PINS - Earnings call transcript Q4 2021

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Operator

Good afternoon. And thank you for joining us. Welcome to today's Pinterest Fourth Quarter Earnings Conference Call. My name is Jordan. And I'll be coordinating your call today. going Relations over to now Head Neil I'm Investor of begin. Instructions] to to hand Doshi, [Operator Neil, please go ahead.

Neil Doshi

quarter call Thank you, us. the December earnings joining for I'm Investor Neil you thank year Doshi, fourth XX, for Head XXXX. Jordan. Good Welcome afternoon, to and and ended full Relations of for Pinterest. Pinterest's

Officer President Todd Morgenfeld, and me on call the CEO; Operations. today Business are Chief and and Financial Joining of Ben Silbermann, Pinterest's Head our

the cover harbor. safe I'll Now

make considered today uncertainties including a we our such Some performance, the to outlook, of that risks that the involve and regarding the results actual COVID-XX differ operations statements and statements cause of number pandemic forward-looking, materially. of could impact may be and

and future preliminary indication In not an are performance. beyond are addition, trends QX our results, of and and outlook XXXX for

making unless are today. of update we We information on forward-looking by based required us law. them these available duty as to disclaim to later any And statements

For forms factors more and the information, please of our Investor the Relations and our available filed XX-Q most SEC on section risk with in discussed XX-K website. refer to the recent

Ben. release which During now included of to A turn today's letter measures non-GAAP GAAP And I'll our located GAAP we is present to the are shareholders, the Investor and distributed press through non-GAAP and reconciliation investor.pinterestinc.com. financial public to earnings to will this and call website at call, measures. in both available over Relations

Ben Silbermann

creators believe a Thank online you for are helping enrich for plan inspiration hi, that dedicated joining everyone everyone. but we formats more them, year inspired, overall on short building behind that, continue when in drives Pinterest. platform features. with for more future made reach which consumers over create our place was in new like their how to near just Pinners, publishing Advertisers in to long-term. In great lives people Neil. shopping. heavily we are why tools investing XX Pinners is the connect when the Thanks, past launched able laser-focused the in turn, believe not for do with a XXXX, important and And space planning new more Pinterest. features, experience more ideas markets to that That's a evolving of intent. XXX more their And We and inspirational. creators. the building video, We new great will also October. for spent with positive they we and grow inspire call. publishing remain many by value form And for available in the XXXX We were released demand year an the play only get and to we

saw we're seamless buy what to most at the shopping, help lower QX, help eyed relevant time. for more the to due was competition and users dedicated know building in continued we our new that we're We We're love search and followed it's in a surface recent building frequency In as core to the see This continuing and in platform grow our test who investment already and find also user sustained deep a a Pinners. they native more the of billion believe the build as With will expanding as Pinners measure the optimize where growing and investments of content publishing very the love. and believe these follow we their with this creators. our headwinds, checkout. long content advertiser clear engagement in So XX% the promise year. specifically experience unwinding new challenging session surpassed seeing spent improve This term, increasing still coming primarily budgets attention. monthly we achieved we're the revenue people Helping over our be more year-over-year creators these rise supports improve by $X to the X% working environment. people over business multiple them with well will we milestones million. previous experience discover XXXX, XXX working they pandemic, to time. also about from that engagement right but changing and year accretive trends performance signs We on from to over platform privacy early, in to effectively experience. we're the We're of more time decreased landscape. active that traffic And for can revenue hypothesis We're

We profitability. first also GAAP our posted full year of

the both task. And to We investment it. to our to make is why the positive and that the that's believe buy, encouraging. to build up lives. end-to-end world ideas needs is those that people to gives I'm All aspiration build and the and platform in increasing this. we're tools space an confident their that inspiration Our team do for that's to our And great

