation of fixed assets and amortization of acquired intangible assets, although these assets may have to be replaced in the future, and (ii) share-based compensation expense and payroll tax expense related to share-based compensation, which have been, and will continue to be for the foreseeable future, significant recurring expenses and an important part of our compensation strategy. In addition, constant currency revenue excludes the effect of changes in foreign currency exchange rates, which have an actual effect on our operating results, and free cash flow does not reflect our future contractual commitments arising from purchases of property and equipment.

For a reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measures, please see the tables under "―Reconciliation of GAAP to non-GAAP financial results" included at the end of this release.

Limitation of key metrics and other data

The numbers for our key metrics, which include our MAUs and ARPU, are calculated using internal company data based on the activity of user accounts. We define an MAU as an authenticated Pinterest user who visits our website, opens our mobile application or interacts with Pinterest through one of our browser or site extensions, such as the Save button, at least once during the 30-day period ending on the date of measurement. The number of MAUs does not include Shuffles users unless they would otherwise qualify as MAUs. Unless otherwise indicated, we present MAUs based on the number of MAUs measured on the last day of the current period. We measure monetization of our platform through our ARPU metric. We define ARPU as our total revenue in a given geography during a period divided by the average of the number of MAUs in that geography during the period. We calculate average MAUs based on the average of the number of MAUs measured on the last day of the current period and the last day prior to the beginning of the current period. We calculate ARPU by geography based on our estimate of the geography in which revenue-generating activities occur. We use these metrics to assess the growth and health of the overall business and believe that MAUs and ARPU best reflect our ability to attract, retain, engage and monetize our users, and thereby drive revenue. While these numbers are based on what we believe to be reasonable estimates of our user base for the applicable period of measurement, there are inherent challenges in measuring usage of our products across large online and mobile populations around the world. In addition, we are continually seeking to improve our estimates of our user base, and such estimates may change due to improvements or changes in technology or our methodology.

PINTEREST, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(in thousands, except par value)

(unaudited)

September 30,

December 31,

2025

2024

ASSETS

Current assets:

Cash and cash equivalents

1,132,400

1,136,460

Marketable securities

1,538,881

1,376,409

Accounts receivable, net

800,522

893,403

Prepaid expenses and other current assets

93,615

78,435

Total current assets

3,565,418

3,484,707

Property and equipment, net

52,744

45,624

Operating lease right-of-use assets

132,513

85,867

Goodwill and intangible assets, net

107,430

110,103

Deferred tax assets

1,639,056

1,602,539

Other assets

18,249

13,820

Total assets

5,515,410

5,342,660

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current liabilities:

Accounts payable

90,589

84,026

Accrued expenses and other current liabilities

335,744

314,107

Total current liabilities

426,333

398,133

Operating lease liabilities

205,237

151,364

Other liabilities

58,872

42,009

Total liabilities

690,442

591,506

Commitments and contingencies

Stockholders’ equity:

Class A common stock, $0.00001 par value, 6,666,667 shares authorized, 598,420 and 593,462 shares issued and outstanding as of September 30, 2025 and December 31, 2024, respectively; Class B common stock, $0.00001 par value, 1,333,333 shares authorized, 79,720 and 82,471 shares issued and outstanding as of September 30, 2025 and December 31, 2024, respectively

Additional paid-in capital

4,969,510

5,039,439

Accumulated other comprehensive income (loss)

3,828

(130

)

Accumulated deficit

(148,377

)

(288,162

)

Total stockholders’ equity

4,824,968

4,751,154

Total liabilities and stockholders’ equity

5,515,410

5,342,660

PINTEREST, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share amounts)

(unaudited)

Three Months Ended

September 30,

Nine Months Ended

September 30,

2025

2024

2025

2024

Revenue

1,049,205

898,373

2,902,420

2,492,036

Costs and expenses:

Cost of revenue

212,325

187,453

614,604

553,400

Research and development

371,253

326,679

1,062,542

919,791

Sales and marketing

296,679

249,033

863,674

740,676

General and administrative

110,432

141,124

342,891

359,942

Total costs and expenses

990,689

904,289

2,883,711

2,573,809

Income (loss) from operations

58,516

(5,916

)

18,709

(81,773

)

Interest income (expense), net

28,536

32,477

83,851

98,423

Other income (expense), net

144

3,237

15,623

(5,885

)

Income before benefit from income taxes

87,196

29,798

118,183

10,765

Benefit from income taxes

(4,912

)

(758

)

(21,602

)

(3,866

)

Net income

92,108

30,556

139,785

14,631

Net income per share:

Basic

0.14

0.05

0.21

0.02

Diluted

0.13

0.04

0.20

0.02

Weighted-average shares used in computing net income per share:

Basic

677,819

678,496

677,069

680,157

Diluted

694,532

695,483

691,247

701,768

PINTEREST, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)

(unaudited)

Three Months Ended

September 30,

Nine Months Ended

September 30,

2025

2024

2025

2024

Operating activities

Net income

92,108

30,556

139,785

14,631

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization

7,205

5,421

19,143

15,202

Share-based compensation

235,136

207,976

649,796

566,882

Deferred income taxes

(8,279

)

(3,678

)

(36,278

)

(3,967

)

Non-cash charitable contributions

—

13,495

—

Net amortization of investment premium and discount

(4,123

)

(8,032

)

(13,636

)

(21,124

)

Other

(6,447

)

1,223

10,445

4,864

Changes in assets and liabilities:

Accounts receivable

(40,724

)

(14,318

)

94,573

88,449

Prepaid expenses and other assets

17,883

(14,340

)

(4,970

)

(49,963

)

