Pinterest (PINS) 7 Nov 242024 Q3 Earnings call transcript

Thank you all for joining. I would like to welcome you all to the Pinterest Third Quarter 2024 Earnings Conference Call. My name is Brika, and I will be your moderator for today. [Operator Instructions]

I would now like to pass the conference over to your host, Andrew Somberg, Vice President, Investor Relations and Treasury at Pinterest. you. Thank

Andrew. proceed, may You

Vice afternoon, and Pinterest's September us. to and for XXXX. Treasury Relations for Pinterest. thank call for you I'm Somberg, earnings Andrew ended name joining of the Investor My and Welcome is Good President third XX, quarter

Investor me call to also are our Ready, presentation, to refer providing slide presentation are Joining our investor.pinterestinc.com Pinterest's Donnelly, commentary. Julia to we and on press webcast, website conference CFO. This and today's accompany find Please and our webcast call release. Bill at CEO; Relations is being a today's earnings

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

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

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

on information refer For please that Investor affect the factors could uncertainties filed XX-Q and other website. Form and results, with SEC available risks, recent Relations XX-K our our or most to about Form our more

and our measures. public present which GAAP the will release we website. the call, this are During of to and A non-GAAP distributed Relations available through non-GAAP directly GAAP presentation, both today's measures press in earnings financial comparable reconciliation and most to measures Investor is included

today's otherwise specified. Lastly, prepared should unless rates year-over-year all remarks growth discussed be in considered

Bill. the to I'll turn now And call over

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We the and world steady throughout to of rest these our markets a expect partnerships next quarters. in progression ramp few

the around period corner, with help holiday the right year. to some of users I'd season drive launches Finally, discuss the exciting most the retail most to our remiss during be help sales and advertisers not of important shop

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suite For to highlight advertisers, machine better holiday shopping help powered of a launched learning new tools their by we've advertisers discounts.

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example, early recent our click-through For an Xx of new on Spanx promotions rate feature and a in increase campaign. was their saw adopter

deal to new stand the for been about more stages ago, they've and progress offers which across format, many at pleased are Second, number performance. Investor Julia of sale helping ads share were visible brands details These more connect a development with that initiatives, of our our making with a during to helping to making with the with I'm call out Day modules, turn I'm that, users we ahead. With we and moments. Overall, enhancements the high-intent about what's over gift help Carousel of our early optimistic ad more launched in user looking financial even year I'll base. easily special perfect find advertisers the users

results discussing unless terms be revenue quarter update discussed XXXX be financial on be I'll an year-over-year on our our All Today, everyone. and except non-GAAP otherwise in basis and afternoon, outlook. XXXX will otherwise good fourth unless will specified, noted. third metrics, all comparisons for provide a discussed and financial Bill, preliminary Thanks, quarter

results. with ended record quarter growing XXX million or global monthly XX% high. reaching and users, our with Let's MAUs, start another the yet third We quarter active

our and million X%, million the continue XX%. our and demonstrate growth markets, Canada million we geographies. XXX world we XXX in QX, across U.S. user Europe growing MAUs of X%, had had to had In growing growing all Additionally, region our MAUs reported rest region XX MAUs,

currency from our for on revenue. to and constant $XXX we In which strength funnel, The basis. clicks to across are this continue From value XX% how strength and a driving QX, strength Moving for the revenue our we see lower million, full advertisers consideration coming revenue conversions. reported broad quarter global funnel was highlights with retail. and up conversion vertical objectives, optimize a perspective, in

verticals of automobiles emerging source services, financial technology like to Additionally, strength. continue and a be

partially growth this subsector continue and offset food beverage was CPG, broader of advertisers to the softness navigate headwinds. However, within by industry where ongoing

QX, Next, demand base continued the third-party QX sequentially as growing delivered revenue first-party expected, business. it continues as in to off our in from complement growing to ramp revenue partnerships we our