So more. now I'll to Todd it who turn share will over

Todd Morgenfeld

margin Thanks, the $XXX Ben. and XXXX. the with on quarter an trends grew provide I'll first quarter saw that in we of the fourth million quarter. XX%. a Revenue were XX% pleased we year-over-year We details of adjusted in results share the some preliminary the financial delivered with EBITDA fourth further to that outlook for

negative U.S. the quarter, wanted factored of to performance to impact financial Idea year-over-year similar provide mid-single with issues. managed estimate growth impact markets. and take I'd international particularly the of to fourth fourth quarter third revenue CPG to supply pressure offset our fourth digits, small advertisers shareholder the for quarter of color. advertisers like a was the in quarter. minutes during Furthermore, additional quarter. from the the to guidance who Pins engagement, that by into This I our retailers, to the our from couple distribution about we the placement most discuss and some was in the in continued chain letter, midsized This was from came and quarter demand details continue Strength muted large our While face in

active year Our due U.S. relative year-over-year primarily to monthly $XX easing to declined ago XX% pandemic quarter. million, users to the

contributed spent negatively time competing Google's video year-on-year on from that monthly updates. believe Furthermore, also our to users November declines. to impacted due app algorithm platforms traffic We lower were search active the

In from we've to half historically. U.S. appears QX sequential active decline users We're of to Google's more QX examining fact, the was in more than as starting persistent impact to changes monthly mid-November. in update algorithm the than algorithm seen overall it recent be search attributable

teams diligently Our it understand may but some time. this, working take to are

the X% to year-over-year majority at apps Pinterest Looking revenue users platform, monthly users impressions from a Pinterest web, and mobile to web coming to mobile taking U.S. by engagement account active of our of for users We're active around a declined coming XX% on increase year-over-year. who from number desktop monthly steps our around while U.S. Pinterest. declined and significant

ecosystem. we we're video a long creator First, can content that led In in run, revenue the in content be this engagement and believe native investing accretive.

As invest Ben the mentioned, But over scale and to on us require us our this plan will discovery the term, optimistic. quarters. our to several the effort engagement provide early make to In experience cautiously engines apply bending for we feed existing, overall in with who personalization planning core near data models recommendations, users search Pinterest. curve users sustained and across personalized learning more richer to an and experience sophisticated machine various help come with our larger and improved plan to home our previous data a stack even with surfaces. new more to We to content execution

that norms, to QX. Turning had pre-pandemic saw to trends our we In quarter, not to last versus outlook returned In cases Pinterest began for trends on noted XXXX. yet mix remarks at-home the QX, normalize. I specifically preliminary my of that use in engagement out-of-home these to

cooking propensity of XXXX we the fourth decor saw was adopt to Pinners quarter the XXXX. cases For example, like similar to the quarter home in of fourth use of in or what

changes unwind case As that to through after we headwind be normal less competing the revert seasonal from search mix, engagement persistent spent engagement move That meaningful from pandemic trends. more and use as lockdown will are time our could we particularly said, headwinds lap easing widespread will and a mid-March disrupt potentially we of when algorithm XXXX, expect we restrictions. platforms on pre-pandemic the

know it's to what this most context, we we think Given helpful today. you tell

Tuesday, global $XXX.X million. monthly users approximately users February active U.S. As were monthly million active of and $XX.X were approximately X,

grow our QX that side, On QX high the a expect into revenue basis note revenue the to teens few revenue in guide account on we Please takes a year-over-year. percentage considerations.

could our and believe First, supply advertisers the challenging who a this issues. for remains few We CPG persist are macro environment quarters. with for headwind other dealing still macroeconomic chain

turn, engagement monetizable we're opportunities declines digital be advertisers. to monetize Second, but we constraint not appear more price-sensitive our we advertisers same higher goals. constraints CPAs including achieve CPAs. This eventually number in higher today, monitoring overall On could There that for At our a continue in carefully. exogenous that some supply their seeing demand impact could resulting to some have to from in higher if we're CPAs, the see factors investing supply it specifically, advertisers. of Pinterest, on ads existing our to are on that help expect to supply the continue, and is time, we're and something monitor

in likely quarters future in Idea QX. it Pins investment modest as be headwind native video will content and in to Third, revenue our was a

However, that revenue over time. Idea both and be engagement accretive will Pins we believe

our year-over-year. our operating quarter on the in shopping, investments and expenses XX% business priorities we accordance our I fourth success. accelerate Non-GAAP Finally, experience want This with to expenses. key Pinner touch content, to inspiring year, of in strategic advertiser plan the in grew

operating our Pinner native sequentially, research headcount around marketing. expect investments and first our non-GAAP We continue across we quarter quarter-over-quarter and our XX% expenses scale content to sales and grow in experience our and ecosystem, to development as core

year-over-year. find you as For to at all people partners, growth to around change we'd likely you to come cadence inspiration. that in at from our creators can the open advertising our up questions. non-GAAP operating of Thank a we look The grow the we to Pinterest, XXXX quarter-to-quarter, with sequencing and but expenses template. suggest expect XX% may it that Pinterest spend that, the year, full our quarterly for And teams

