Pinterest Q3 revenue climbs 12% to $1.17B as ad growth cools
What's the deal? Pinterest reported third-quarter 2026 revenue of $1,174 million, up 12% year over year, with global monthly active users reaching a record 661 million. But GAAP net income fell 77% to $21.515 million, and diluted earnings per share dropped to $0.04 from $0.13.
The numbers behind the numbers: Adjusted EBITDA rose 11% to $339.207 million, holding its margin at 29%. Free cash flow fell 6% to $300.268 million.
Why now? The results land days after Pinterest moved its global Programmatic Deals program to general availability in select markets, letting enterprise advertisers buy its display and video inventory through platforms they already use, including Amazon DSP, Google Display & Video 360, and Yahoo DSP.
What's the endgame? Pinterest wants to close the gap between its large, high-intent audience and ad dollars, especially abroad. "There is a meaningful shift toward programmatic buying, and we want to broaden sources of demand," said Jason Fairchild, general manager of programmatic and affiliate at Pinterest.
What does the geography say? US and Canada revenue grew 14%, and Rest of World grew 24%. Europe revenue was flat, with average revenue per user there down 7% — underlining how uneven international monetisation remains.
What's the outlook? Pinterest expects fourth-quarter revenue of $1,425 million to $1,475 million, or 8% to 12% growth, with adjusted EBITDA of $538 million to $588 million. The forecast assumes a modest foreign-exchange headwind.
What could go wrong? The programmatic push is a route to more ad spending, not proof of a durable shift. One early win — a June Moroccanoil campaign that added 15% incremental reach — does not establish sustained demand, and ad budgets could still move toward rival search and commerce formats.
The signal: Pinterest is betting that opening premium inventory to automated buyers broadens demand as growth decelerates from the 18% pace of the prior quarter. The programmatic story is now the test of whether it can turn 661 million users into faster monetisation.
Read more: simplywall.st
Image credit: Generated with Gemini
