Welcome to Yahoo Finance's flagship show, The Morning Brief. I'm Ally Canal. Let's get to the three things you need to know today.First up, US stocks bouncing off session lows. Futures slightly higher after a sharp tech sell-off that wiped about 500 billion in market value from chip stocks in the socks index as investors grow more cautious about lofty valuations. Crypto is also taking a hit.Bitcoin dropping below $100,000 per token for the first time since June. The sell-off has somewhat eased, but it's sti ...

Core Insights - Pinterest has transformed into an "AI-powered visual-first shopping assistant," integrating AI across its platform to enhance user experience and engagement [1][3] - The company reported a 17% increase in Q3 revenue to $1.049 billion, exceeding Wall Street expectations, with monthly active users rising 12% to 600 million [3][10] - AI integration has led to a 44% year-over-year increase in monthly queries, reaching 80 billion, indicating deeper user engagement and stronger commercial intent [4][7] Financial Performance - Q3 revenue was $1.049 billion, a 17% increase, with net income of $6 million compared to a $65 million loss a year earlier [3][10] - Global average revenue per user was $1.78, with the U.S. and Canada averaging $7.64, highlighting a monetization gap as international users represent 83% of the audience but only 25% of revenue [10] AI and User Engagement - AI systems are designed to predict user inspiration, allowing for proactive engagement rather than reactive search [3][6] - The company is testing a multimodal search tool and a voice-based Pinterest Assistant to enhance user interaction and search precision [5][6] Advertising and Revenue Growth - Outbound clicks to advertisers increased by 40% in Q3, indicating improved alignment between product discovery and commerce [9] - Pinterest expects Q4 revenue between $1.313 billion and $1.338 billion, projecting a year-over-year growth of 14% to 16% [11] Strategic Initiatives - The Holiday Edit campaign will be a key focus for Q4, featuring AI-assisted gift boards across various categories [8] - Pinterest's investment in AI is part of a broader trend among retailers, with 73% planning to increase investments in generative AI over the next year [6]

Pinterest (NYSE:PINS) Q3 2025 Earnings Call November 04, 2025 04:30 PM ET Company ParticipantsBill Ready - CEOMark Kelley - Managing DirectorJulia Donnelly - CFORich Greenfield - General PartnerEric Sheridan - Partner and Managing DirectorMichael Morris - Senior Managing DirectorShweta Khajuria - Managing DirectorRon Josey - Managing DirectorAndrew Somberg - VP of Investor Relations and TreasuryConference Call ParticipantsRoss Sandler - Senior Equity Research AnalystOperatorGood day, ladies and gentlemen. T ...

Pinterest (NYSE:PINS) Q3 2025 Earnings Call November 04, 2025 04:30 PM ET Company ParticipantsBill Ready - CEOMark Kelley - Managing DirectorJulia Donnelly - CFORich Greenfield - General PartnerEric Sheridan - Partner and Managing DirectorMichael Morris - Senior Managing DirectorShweta Khajuria - Managing DirectorRon Josey - Managing DirectorAndrew Somberg - VP of Investor Relations and TreasuryConference Call ParticipantsJohn Blackledge - Senior Equity Research AnalystRoss Sandler - Senior Equity Research ...

Financial Data and Key Metrics Changes - In Q3 2025, Pinterest reported revenue of $1.049 billion, representing a 17% year-over-year growth [6][30] - Adjusted EBITDA for Q3 was $306 million, with a margin of 29%, reflecting a 170 basis point expansion compared to the previous year [33] - Free cash flow for Q3 was $318 million, indicating a strong cash-generative nature of the business [33] Business Line Data and Key Metrics Changes - Outbound clicks to advertisers increased by 40% year-over-year in Q3, demonstrating enhanced engagement with advertisers [8] - The number of unique shopping SKUs with paid ad impressions grew over 100% year-over-year, driven by the adoption of ROAS bidding [23][52] - Pinterest Performance Plus campaigns have shown a 24% higher conversion lift compared to traditional campaigns, particularly benefiting smaller and mid-market advertisers [63] Market Data and Key Metrics Changes - Monthly active users (MAUs) reached 600 million, growing 12% year-over-year, with significant growth in the U.S. and Canada, Europe, and the rest of the world [5][29] - Revenue from the U.S. and Canada was $786 million, growing 9%, while Europe saw a 41% increase to $193 million, and the rest of the world grew 66% to $70 million [30] - International markets represented 25% of global revenue, indicating significant growth potential in these regions [25] Company Strategy and Development Direction - Pinterest is transforming into an AI-powered visual-first shopping assistant, enhancing user engagement and advertiser partnerships [4][10] - The company is focusing on expanding its share of wallet with mid-market and smaller advertisers while also increasing monetization in international markets [9][28] - New features like Pinterest Assistant and multimodal search are being developed to enhance user experience and drive engagement [12][13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving mid- to high-teens revenue growth targets over the medium to long term, despite some ad spend moderation in the U.S. [46][49] - The company is optimistic about the potential of AI-driven optimization and the ongoing rollout of Performance Plus solutions [52][53] - Management noted that the digital ad environment remains challenging, particularly for larger retailers, but sees opportunities in emerging verticals and smaller advertisers [49][51] Other Important Information - Pinterest's international monetization is still in early stages, with significant room for growth as the company scales proven strategies from the U.S. [25][28] - The company is actively investing in AI and product innovation to enhance user experience and drive advertiser performance [33][36] Q&A Session All Questions and Answers Question: Future of e-commerce and Pinterest's strategy - Management highlighted Pinterest's proactive AI-driven approach, which anticipates user preferences and enhances engagement, positioning the platform uniquely in the e-commerce landscape [39][40] Question: Digital ad environment and UCAN performance - Management noted that despite a challenging ad environment, Pinterest achieved 17% revenue growth, driven by strong performance in emerging verticals and smaller advertisers [49][50] Question: Relationship with Magnite and new demand sources - Management clarified that first-party ad demand remains the primary growth driver, with ongoing efforts to integrate third-party demand sources [60][61] Question: SMB and mid-market opportunity - Management emphasized the significant potential in the SMB and mid-market segments, with Performance Plus campaigns driving higher conversion rates and revenue growth [63]