Operator

comes Our question of the first Ross from yours. Ross, Instructions] Sandler [Operator line you. is Barclays. Thank

Ross Sandler

there's the nice of pointed some ask so there's to way I'll a that leaving recent this, reports number Ben, of anyway. Hey. But really press been executives not to a recently. company senior kind ask it just

on in Is how And guys with what's you comment you 'XX? just feel ranks management fastest that? you Watch growing at going of your that And can in one senior we you look accurate? not about said history. as products is that on the then the tab So agenda

any too a be to early? needle big this a 'XX? Is Thanks put some just of a in to still in expecting Or mover way it lot. around engagement? this be you could So numbers little how are terms

Ben Silbermann

turn. Sure, in a Ross. I'll take few questions

lot a out of careers. people reassessing back, step a their taking all, of are of and they're first So the pandemic, coming

responsibility so the great We along take over what many also that They are you in we industries just relatively to companies, peers, people done. roughly their entirely. covered, step our I'm covered conversations And folks tech some that employees line articles talent calling departures with attrition a tech to are aggressively. just on in bigger that XX% grateful what our roles grew in joined that private remind excited we've of also is our of changing employee bench step recent we which I'd about. many company. last And smaller by the and or have made leadership this for pretty in to reshuffle. joined of Pinterest. they've believe with pre-IPO ago. year. contribution. a here I'd with rate some amazing our that companies hiring for provides based several named small that the roles, an next The a take an of has cases, see And been headcount more we have in lot press some incredible on existing others. we're people everyone thrilled is I'm and say some them years at our were They new But at

senior talent we're great including Finally, content. new making able areas where to and shopping we've in been some welcome investments,

story of that's the there. kind So

we're we're second that would Watch just in not we're why it. and we're on the breaking investment but Your though folks the why I effort optimistic And question yet, the tab the say in about Watch tab. What even out general making it's about remind is specifically. engagement early I'd creative by is just really surface and days excited

competitors enormous people really reason opportunity ways. just is first to comes provide the them from by real video The is all experiences has ideas Pinterest form innovation of we or investment value can an Pinterest, being on on which realize get real more is the something while on by in But an is entertainment, And creators our over we're we see and from what and vision adopted useful proposition been connecting down providing, industry. help form most the making, people today, inspiring and to making buying video new is on actually advance short think core short inspiration. in by that video doing that life. Short focused then focused to that

second reason effort but people frequency is that to trip. on new on life. come we're that's their spent to be a the project They visit. want we can on The home, People to but time, more tends time plan platform, fantastic, might often over also periodic. creators' engagement increase that the Pinterest a excited going take might both is with think something the the remodel And or when their they to want life which in

lot of mechanism If published up world, either subscribed passions It neither. year, largest share by in you at and their and platform. really they creators or back every creators buoyed a was strong which their between can social had ideas with late look pulls some the you Pinterest people are until their of a platforms sort by the of inspiring the messaging component, audiences. have they networks who And day. connecting last We to utility the think

that long-term, Over the can shift.

for experience the and impact business net both really early in have will improving core on we're but the excited the users we're about So days,

Neil Doshi

Operator, next question?

Operator

of Our comes next Eric Eric, Sheridan is from yours? Sachs. the Goldman question line

Eric Sheridan

much so you if Thank Maybe for taking two, can. questions. I

of what about bit the versus as And versus as markets then on a come you building the talked seen 'XX, some you expanding in to had we through you started learnings like you're some frame of the a monetization those reflect in again you've expansion some of international investments I'd release, those some on and As size side into out exit both from look investment markets. love it the Can market be and to back efforts, of market what the of in 'XX. in opportunities, what little especially the some has some of Japan? might the of of see we terms international Thanks.

