Pinterest forecast second-quarter 2026 revenue between $1.13 billion and $1.15 billion, topping analyst estimates of $1.11 billion, sending its shares up 15% in extended trading.
The image-sharing platform reported first-quarter revenue of $1.01 billion, an 18% year-over-year increase that also exceeded estimates of $966.25 million. Global monthly active users reached 631 million, up from 570 million a year earlier.
Pinterest has been expanding its investments in artificial intelligence, including upgrades to its Performance+ ad suite, which automates creative production and delivers more personalized targeting. The company has also concentrated on attracting small- and mid-sized businesses as a growth segment, helping to offset a pullback in spending by some larger advertisers facing higher costs tied to tariffs and geopolitical conflicts.
“Large advertisers remain important for stability but are not the primary growth driver,” said Lenny Zephirin, principal and analyst at The Zephirin Group. He added that demand from small- and mid-sized businesses is improving for Pinterest, though it remains cyclical and sensitive to tariffs and other macroeconomic conditions.
The results follow activist investor Elliott disclosing a $1 billion equity stake in Pinterest last month, backing the company’s ad revenue strategy and a new $3.5 billion share repurchase program.
In February 2026, Pinterest completed its acquisition of tvScientific, a move aimed at extending advertisers’ reach into connected TV and opening up new ad budgets beyond social media.
The company continues to compete against larger platforms including Meta’s Instagram and Facebook, as AI tools reshape the online advertising market. Rival Reddit also forecast strong revenue gains last week, citing AI-powered ad tools as a key driver.
Source: Tech-Economic Times