Rest reported both and million, Strength basis on reported XX% was $XX in constant driven on a to the and retail Revenue revenue retail. from on geographical U.S. Europe generated we $XXX XX%. Canada, was services, XX% In Europe, $XXX In million, XX% Turning currency revenue, of including automobiles. a growing a QX. million from basis. came emerging financial and in categories, currency growing our by or Strength was for growing basis. breakout World and technology constant

ad while declined impressions year-over-year. XX% ad In grew QX, XX%, pricing

international and or serving previous to auction have markets ads monetize dinner begin Our net revenue. been efforts accretive to

an due on to in led has However, global increase shift. downward the quarter, of and these growth pressure mix call ramp pricing last ongoing started to impressions as platform the also ad to overall initiatives naturally we out

cost the resources margin we adjusted second more our through expenses. Though allocating QX, X% to user and continued due highest substantial margin And optimizations on to year-over-year comparisons in revenue and effective versus $XXX EBITDA to partially becoming while year-over-year drive offset up and QX XXXX, in spend. ROI to are spend expansion half expense X% drive continue to initiatives. related work again QX. by challenging infrastructure our achieved of of engagement up due the In Moving expansion discipline towards was to million, infrastructure increased growth, cost our

and expenses where headcount $XXX primarily increase Our to was due non-GAAP and growth in are operating up in we was R&D marketing sales with G&A. increases million, smaller investing XX%. The

Our of and million at strong $XXX EBITDA points XXX This revenue basis EBITDA with last another versus of strength was margin in an to QX year. up discipline led quarter expense adjusted XX%. adjusted approximately coming

marketable Finally, In securities towards shares. total spend quarter million year-to-date for with billion. we a the of XX.X our million we share to quarter, ended of the $XXX cash, repurchases, equivalents and $X.X bringing $XXX allocated million cash

of In settlement addition, utilized year-to-date of on awards. share we have equity $XXX cash million net

period mitigate billion replenished have buyback a used back our share to shares. intended $X or opportunistically from stock-based we capacity authorizing a buy new to program by compensation Lastly, dilution be repurchase over multiyear

Now the I'll quarter. our preliminary guidance for discuss fourth

QX expect current of to Based to XXXX We range XX% billion minimal. exchange year-over-year. growth the expect XX% spot to $X.XXX rates, $X.XXX be we be revenue impact to foreign the on of in billion, representing

expense our to now Turning guidance.

We $XXX XX% expect million, non-GAAP to expenses million growing QX operating $XXX to year-over-year. of XX%

guidance cost revenue. expense operating of include Our not does

more non-GAAP is our where we invest driven operating R&D, prior supporting for gains anticipate the monetization. of product non-GAAP The cost significant talent and X by and expense other work. investment However, of modest optimization we we leverage increase headcount in year-over-year initiatives to cost year-over-year AI versus in continue anniversary as revenue in from QX increases quarters level a users

our in EBITDA in margins half Consistent our progress level prior we anniversary strengthening margin more EBITDA adjusted in we we commentary, toward as expansion at in XXXX Overall, modest halves margin adjusted year-over-year drove EBITDA adjusted the half target. with though expect our XXXX we of second long-term are pleased second of XXXX. both a with the the

progress which against strengthen for users team's and and advertisers. to quarter, continue offering I'm with our our demonstrates as closing, In we plans strategic full pleased engagement performance our grow this ongoing funnel

over it for final words. to hand I'll that, Bill With some

with and our find for all we thank Pinterest up people can come partners the to to advertising Thanks, questions. teams that, the Pinterest, inspiration And call at that our I want open Julia. to

[Operator Barclays. Instructions] phone the on We Sandler first Ross have from with the lines question

a just at holiday the XQ Any category the or guide window you're what into couple that strength we with here? are starting you talk impact from just then the kind point least at like for just would quarter-to-date? of generally, decel Maybe Great. seeing looks midpoint. macro. things Could your flag of or Julia, And heading 'XX? any about shortened how

Thanks, Ross.

entire but not So business part to to into XX% from as fastest-growing Revenue to reflects X guidance in for growth noted, factors continue helped in roughly in QX had expect Lower over XX%, funnel XX% which to XX% QX. revenue really at sequentially And you drive that our at driven has throughout by high we continues that that the we're beyond. the QX the third-party guiding of QX the QX guided past to product QX year. funnel lower range of for continuation just partnerships growth innovation we QX. ramp XX been is came and of XXXX at demand we've similar into for that into And the months. strength end our of the quarters, this obviously, the XX%. a many And and we last also

expected, navigating last we advertisers for and seeing few food shifts this quarters period. new think advertisers with we've that within softness are And However, of budget still that rollout out who in the category. Plus as and also adoption call is noted trend the during continues into headwinds limiting I many beverage we're features well. holiday among QX would broader Performance that early peak as phase also

we efforts curve in lower gains product be and like We with beginning on multiquarter, in the next expected released commentary CAPI, funnel ROAS further value capture future be also have the which and with with functionality to is lower prior year, consistent the and previous line. And our are seeing time like bidding cycle MVL, to Plus more funnel. QX the we on to Performance compound XXXX adoption in just Link Direct our expect come the

