Foto REUTERS/Dado Ruvic/Illustration/File Photo
A key factor in the improved financial performance was the active integration of artificial intelligence technology into the advertising platform, Reuters reports. Pinterest continues to develop its revamped Performance+ advertising package, which automates creative creation and allows for more precise audience targeting. This increases the effectiveness of advertising campaigns and makes the platform more attractive for businesses, especially for the small and medium segment.
The company notes that it is small and medium-sized businesses that are now providing the bulk of advertising revenue growth. This partially compensates for the decline in spending by large advertisers, who are cutting budgets amid economic uncertainty, including the impact of trade duties and geopolitical instability.
Pinterest’s management also announced plans to further expand its investment in AI solutions despite cost optimization. As part of the restructuring, the company intends to cut about 15% of its workforce in an effort to improve operational efficiency and focus on technology development.
Analysts note that the advertising market as a whole is undergoing a structural change, with digital platforms actively adopting generative AI and automation tools to retain advertisers and increase profitability. In this context, Pinterest is trying to strengthen its position in a competitive environment where pressure from the big players is only increasing.
The company’s financial outlook for the second quarter was above market expectations, with revenue expected to be in the range of $1.13-1.15 billion versus analysts’ consensus forecast of around $1.11 billion.
An additional positive signal was the increase in the user base. The global number of monthly active Pinterest users reached 631 million, up from about 570 million a year earlier. The audience growth confirms the sustained interest in the platform and strengthens its monetization potential amid increased competition in the digital advertising market.
