$PINS Pinterest rising after hours pre-announced results

Pinterest, Inc. (NYSE: PINS) today provided preliminary financial results for the quarter ended March 31, 2020. Pinterest has also determined to withdraw its financial guidance for the full year 2020 due to the growing uncertainty of the impact of COVID-19 on the global operating and economic environment and the resulting effect on advertiser demand.

Based on information available to it through the date of this statement, Pinterest preliminarily expects revenue for the quarter ended March 31, 2020 in the range of $269 million to $272 million. For the quarter ended March 31, 2020, it also expects global monthly active users in the range of 365 million to 367 million, with 89 million to 90 million in the U.S. and 276 million to 277 million internationally. Pinterest ended the first quarter with a strong balance sheet, with approximately $1.7 billion in cash, cash equivalents and marketable securities on March 31, 2020, no financial debt, and an undrawn $500 million revolving credit facility.

Pinterest is withdrawing the revenue and adjusted EBITDA margin guidance for full year 2020 that it initially issued on February 6, 2020. In light of the rapidly evolving and unpredictable effects of COVID-19, Pinterest is currently not in a position to forecast the expected impact of COVID-19 on its financial and operating results for the remainder of 2020. As the COVID-19 pandemic has continued to unfold, it has impacted Pinterest’s advertising revenue globally.

"The near-term financial impact of this pandemic is rapidly evolving and difficult to measure and quantify. First-quarter revenue performance was consistent with our expectations through the middle of March, when we began to see a sharp deceleration. Fortunately, despite weakness across nearly the entire advertising market, our exposure to some of the most affected segments like travel, automotive, and restaurants has not been significant," said Todd Morgenfeld, CFO, Pinterest. "Based on our current visibility, we expect to evaluate planned expenses while continuing to pursue and prioritize objectives that fuel the long-term growth of the company."

"These are clearly tough times for everyone. But we are really proud that people all over the world are finding inspiration on Pinterest as they navigate this new reality," said Ben Silbermann, CEO and co-founder, Pinterest. "More than ever, people need great ideas on everything from building a home office to activities to do with their kids. In the last two weeks, we’ve seen record levels of engagement in Pinners searching for and saving ideas, and creating new boards to organize their projects. We plan to continue doing everything possible to keep delivering for them."

The foregoing results are preliminary and subject to change following completion of Pinterest’s quarter-end review process. Pinterest plans to provide more detail around its first quarter 2020 results on its earnings call on May 5th at 2:00 p.m. Pacific Time.

Separately, Pinterest also today announced that Françoise Brougher, the Company’s Chief Operating Officer, would be leaving Pinterest, effective as of April 7, 2020, and Todd Morgenfeld will assume her responsibilities.

"I am deeply grateful to Françoise for her substantial contributions to Pinterest. As we continue to position the company for long-term growth, we believe consolidating our financial and COO organizations under one leader will accelerate our speed of execution," said Ben Silbermann. "We believe Todd’s wide range of experience across diverse organizations -- including the Army, investment firms and large tech companies -- has prepared him to navigate our current circumstances with business acumen, as well as operational and financial rigor."