Brian have with Stanley. now Nowak We Morgan

have I two.

is, how one step say, walk second sort important innovation last just sort and one, Julia. GenAI and most new -- Bill do or XXXX year? the first Bill, And can the capabilities then change The can perhaps course you you either of us of I of of points ad kind through back the off focal your jump those over a

where think that areas. As durably growth about tech sort it really into to a more see ad faster to dollars? the just there you of of you is sort just drive there's ad XXs? add the any potential innovation Are revenue many of the Or hopping chance

Yes. Thanks, Brian.

out Day, all, look of nicely. we XXXX, on revenue drive a out the initiatives good to the lower to we we first those Investor levers about have we further funnel feel platform funnel. continue in So really focus If as growth our with back progress all we make at play full continued the in building the concerted that outlined at

we've with well. of funnel advertisers increased resilient as like mobile increasingly with and links our privacy number of and lower the that especially measurement of are next delinking, capture, tools I value advertisers share largest wallet and sophisticated to a got As noted, tranche solutions most and now leading

over up across more largest our and it's see cohorts now lower advertisers, both of significantly grow X XX% we the funnel of funnel advertisers we of lower for account that some of is with in noting spend last worth mix So the significantly for with XXXX. over overall than And business. the which revenue the higher to us, years objectives room that see

not also are the including XXXX. new are within as then are more And with last noted and went Performance expedite to and value added into partnerships, helps creation. third-party category, then, concentration the and still macro to from the on things do have contributors -- GA really out capture go Plus food global look XXXX, campaign beverage of Plus several an those couple quarters, just A unique And as as course, midsized of We headwinds, specifically especially control. you there, note. automate us. accounts we've demand we in our Performance resellers somewhat as of

we of about you continue to initiatives into to noting, feel it's your side, growth beyond. the So sitting the second the about And question XXXX to worth and grow business XXs. asked on in our good getting

low If we grew beverage, initiatives and of of you the revenue driving. QX, the strength the back excluded and we're on in XX% rest the that business really range speaks the in food to which the

So funnel share. larger And we I budgets, remarks, are the be and durable. to prepared my into about moving than as is in budgets you gaining we're talked much lower we much external tend before durability. those where where more played those mentioned increasingly performance that

we feel good if just have our a our range headwind, broader been really exclude use to low business and So unique exposure QX. cases more we were again, rest because that growing beverage, macro a in in on the little about. of the to The platform. XX% you there's that And where food

excited the platform. is in generation And with that we've it with shop. we talked we've proven shopping And the year-over-year room mix see increasing the And lower remarks. monetization on could we be we then to Gen efforts Pinterest as aligned Gen winning about engagement, continue directly across Pinterest that's really what of And where increasing the be and really Z on per shared finally, as go the a an sessions out improve have of that there. with fraction of that Z. is goes unit actionability. funnel is That's include to intent seeing actions, platform. next prepared platform. more with progress But to our We're a still to I my case

compound funnel things picking feel that's performance and so consistently share helps. why of those a those efforts about lower Hopefully, to that are been continue we budgets, on strength. part And that all up of being our Those one good source another. have retail objectives, again, story in

We Gawrelski with now Wells Fargo. have Ken

you could talk clients see you Plus, adoption that expanding driving I Performance think your 'XX? as advertiser conversions to better you dramatically? time, know it us impression same maybe I'd have 'XX follow over year? in hear rolled Do one just -- do should in pretty an it the could think about already GA, to Performance I out how on to And both to and growth? talk but adopting on but in on builds the just other. better thoughts And do do see the that contribution Or been love contribution up its has how it driving throughout On you Plus then therefore, could you we pricing about about see the level you matter. greater versus know impacts, this or you