Todd Morgenfeld

for great a and with drivers we're obviously had Thanks, the great one with the us momentum of international growth continue is to question revenue Yeah. traction our we've Eric. because It's biggest through clearest opportunities performance markets.

we I it great think - starts the team. with thing that a building

leaders. country tremendous some have We

We team. done bringing really about the lot on leadership a the have leadership, I'm of into some we great last over sales people great year. folks we've hiring of a with the excited that right job board. We've And just Pinterest the had right and brought

started right, So Pinners we and advertising to reason that's experience of quicker? one. weren't make the the for we both often user More the U.S. the the when experience question monetize what platform our And internationally. part broadly, funnel get that's sure that are was great right advertisers wanted why stack advertising built to to delivering get against monetizing full we to proven We've and We've internationally that. our we we've results And done. ad in works our the tech we

find learned advertisers is that the success because to trends. found right you've built before that sales therefore, on happen to go-to-market attribution of on a kinds unique do success. nature coverage What an of and and is what - find commercial are about the There's are that platform. the able mindset those who the we've the being in Those start What of the that we've asked to windows. the and advertisers Pinterest? this replicate been one right we've value in U.S. safe, something lot model have long that of lot open, model And of advertisers of we out platform, the inspiration-driven We in brand that learning needs is that to buy they and which and education same internationally questions a past insights users value longer

same off, little notably of great in opened, markets generate traction which Western to those takes to those growth most understanding seeing kind unfold community. And when advertising it playbook, it's paying off that so that relationships, in a that pays great and with build the we're But Europe. in we've longer

You asked the question XXXX. about

of terms couple In growth, Latin more America. we're up a in countries opening in

So Colombia, Chile open will and this year. Argentina

start really then we're monetizing to a So reach Latin extending as And deep within in very excited in in America. the ad mentioned, APAC market Japan. you

track. of question, early I And I way some opened the think it that of we've markets And see time. while end And Latin by all on contribution contribution. to exciting for to So some We've those year, growth takes to is we that's from expect your of continue would the but reflecting America us And seen on long work this year. future a go. got last potential the company.

Eric Sheridan

Great. the for color. Thanks

Neil Doshi

next question? Operator,

Operator

please of comes ISI. question go ahead. from next Mark Mahaney Mark, Our Evercore

Mark Mahaney

to COVID growing pre-COVID Thanks. start and or are monthly looking to kind able that Like for little gain and active MAUs you've ask what going users. growth but order that just Thanks. I know just of talked in North Okay. please to American a series to I'll it. fall? to and conviction again? reasonable going to before, cause this then you then you'll What's bit you about about the MAUs stabilize click be rise to double steps be get of the back And on had

Todd Morgenfeld

know then I'm that start, on product weigh and bit the a little we're to happy I if Mark, - Ben in Yeah, can work doing. don't

our think user the the to ecosystem and content that path to overtime, frequency differentiate content your platform, investing creator experiences address and building led video platform drive the question is the connections both point. of And shopping commercial toward enriching advertisers. people that and exactly short answer experience activity in short that's use, native a that form to to connection will we more will the overtime shopping users I think content, we're - respect and to to with

personalization that's more have, overall the experience leveraging data recommendation We're So engine. longer by focused the answer. the our also year user increasing rewarding we this term making on improving

I spring from And prevalent. more changes QX, shifted behavior we and some pandemic the folks see year - lock with cases down, activity. the things Google. at-home about think use rewarding to session U.S. for of So shifted continuing we more activities, saw of talked of standpoint, a impact strength engagement if came through ultimately, growth. pandemic from more QX and conversions a user more cases. gains impact. to we're really the that a home That We, became terms large search benefit in did lot versus in unwinding clearly cases platform And the algorithm user to and benefited. more economic of the stability, drive we've couple know the And at life, years - of don't talked things out of I that about in from cases the reversed to because over from lot out-of-home people of of in a associated when more use had last an out-of-home last globally we One their we will use experience. quarter, But We use it our user engagement before. things. last frequency the looking the further those build when of is in a couple out the and

QX was related. to related search less drove search-related of that sequential the It to that QX decline traffic so Pinterest. And changes to bulk pandemic more not algorithm was growth,

digits of globally the actually terms single down mobile out Internationally, In impact were the that, around we stripped were up app we direct up users in X%. in XX%. you U.S., of were year-over-year. If we high the

respect bulk product? users spent that's on our revenue. So to resilient you who want Ben, we're who much most investments know with impressions, the time know of I don't if helpful. don't more if resilient dedicated and the drive engagement deepest, to pile with to users the in the I respect making are

