Key Highlights

  • Revenue rose 12% to $1,173.9 million from $1,049.2 million in the third quarter of 2025.
  • Monthly active users reached 661 million, up 10% from a year earlier.
  • Net income was $21.5 million, or $0.04 per diluted share, versus $92.1 million, or $0.13.
  • Adjusted EBITDA was $339.2 million, compared with $306.1 million a year earlier.
  • Cash, cash equivalents and marketable securities totaled $1,470.0 million at September 30, 2026.

Volume growth outruns pricing in advertising

Pinterest (NYSE:PINS), the visual discovery platform where users save and shop ideas, filed its Quarterly Report on October 29, 2026. Revenue for the third quarter was $1,173.9 million, up 12% on both a reported and constant currency basis, with growth led by consideration objective ads and, to a lesser extent, awareness objectives.

The number of ads served rose 17%, while the price of ads fell 4%. Global average revenue per user was $1.80, up 1%, and average monthly active users grew 10%, so most of the growth came from a larger audience rather than higher monetization per user.

Regional picture: North America strong, Europe flat

Revenue from the U.S. and Canada rose 14% to $894.2 million, and ARPU there increased 10% to $8.38. Rest of World revenue grew 24% to $87.1 million.

Europe revenue was flat at $192.6 million, which the company attributed mainly to lower Advertising demand, and European ARPU fell 7% to $1.21. For the nine months, total revenue was $3,361.1 million, up 16% from $2,902.4 million.

Costs rise faster than revenue and compress operating income

Total costs and expenses were $1,143.6 million, up from $990.7 million, so income from operations fell to $30.3 million from $58.5 million. On a calculated basis, Operating Margin was about 2.6% against 5.6% a year earlier.

Cost of revenue rose 23% to $261.6 million on higher infrastructure costs, including added GPU capacity. Share-based compensation was $291.7 million, up $56.6 million, with Research and Development accounting for $191.1 million of it. Sales and Marketing rose 14% to $337.0 million.

Restructuring, interest income and taxes shape net income

The company's global restructuring plan, launched in January 2026 to prioritize AI focused roles and products and to reduce its workforce by less than 15%, was completed in the third quarter. Restructuring charges were $4.1 million in the quarter and $65.5 million for the nine months.

Net interest income dropped to $6.0 million from $28.5 million on lower invested balances, and the provision for income taxes was $13.6 million, against a $4.9 million benefit a year earlier. Net Income was therefore $21.5 million, or $0.04 per diluted share, compared with $92.1 million, or $0.13.

Cash generation, Buybacks and a larger Credit line

Net cash provided by Operating Activities was $936.6 million for the nine months, and free Cash Flow was $881.9 million. Under a $3,500.0 million repurchase authorization approved in March 2026, the company repurchased and retired about 29.0 million shares for $551.0 million through open market purchases, plus about 54.8 million shares through an accelerated repurchase agreement.

As of September 30, 2026, $1,948.0 million remained available. Diluted weighted-average shares were 582.7 million, down from 694.5 million. In October 2026, Pinterest also entered a five-year $700.0 million revolving credit facility, replacing its $500.0 million facility. Readers will likely watch European demand, ad pricing and expense growth.