Yes. Thanks Ken. question, for the

rollout So of Plus. Performance the we're good feeling about

October. to you in noted remarks, at beginning just As prepared I and my that general the went of noted availability

early. Day. later, coming printed the a in about the testing budget So Investor paid that our just advertisers. that Day, that dividends pounding deployment shopping we and gains we Performance similarly revenue had direct saw growth from XX-month of think then a And before And into go it that, at things revenue my trailing X% early XX% of next are those on our That's year us growth ago as encouraging but always the leg gives mobile our basis. that adoption over A And that prepared had efforts, quarter really called I those really we is these results from launched next year. make in beta a of multi-quarter we year, Investor because out cycles. the done early remarks we with can links, year Plus we've we delinking,

to campaigns, setting where advertisers, XX% for down inputs a had stats to helps those. us your on XX% seeing then improvement we're I those up called been up campaign set inputs really of midsized initial the to some and clients results, performance fewer out the more CPA to of set fewer question about XX% struggle campaign plus a that sort finding get to And to those getting up

study, the a we're great click-through terms better on to in going of in seeing campaigns. makes we're rate visually really that doing shopping really well performance compared accretive side XX% standard creative which regale case of that for call the AI-generated using creative the reduction us compelling plus The get I delivering a in the appear the more and effort, as mentioned wider results So performance users. that, swath of products advertisers. there their that's We're should to study

of the So are gives benefits you there. how sense a just significant that

on XXXX. to more a So come that in lot

events Performance was campaign $X your advertisers. other I sort to grow picking those and a the level to share more more as billion like question of advertisers, to year. largest bid to another should of billion -- gets next really at $XX that inventory part group for into source we've to performance SKU So ease these granular more those of more the how gets onto about wallet next largest as question more much anything for we see advertisers some wider which up so more we're done get creation Plus of us go But this of bidding, ROAS inventory, very our going like, can expansion their advertiser inventory? we of level of and Your their advertisers where from us address the with now steam even time the of bidding the be swath we into platform, bring advertised help and inventory,

that's that Performance encouraging as QX. beta So in grow that results availability in and with that mentioned, on still bidding Plus general I

So things things the Again, place a on of gain. us lot those share great those all back as that we've -- all Pinterest confidence commerciality together can the inherent wallet we that of And to our of out give really shop. really users. there's both more a proven that's

but strong do seeing And So incrementality the see shift. of what it's beta the budget early there. and we among days, we're signs advertisers. given encouraged early really there we're performance by

side encouraging, hall broader that more season. shopping nearing the are even while adoption though -- HX, advertisers the make shifts there So big is don't that

Citigroup. with Josey Ron have now We

around shop. great But on question we've mentioned a is now follow wanted just to Pinterest I proven place Bill, specifically, -- to engagement. that out up you

adoption. thoughts engagement here, engagement funnel So rates AI, the question platform, of like how adoption take and A advertisers we're And we're several on of Or love products XXX from lower from us now on Link these Without just it say adoption I do in or bound you and in aside would process MAUs, these that think on just then click that the benefits you of your would this see help the but understand usually early continue in launch? of points? engagement. tools rate the second the days about basis quarters quarters? X as Direct X the CAPI, terms And here, to just does this shoppable around double

Yes. Thanks, Ron.

specifically how across shoppable you the a to it share business driving . When actionability that's So activity what's lot encouraging view and on engagement, users as the trends further to of X ratio this, lower users, both driving of how male low at, about as content, as that's with bright user steady engagement and higher on with more encouraging while be time we you the the be continue model engagement. is depth of in see even aligns spot users, reaching new platform, improvement years. sessions to Engage user we as user. engagement we alone. crystal see over oftentimes to in back bring has record funnel engagement, improvement, Those engagement in towards past deepening the to compared question, significant passive for users. to we new to of amounts really per driving in continue improvement been and Place driving ads a deepening as growth that be new monthly and shift that continues the unpack see increasing engagement that your high curation really really and we the the amount clear a the also an bring record dilutive we're is just to really onto wow advertiser gets we XXXX, clearly the in are really bring look activity, just But relevant of ratio amounts our value steady including our our clicks record user of of can which even bringing active

that's So encouraging. really

finally, highest most developed our engaged our you And to being consistent grow, other in engagement most with mature our that's markets MAU are can and with continuing per and markets.

our mature upon do these furthest in opportunity efforts along as internationally. we're but to themselves. in markets, we things So lots actionability that But continue build take of further these

you were asking so And lower funnel about adoption.