Ben Silbermann

I an about creators; shopping. would overview. kind we're Investment investment of is you kind giving investments did in Mark, Todd, that a I great making: job different only thought thing in we've talked add of the three an

experiences. Today, them; is when in and and user like take there connect our back But see So where to to where step inspiration buy is as things you kind investment vision of all a to play things, an if then, core aspiration coherent with they are realization our experience visit. places our friends, a of the people be can course, build to your personalization role. to X build those X discovery entertained. of an places you But are there platform important

You things online. understand recommend aligned products, We something individual connect with that those your eventually you buy doesn't then traders we experience and taste with end-to-end And that can is directly. exist that are interests. your and

We'll So by And services play build year, launched core and will experiences. those creators really we're in been expand the but the which company. investing and And test Most This element. top competencies into relevance. shopping shopping vision, three to buoyed core of just learning to out always continue would earliest. advances investments are adds the on features say machine these then API. our an We'll dedicated checkout. that our personalization more a new is and important computer in improve native of it personalized we'll over time. I that's for October,

And platforms. space common that everything and gets shopping realization Todd really to we course reduced vision. down three And the networks driving creators, But inspiration we're this are, into social course. mentioned from focused market. from differentiated on So at know Pinterest pure personalization all are in and of and time. think that spend the fundamental all investments that's We owning entertainment in on that is very I charting look towards calls, these time really the ads. different a those things

Mark Mahaney

Thank you, Ben. Thank you, Todd.

Operator

Morgan Stanley. Brian Our Brian, of please next comes ahead. question from Nowak go

Brian Nowak

for taking question. Thanks my Sure.

innovation advertising or your mean deliver the a I sort you're have about robust the know on focused Let that to you return the I types of monetization investment advertisers. more areas on pipeline me one of for pretty side. typically ask of

look you advertisers maybe revenue the products throughout As Ben, and XXXX? more areas, you really where return think out roll and can that into in move the what most really deliver to also excited your you you're or really invest for are

Ben Silbermann

kind talk our Sure, mind. that keep is in Brian. shopping themes we first more And about them the bit advertising and And of go four I'll about automation. teams into talked in little I'll a before, detail: then one

So continue we're our going automation to journey, especially management. automating ad campaign

going optimization. is relevant to second The be and

Third, And together, which the I'll we're them think finally, Todd I touched like on, you was then And color some just journey walk give on. individually. through shopping. international expansion. And that more they'll on

We should that the an management. care with still Pinterest from look, automation. goal runway away lot we their to our as advertiser a be should their show So far I starting pretty of campaign and goals always And able rest. mean their take has just doing with automate of budget, ad content and that we we're been have that. still believe up

past, in are heard about So that linked you and for talking to directly value advertisers providing Pinterest. to bidding But fit year, this us are investments natural really our small automation. the midsized more

increasing delivering in ad result value. should the that greater efficiency marketplace so our of And and

Again, believe machine sort our we is but leveraging graph should our Second which underlying efficiency the is thing leveraging never room relevance. we stops, learning. ads. improve engines our that that This of of and relevance really have further to is taste this improve

like ads, content. just people they see feel when So

And Todd with talked we're know quicker. the built few look for of we're to developed services. the market there still a subsequent monetization. highest when we over that surface did great all huge in has across our that headroom job intent each with how little a bit shopping bit little that playbook particular, really covering that the markets. the off feet and international. we I Third, commercial last of about our surface Like then We I'm new said, learning finally, kind expanding that the get And to we we've years, team the of a excited

see first. just on So easily people great year-over-year spending we're that promote amount the investing in of products. simplifying they're shopping ad time of more And consumer so doing the brands in surfaces. experience number building their searches, we our formats product shopping can But that we're also increases

So there's experimenting a monetization. Pins lot with be Idea there. We'll

We some growth of off speed. to are wait expect creative pretty for to that get that of pursuing. think But that to significant revenue innings in early drivers there still going economy we're of lag. we future We're sort the

Brian Nowak

Thanks, Ben. Great.