Operating lease right-of-use assets

7,575

7,743

21,820

24,361

Accounts payable

(1,141

)

14,901

7,611

9,933

Accrued expenses and other liabilities

31,793

28,757

17,508

89,616

Operating lease liabilities

(9,334

)

(8,182

)

(26,241

)

(28,285

)

Net cash provided by operating activities

321,652

248,027

893,051

710,599

Investing activities

Purchases of property and equipment

(3,231

)

(3,916

)

(21,530

)

(20,813

)

Purchases of marketable securities

(356,135

)

(384,864

)

(1,234,446

)

(1,196,557

)

Sales of marketable securities

9,758

1,969

22,648

9,718

Maturities of marketable securities

255,521

348,278

1,065,121

954,844

Net cash used in investing activities

(94,087

)

(38,533

)

(168,207

)

(252,808

)

Financing activities

Proceeds from exercise of stock options, net

—

1,011

8,053

20,266

Repurchases of Class A common stock

(197,387

)

(466,664

)

(425,013

)

(500,000

)

Shares repurchased for tax withholdings on release of restricted stock units and restricted stock awards

(114,792

)

(86,058

)

(314,260

)

(305,519

)

Net cash used in financing activities

(312,179

)

(551,711

)

(731,220

)

(785,253

)

Effect of exchange rate changes on cash, cash equivalents and restricted cash

816

2,355

(668

)

Net decrease in cash, cash equivalents and restricted cash

(84,537

)

(341,401

)

(4,021

)

(328,130

)

Cash, cash equivalents and restricted cash, beginning of period

1,221,737

1,381,803

1,141,221

1,368,532

Cash, cash equivalents and restricted cash, end of period

1,137,200

1,040,402

1,137,200

1,040,402

PINTEREST, INC.

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL RESULTS

(in thousands)

(unaudited)

Three Months Ended

September 30,

2025

2024

Share-based compensation by function:

Cost of revenue

5,173

3,943

Research and development

152,907

138,610

Sales and marketing

40,324

32,389

General and administrative

36,732

33,034

Total share-based compensation

235,136

207,976

Payroll tax expense related to share-based compensation by function:

Cost of revenue

Research and development

3,073

2,741

Sales and marketing

1,306

1,300

General and administrative

719

739

Total payroll tax expense related to share-based compensation (1)

5,194

4,859

Amortization of acquired intangible assets by function:

Cost of revenue

798

1,508

Sales and marketing

135

General and administrative

197

Total amortization of acquired intangible assets

1,130

1,840

Reconciliation of total costs and expenses to non-GAAP costs and expenses:

Total costs and expenses

990,689

904,289

Share-based compensation

(235,136

)

(207,976

)

Payroll tax expense related to share-based compensation (1)

(5,194

)

(4,859

)

Amortization of acquired intangible assets

(1,130

)

(1,840

)

Legal settlement (2)

—

(34,650

)

Total non-GAAP costs and expenses

749,229

654,964

Reconciliation of net income to Adjusted EBITDA:

Net income

92,108

30,556

Depreciation and amortization

7,205

5,421

Share-based compensation

235,136

207,976

Payroll tax expense related to share-based compensation (1)

5,194

4,859

Interest (income) expense, net

(28,536

)

(32,477

)

Other (income) expense, net

(144

)

(3,237

)

Benefit from income taxes

(4,912

)

(758

)

Legal settlement (2)

—

34,650

Adjusted EBITDA

306,051

246,990

PINTEREST, INC.

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL RESULTS

(in thousands, except per share amounts)

(unaudited)

Three Months Ended

September 30,

2025

2024

Reconciliation of net income to non-GAAP net income:

Net income

92,108

30,556

Share-based compensation

235,136

207,976

Payroll tax expense related to share-based compensation (1)

5,194

4,859

Amortization of acquired intangible assets

1,130

1,840

Income tax effects and tax adjustments (3)

(70,643

)

(56,583

)

Non-GAAP net income

262,925

223,298

Basic weighted-average shares used in computing net income per share

677,819

678,496

Weighted-average dilutive securities (4)

16,713

16,987

Diluted weighted-average shares used in computing non-GAAP net income per share

694,532

695,483

Non-GAAP net income per share

0.38

0.32

Reconciliation of free cash flow:

Net cash provided by operating activities

321,652

248,027

Less:

Purchases of property and equipment

(3,231

)

(3,916

)

Free cash flow

318,421

244,111

______________

(1)

We began excluding payroll tax expense related to share-based compensation from Adjusted EBITDA and non-GAAP net income in the fourth quarter of 2024 because these taxes are variable due to our stock price and other factors outside our control and therefore are not reflective of our ongoing business operations or the underlying trends in our business. Accordingly, although payroll tax expense related to share-based compensation is a cash expense that we will continue to incur in the future, we believe excluding this expense provides investors with a better understanding of the performance of our core business and serves as a tool for investors to use in comparing our core business operating results over multiple periods with other companies in our industry. Prior period amounts have been restated to conform to this presentation.

(2)

On November 1, 2024, we reached a settlement to resolve pending litigation relating to allegations concerning the early development of Pinterest. We recorded legal settlement expense of $34.7 million, net of insurance proceeds, for the three months ended September 30, 2024, which we have excluded from Adjusted EBITDA because it is non-recurring and not reflective of our ongoing business operations or the underlying trends in our business.

(3)

Includes the income tax effect of our non-GAAP adjustments using a long-term projected tax rate of 20% and other tax adjustments. Prior period amounts have been restated to conform to this presentation.

(4)

Gives effect to potential common stock instruments such as stock options, unvested restricted stock units and unvested restricted stock awards.