multi-quarter But adoption the times, things out these to are it's multi-quarter many you called cycles compounding also retailers. things. in for adoption these addition we benefits to see noting worth As that cycle,

back better more create the platform So to behavior and advertisers we've of action more. for drive take better us us. platform about effect that rich and signal meet and as therefore relevant gives are recommendations, curate the to talked shopping more recommendations. That Those events often users users those come and monetization to users more relevant flywheel make the to and bring

relevant looking the time, about those were being that a more signal but number feed outbound row better us in monetize to of they to than doubled does talk this the what So to find bring of a help that that's we advertisers. we future. back Every next back clicks, quarter fourth what's we time them get gives in more shopper the where for, opportunity into we clicks to also one

the for events supple product onto platform, features the SKUs, things the advertisers, upon content bringing So effect flywheel more beyond that more of shoppable those compound engagement adoption even flywheel more that relevancy other. effective all more through increasing advertised each

compounding that think are we the in while think adoption multiyear. effects we the multi-quarter so cycles And are durable

helps. that So hopefully,

have Shweta We Wolfe Research. now Khajuria with

have question on load. ad I a

do think balancing you as How normal for do are thinking level is your ad where continue a to load load? platform? on So you biggest good the Pinterest? about opportunities opinion, in you, are what ad you the increase And engagement on

Yes. on engagement Well, Thank you. a to touching continues just our bit, deepen.

the of that that ratio at to ads. low And driven actionability to by actionability. through XXXX, continues is core and been really has Our male improve shoppable

at I on of life. monetization per analogs think of normal our from load, question a still in that seen the of your ad what's a fraction we past to unit platform So intent I've are

that headroom complete lot lot how by really more there's that ads we relevant a see on the headroom think can is on you I right shopping of So go. And go. their driven a user the journey. more to that to much help And the bring

each from more inventory I granular the talked to us how on bring of retailers. retailers helping allow Performance more about more bring on how bidding more us and is controls advertise, Plus retailers letting

commercial about and better MAUs engagement. ad the commercial we that's that sponsored as in even continues like live And less right context, and results, ads, to user, over product can products, So in search the And we lot I see relevance improve, driving ad will on is these headroom that on optimization more There's bring looking we we about higher. commercial And would more about to a highly load the you that we is of our user. again, depth drive they're and relevant a increasing was I can talked like where because our last the things has sort we context. more there, from is them in ads increasing paid moment. on the relevant positive us the And of see we're when go, we if our analogs our if do platform. our do see -- that continue synergistic of more helpful. where take route we making shopability again, ad in right in that. can look talked the you user it it get per And for that. particularly from relevant pen things more help improved other but to ads, we really drive that the doubled we with more things whether pass drive have and the that where at dynamically and that platform. we the engagement. about the the And relevant more go whole are load actionability sponsored malrotio at at that always how can and that's And sure X years terms can in looking by more see than more cares driven a ads to in not Hopefully ads better search or engagement more letting

We Mahaney ISI. have the Evercore next question Mark with from

to going all in Europe, metrics, greater early still Or on, ROW small I And about too per that revenue Google than the greater to the monetization, is user that? it look monetization far covered those of we're but Amazon, are in And more sort this is just we is the any being apologize how Google? that especially if impacted like is update I partnerships. think already but Google at was I by on ask Amazon this at progressing? so and average the seeing impact

Mark. Thanks, Yes.

Mexico. and So expanding continue those build now sequentially that build we're to we improve partnerships. themselves. that to in We to I and noted quarter-on-quarter upon Canada upon see Amazon, continuing call them with the

to starting are our well improving we're we're World while of resellers as relationship pleased the to get So as have progress, Google on both on there. see sequential and the partnership with we Amazon we Rest international. I And markets, our would that. results that say, continue

our We we've wanted filling in relationship. how see are about appearing. gaps in build to those, really progress But with do but of auction. earlier there talked days themselves it's go we on what of each the on intended days. them is early seen think exactly I the your Google to of even rest partnerships international days the we upon still they early were we markets. third-party as we to are even that on them Amazon doing We than and see some questions into continuing how encouraging though It And on like that's world, and international relatively

with from Your next LightShed Greenfield Rich question comes Partners.

our you on per deepening UCAN day, the creates to total because spend comment basis? and terms enhancements that. bit month, growing that best on engagement. more want happening look time everyone the time however, a could spent think that made it, And which about about of could of remarks per I prepared user user is us like And engagement, is just think product week, at -- what I we to to, inventory, fuels you between ad but down business. time it's like total obviously, whether the think a that you an you individual year-over-year lot give if your during AI about to were a talking in drill understand is time user, guess, on Bill, in if When spent guess spent, I little Pinterest you about UCAN to

any on what us give means? actually deepening direction way or So to engagement some quantify