Operator

next Greenfield from Rich question the is Rich, line Our comes yours. LightShed Partners. of

Rich Greenfield

how their thanks you I highlight Like with I sort obviously what Salesforce surrounding guess increasingly size scale guess Meta say. look are I looking continue And challenges the you're and happened Ben, just algorithm. is last of speculation it platform there lot at XX tech ecosystem. iOS sort I ecosystem, guess changes question. important Google I of the of XX, commerce would to and media even tweaks, do what when do way looking at of question begs in a sort of the in? was of need taking the Hi, all think to you especially where think and looking you for you the you broader sort about the about sort is, where Like want? of consolidation? year, acquire. accomplish acquiring, be guess to ultimately open to you how Are you Pinterest How fits question

Ben Silbermann

I parts Rich. there the to answer. think Sure, Well, are two

the And more as I a touched CEO but I detail. really in do place have we an go I But on market. that like I'm can mind. unique little and always believe pretty before, First, open bit it keeping fiduciary, into a

coming do that fundamental They're really human the to to connect come And other with that's into plan getting the need. for and inspiration other than coming something then that it. laser-focused the need. to at and away. to planning, better on is future audience her people they can for planning above we're into better not platforms. And share They're they That's actually I them all your retailers and their comes huge Pinterest fundamentally going need a that products at targeting friends. coming envision increasingly, is there to First, that what helping to to we're knowledge different connecting a future, think the individual eventually the ones. and that's the advance that, not

then And media have for that's different The them source intersection a in specific second pretty trends of creator lot in that of discovering secular growth one to on facilitate video. to online few but mobile for. and may to actually that buying, ecosystem see taste, those. to it And a this but at verticalization think I trends And it's are for real quite positioned and format inspiration being a that of that's going Pinterest settle pioneer of new your infancy video, do its over in investing is we're not believe they industry. still truly that time. to new coming sits what really is do of still with of video shopping, creators product in economic some providing both thing I happen we're you're models base allow I'd finding growth in action are And something, that the looking open. creator for, as revenue people but believe we And of industry. lines to say intent Commerce also interesting a specific well an I business. and not we're finally, just the shopping

yeah? - the we've few what laid years so over And last out

Rich Greenfield

in potential are to competitively sort So TikTok to to beyond on comment be else that competition. made TikTok? tied could looking is impact engagement clear, at have I something of Or the Todd risk we that like growth when just mean, the about future? a about there you're speaking specifically I something think

Ben Silbermann

Sure, attention and mean, all for the competition competition kind seriously. argue I right look, that industry is most user we Rich. probably of competitive the would I take time world. now in

the was of that try So think think what we we can we TikTok We answer. But Google. spirit And think also We about course, differentiated. the to that's about on offer of about. last focus Meta. really

I So helpful. hope that's

Rich Greenfield

Yeah. Thank you.

Operator

question go comes Anmuth please Doug, JP Doug next from Our ahead. Morgan. of

Unidentified Analyst

secondly, share share to have to this space? one, you us first And you the are changes and you just why and be update for an Steve advertising Doug, could direct our views on [indiscernible] about and traffic It's so timing Great. are forward. more that beyond checkout on maybe algorithm for think Google impacting you guys for give To going thanks mix how questions. taking that do then where will the any

Todd Morgenfeld

Yeah.

I think other was the the a was couple of questions native in around traffic on traffic. and checkout. there. then search-driven One And direct

second, to forward native to just the look the testing and we and the broaden over piloting year. continuing checkout. efforts On those of course started scale And we

days. early So it's still pretty

into the tried answer had was give engagement. time we color our traffic have native color direct ways out traffic see the more that and bit material the to to respond think about ecosystem, Google is answer truth a makes give wanted to robust respect the a little calling and the reason that some it's which and out. to factor which first on another direct it difference year-over-year on that we're MAUs that the building, you usage MAUs. that one in did And lay mobile between that The direct described. app that versus those best search-driven usage, you search-driven And We it. I are It's November will are and to is content couple is been algorithm One changes on for I've thinking long-term long-term not with the a of regularly. it. But to happened. bridge I mix, On sequential product how mix to working I why we're impact, trends on a be on

Unidentified Analyst

Thank it. Got you.

Todd Morgenfeld

Thanks.

