Pinterest (PINS) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue reached $855 million, up 16% year-over-year, or 17% on a constant currency basis, with strong growth across all regions.

• Global monthly active users hit a record 570 million, increasing 10% year-over-year, led by 14% growth in Rest of World.

• Adjusted EBITDA grew to $172 million, a 36% increase year-over-year, with a margin of 20%, up 300 basis points from Q1 last year.

• Free cash flow totaled $356 million, with robust cash generation and conversion at 88% of Adjusted EBITDA.

• Continued focus on AI-driven personalization, visual search, and full-funnel ad solutions to enhance user and advertiser value.

Financial highlights

• Q1 global revenue: $855 million (+16% YoY, +17% constant currency); net income: $8.9 million versus a net loss of $24.8 million in Q1 2024.

• Adjusted EBITDA: $172 million; Adjusted EBITDA margin: 20% (+300 bps YoY); non-GAAP net income: $160 million, up 33% YoY.

• Free cash flow: $356 million, seasonally strong due to Q1 collections; cash, equivalents, and marketable securities: $2.6 billion at quarter end.

• Global ARPU: $1.52, up 5% YoY; U.S. and Canada ARPU: $6.54 (+8%), Europe: $1.00 (+17%), Rest of World: $0.14 (+29%).

• Q1 ad impressions grew 49%, while ad pricing declined 22% YoY due to international mix shift.

Outlook and guidance

• Q2 2025 revenue expected between $960–$980 million, representing 12–15% YoY growth.

• Q2 Adjusted EBITDA guidance: $217–$237 million.

• Anticipates continued margin expansion for full year 2025, though at a slower pace than 2024.

• Modest FX impact expected in Q2; primary investment focus remains on R&D and sales/marketing.

• Management expects continued growth in MAUs and ARPU, supported by ongoing investments in personalization and international expansion.