Yes. Thanks, Rich.

a use business. driving really because platform cases So search-related we've that business where years this fundamental shift ago one to was a X/X have would is cases, spent in chasing measure. over years And shifted great use being a cases. of that use the is we question the our couple been been Search things X-plus entertainment-based entertainment-based from right of our is has last a the of really from shifted time that

is home how So out, it's purely on and then just search. usage X/X you a unrelated, feed X/X breaks if basically at which look visual X/X on search our really and

to our never business search search on measure of you you And think measure spent. time business, right X/X a way So business would about a when is search. the

In fact, into more oftentimes spent you you worse search time did answer. the means in the getting of a right job

we So the that about for clicks they looking ads, results. as in things previously. year-on-year were getting of say the quarter the we do to fourth in users things Those we're the were user in a better, like more getting our things than are for the relevant way Xx compelling talked more doubling more the a relevancy I improvement than row.

that spend. would coming faster." you of to again, monthly instead look question faster, of is that's as we it's relevant better way, to great best I go on thing as them depth to tab reflected answer through to the way back, active the we think in per job spend them went like the at helping right you time And more Well, But we think users page, record the those the we to great products bring the way, say, don't would the we compelling even the it actionability. is weekly pages. of of never look the that found a they're of platform. having to levels you a and of active thing So top And to look are would that a if in looking better you're do because that say improvement were like, what our at our more do oh, search, looking amount user, see engagement to at at results first find you making never and ratios the measures the "Oh, users, user use -- on your loud improving the got of first of down for time X ratio our to in new recommendations at

save sense. you'd want about So some and of most, exactly talked hopefully, is things commercial you I and are which what and actionability helpful. clicks search-driven a being that Hopefully, see a in in that's to business improving measures, gives context. in really basket our the the that

We Colin Sebastian Baird. you. have Thank with now

terms as have the large I about guys implies as you advertisers could. of advertisers monetization of talked of advertisers And new of a tranches I from any It rate? little XXXX. bit have you like in follow-up couple on, I guess, it sequential to if for X to from year contributions on what contributions questions, guess, growth this the then a Europe advertisers. sort growth in out the QX Great. budget a I and about the existing first allocations potential were looks lower way basis. But off, for talked well a break increasing rates as and

to just QX call headwind geographically growth. if to that a curious be anything So could there's out

Julia. part, Colin. the take I'll I'll the and second first give part Thanks, to

really billion seeing On are in the of range. number wall that billion enterprise with advertisers exit both active $X accounts existing, sophisticated most versus in new of advertisers we and $XX that growth out. of advertisers largest, But with total the tranche mid-tier and advertisers, nice not particularly broken the to share seeing next that the we've have revenue we're gains,

I've broaden smaller we bidding of to and smaller the more like tools as that noted of seed of and -- we've of very will kinds seeing shoppable are that were those talked curve via these where we and to had around simple adoption, we budget started granular making platform creative, at adoption and with really platform as a introduce spend XX% into your now next we an as $X in see about shoppable, That we first there, those saw we that's of first most broader give we've could plus things. And share largest, continue those But of that us really can way, those. number so of with that happening of most a more us our gotten Performance was And advertisers, a see inventory. range. advertisers, item-level give in more advertisers -- Plus, controls And and $XX we billion objective largest, last the API. as where That's this to it go in the to digital looking gain engage performance wave as those see much and as like the that tranche couple deliver advertisers give results. the revenue sort leaning from great swaths billion sophisticated simple we're opportunity of out we and quarters, first, us ad with sophisticated

tools. continuing advertising these we being more so And as more and a out see roll AI-driven of we trend that

at Colin, on our to a last on XX% QX, of good I call comp year -- really XX% really your back last from we in and slightly went Europe in to QX was QX. much specifically, growth went QX that's the Europe year. We XX% from just tougher in second would but XX%. comp to saw then, This question And versus Europe, down it

we're So retail in that's really nice Europe. strength Despite really tougher this there. seeing in the driver primary comp,

We're continue. cross of this spend, region benefiting in We European our see quarter. to also order shift some that is which the starting expect to a mix

general in and driven really one retail particular our strength However, is not broad-based Europe advertiser. by just in