Operator

comes Baird. Colin, with Colin ahead. go from Sebastian question please next Our

Colin Sebastian

gage overall, in then for level be is what you've know the platform added the well. the All engagement. or might the of guys. for from road for performance I that's and disparity up first like YouTube. the a more and desktop. native down example, true, afternoon. off, some lot guess, app I personalization to wanted Thanks, trend. concentrated Chief work done app. I better follow the on know me might If the secondly, Is between mobile And Content on a as you Good terms right. of of and in - Two a you've usage and content, engagement app Officer that look I

creation. was Malik's experience think native content and I lot of the content for premium

if on for with Thank us platform? to YouTube's wondering areas serves what to strategy video I'm you. hope a So achieve you respect brought come to in those somewhat play of the

Todd Morgenfeld

mouth. the of Colin, not versus talked driven why road being don't seven the Pinterest I'll traffic? then invite word word if user a automated. terms on remember to And when show, is of about of immediately talk I Much It's kind getting search-driven largely the but mouth the join, team start with lot linear product by talked more where a we - on you - and question of on the about let our friends. different social way in it's we a your company piece. were of Ben Search-driven traffic of and you leadership growth of our marketing media. We've viral growth, it's back

you that's for you looking new and recommended a You're you content idea, to Pinterest. have discover

it's growth an driver. of important So top an revisitation it's and also funnel important driver

life. problems in when together. people think new important uses those of first give engagement churn. For of introduces people color source our it potentially considered the that But the and the of the a spend important the very their revisitation of byproduct to reasons, because app our Pinterest are revenue solve time because And reducing and MAUs to to where for on opportunity. therefore, that. wanted their bulk we it's a mobile impressions it's is I two time an Ultimately, part are

why we've that's we the it So broken out way did.

Ben Silbermann

company, learn least premium a both problem about analytical as as kind have to kind things. experience in we platform our the say is, the welcomed importance at user-generated it going lot Yes, from And of few Malik as forward. reflects as I of are would kind a Officer, with pointed of Chief He's We're role first content. YouTube. you well solving One Content a Look, we impressed content and Colin. there really and the development. on out, of audience

The is other positive thing folks where that to I the was really it's interested nourishing, in and is that inspirational. Pinterest that really wants is place to we serve content be a

tighter about users toxicity overall. or content on life, like you're you're the a services have content it's tried think positive where your bit that's that's environment online is little years, on something of sometimes And in polarization of focus that because feel a and over thinking mission, many of they few has a is last inspired quite a right? being inspiring. of I don't have to or that's have positive an core enriching. that that important lot If to while Pinterest kind our the appreciated bit for our

And a on I'd side, Kids at or more working experience with insight. some important ecosystems, so I looking that content some of team. premium building thought brought also really the positive share like his we're it's whether whole YouTube

different And verticalizing. so and I'm attention initial on of to fast chart days, in ability always They're leaders, these similar. team's own and looking I all a end to there's move that Because think about but while going path. look lot may its innovate and platforms of up excited they the content their really

their develop follow life. going a kind we're inspiring of of users towards really And them to day-to-day works content to in mission Pinterest so need our that the really offering and

Colin Sebastian

Thank you. Great.

Operator

UBS. Lloyd Lloyd, question comes of from ahead. next go please Our Walmsley

Aakash Agarwal

questions, Agarwal Hi. on Lloyd. may. I Two for This is Akash if

with about you talk users And active trends maybe question of relative this like mentioned you you then or can higher the would overall second the is, just driving spent? outperform newer in seeing increases first weekly Are Idea The leverage be, time frequency shopping frequency. some MAU? how back - video? are are metrics to Pins particular? consumers functionality in the come Pins who shopping is and in frequencies? Thank seeing Are respect you. Or with seeing you story, to actually What greater you more it formats

Todd Morgenfeld

start. can I Thanks for the questions.

weekly ratio public were We basis time spent, percentage last a weekly stable metrics been filings about, in additional active you pretty years. annual et over the So users, disclose that's a few active as do users our an cetera. asking users, on the monthly of active on that around and

answer much time, we've a kind surfaces the a natural of of APIs improved much much a better more last respect journey. that dramatically few from we've we the With dedicated experience, we've user on shopping with in developed. go shopping a more enabled the amount in serve purchase ingestion our at lot idea catalog allow natural shopping the that's investments that of we years, by to users can over and work the to been So one. making to the same inventory shopping seeing are And

are users QX from QX of XX% shopping sequentially As in up a We're result year-over-year. grow who surfaces pretty of that, engaging we've seen a number XX% and meaningfully. to

differentiated the ecosystem we a shopping And encouraging. really next the our this a lot on I that are connections of coupled make really should across we're over build making content lot with there ecosystem, So of years think a Pinterest. video investments few creator-led can experience native

a have press have improved may You noted shopping pretty from to on deliver also ability some couple shipping the interesting ago products AR, AR perspective, we've that technology got the our that days we experiences. of really been a of some

teams our So excited innovation some of have the about that really built.

