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Pinterest forecasts 2019 revenue in line with estimates, shares fall
[BENGALURU] Pinterest forecast full-year revenue mostly in line with analysts' estimates even after reporting a 54 per cent jump in sales in its first quarterly earnings since going public, as the online scrapbook company added more users globally.
Shares of the company fell 19 per cent in extended trading. They had risen 62 per cent since Pinterest's initial public offering last month.
The company expects full-year revenue between US$1.055 billion and US$1.08 billion, the mid point of which is slightly above analysts' estimate of US$1.06 billion.
DA Davidson analyst Tom Forte said the Pinterest's full-year sales outlook was a disappointment, especially given the high expectations reflected in the run up in shares.
The company, which calls its users "pinners", added 291 million monthly active users globally in the quarter, above estimates of 289.3 million, according to IBES data from Refinitiv.
Average revenue per user rose 26 per cent to 73 US cents, the company said.
Net loss narrowed to US$41.4 million in the first quarter ended March 31 from US$52.7 million a year earlier.
Excluding certain items, the company lost 32 US cents per share, above estimates of 11 US cents.
Total revenue rose about 54 per cent to US$201.9 million, beating estimates of US$200.6 million.