Europe about in general. we're So really strong feeling

question comes Anmuth JPMorgan. from with next Your Doug

X creation to and One about for clicked past doubled you Bill, value talked to one Bill, for from the shift for the straight advertisers Julia. value capture. quarters, you've

there's advertiser slightly of from view Rest And Just closing I more you your the any on curious then, was in that here? keep World down if spending, Julia, gap sequentially. hurdles specific it think

APAC or if that there's advertising... in to wondering any Just have there comments particular, you related

Doug. Thanks,

that the On question value you QX exactly clicks where our your of first capture, rolled they to to have didn't budgets it get last ship of the that doubling were And quarter it. they work a they then to number noted, way But to be that we don't measure as creation year in we to able year-on-year. there, until do had to said advertisers out was out of part started we work first and we they that it. measure do have

resilient we so and noted that remarks more year has measurement. is that our resilient focus on of privacy measurement funnel the And driving prepared revenue been a half advertiser X/X measurement more our lower now than year the our in revenue with platform see big I across this privacy resilient throughout with my than base. privacy

to wallet implement We come see tools. we've that shift to see advertisers same number behind doubling in that then consistently budgets. before continued share to more performance and that us, larger, the we've get that durable those leads to that, trend about So the as than the talked more measurement of clicks we particularly

that getting to those feel lot this we kinds So encouraged year advertisers resilient things. of on ad about meet measurement, privacy are made them a continues, really tools, on our on and where queen the on doing that to rooms we they trend and progress their

the more means Plus So that more our that is have resilient And there X/X lower now our I revenue even in measurement, half privacy of getting of AI-driven Performance March. while more implemented they're for noted to go. that as those for is advertising tools go. to measurement, we've I've that of our progress, made That funnel. of tremendous capture noted there value still is on of

will So optimization, to more through automated the capture there's things automated capture campaign more come of that the all value as bidding, those well. value there lead to

the conversions material, the the valuable a click-on clicks the are So than views, and far in business, at raw day, end view. sell and of our conversions we more

of conversions just Volume bright in increase clicks has spot. a and been

material raw encouraging. really, be really to continues that So

better a lot optimization, that us but than value and there's still more of we give behind in and that of behind paying better come front now creation happening, AI that measurement, tools we and capture As us. see

quarter-over-quarter, And the ongoing good and a we're really then constant you're your there part year-over-year, reported we're basis. that's of from second early actually question Doug, contribution to some from part currency of see contribution World to business, both internationally. of our the with acceleration -- third-party on growth where our retailers partnerships the our that demand on starting seeing Rest partnerships launching and some of of and constant reported

So we're actually seeing there. good growth

We Research. have from the Dan Salmon Street question our with New final line on

third-party to partnership Bill, I on want follow your up strategy.

with talked obviously how You Amazon. about expanding you're

markets emerging with of working platform, You've talked in resellers Google synergy having a some also the but in the lot of the there. of kind about the

on short-term that for could curious how have both luck does maybe more thoughts long-term basis, verticals underexposed some you're you bring Just -- different and think Just to make that that. in partners? you about good -- a on sense on just demand maybe you from it to markets, certain

the for you question. Thank Yes.

many from are building As way that partners. we allow partnership third-party a in our first demand that this we ingest ability said to I very could for built our --

announcing now Google to beyond multiple the that so working resellers, don't way. always built in Amazon work that But would would moment. U.S. We any international. platform the We're have We with partnerships always we intended we the expanding then We're Amazon we that went we've with at we're new but with the started we And on said U.S. have multiple we

You've it the commercial way. platform. we the that as to as earlier, seen I on a are relative expand intent like mentioned of us And amount are undermonetized we still significantly still platform

certainly, that performance suite with the as doing to party like AI-driven So we're to our how more that that's expect bring branding much we're doing how bring demand Plus. intent, Performance doing moment we though things are we intent. long-term Hopefully, announcing The resellers. that trends meet we look all do a things at at the third things first our is advertiser Even more new that commercial we're of don't there, that into we through parties, there. And have that we anything that we'll have helpful.

to back for some Bill to now would like remarks. final I it turn

for this hope look to of we again the all rest you keeping We all dialogue enjoy forward you for going, and your day. call the joining Thank and questions. your

Thank Please Third Call. enjoy Pinterest you us I XXXX today's Earnings joining and the call may has you now disconnect. concluded. now Conference Quarter today, for the