Aakash Agarwal

you. Thank

Operator

Our next question comes from Justin Post of Bank of America.

go please Justin, ahead.

Justin Post

EBITDA during Great. margins year. were reach accelerated XX% for I'll you pandemic, able Revenues to the one. and really last just ask

any some thinking And about of you're learned So the year. business? to doing next how be margin just looks going you the about update like What margins? more you. on Thank you're investing long-term have potential

Todd Morgenfeld

gross Well, continue we invest year, have a kind high profile, Thanks, to at respect did year the of banner spend By Justin. of performance. we the incredibly were margins our - with aggressively. levels. We to end

head lot I - think we of in a quarter headcount fourth the year. XX% was fourth got Our more further next into count growth We're going in to like ago, a in ticked until XX% every it growth, up this quarter. points few year. investing year the a That quarter

we great business what is model I that proven we've that and business a think working. is the have

be by over results. delivering That that great hold make the confidence were pattern when that building the enabled potential of plan, audience. is when of course investments think execution an suggested, have our we year, started a right that to further lot what looking success company of the we we with standpoint, also international landed how a come few gauge a guidance know our to long-term at years we're investments which the view ourselves internally we of rebuilding we and - to to at we ago the from we is that which we've I needs the this

monetization. in was forward that been U.S. and international concerted great turned built investing users execution, down plan the around We And a perspective a monetization a reaccelerated that. that for a U.S. of creating We did talked investment of building around ticking user building from lot we've That and investment same rate again, thing we in user right shopping the and worked compelling put and a business with international a that growth the had in the plan growth outside and business, in the are now fantastic. in experience our well. was this Our past, about effort,

Is will all those projects, for over accelerating us confident strategic looking other helpful? for help our this that focus, year of deliver I'm investments outcomes we're and our against like long-term again business answer that. next few the that So right years, the the next that

Justin Post

you. Thank Yeah, great.

Neil Doshi

last Operator, we'll take our question.

Operator

will go Rohit question final come ahead. Rohit, Our from MKM please of Kulkarni Partners.

Rohit Kulkarni

cases Thank on underlying trending other. is the a and you. letter in I the versus of only engagement commented showcased way or travel the past, is here One kind that in-home pointed one you've in could. out-of-home just Two, creative vlogger. the if just use is I

like campaigns. kind on on out-of-home use just how beauty in-home versus of advertising managed fee cases? question are travel, And is versus engagement could you say, automated comment say another trending the for, if So

If other? versus that automated campaign So goes just of advertisers those you pathway the ad you funnel are type could that ad one there campaign? call a full Is questions. from Thanks. two a an managed out completely to advertiser what think choosing are a

Todd Morgenfeld

the question. I'll with Why start don't - I second

we've with ad those lot of mid-market seen scale investments to base both advertising the lot those of a not for is it to platform. as would way respect be onboard, success to the where that a community, our results see through an easier And instrumented that our all been the in today point fully have as managed We're the it kind we advertisers advertiser at cover field we've on in spend. think to we spend our making and sellers, to automating of coverage yet that increasingly experience their make team. long-tail stack like I of unmanaged

been And on right before get go-to-market up the model respect building been And all stack, there. making we With time right all investments, that we've the take that running. we've and some ad the we managed until seeing to just focusing so it get returns. will

I you about that's don't So these one. know, cases Ben, if to wanted talk

Ben Silbermann

on going use I Pinterest mean, often broader what's in cases Rohit. Yeah, reflected society. have

bit So seeing as and Todd with mentioned, outbreak we saw hopefully, a more return we're And little pandemic. to a big change normalcy. the

historical I in Pinterest some think we're all had always lifestyle on hoping for that. core itself, strength I verticals. also say

ecosystem of as One we But expansion early that the is see some days. of We'll build start and ability use their directly hopes different on scale benefits again, Still cases ecosystem. can that creator our see to one that and we own communities of give the kind emerge. Pinterest. it's the creators to of types build

And they so create mission in continue helping will our it to and life we a we're that of them think investing because inspiring excited love. advance people

Neil Doshi

Great. Thank we'll you and our see you call, next for joining quarter. everyone,

Operator

for joining. you This Thank concludes call. today's

lines. your disconnect now may You

Pinterest (PINS) 4 Feb 222021 Q4 Earnings call transcript