Pinterest reveals sales and users have grown faster than expected despite COVID-19, stock skyrocketing

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Pinterest Inc.
PINS,
-0.98%

Sales and user growth announced in the first quarter were better than expected despite the COVID-19 pandemic on Tuesday, pushing stocks up more than 10% in after-hours trading. The company also revealed that the chief operating officer was leaving and that the annual guidelines provided earlier this year had been canceled due to uncertainty over the spread of a coronavirus. Pinterest said it expects first-quarter sales of $ 269 million to $ 272 million and monthly active users will be 365 to 367 million, meeting or exceeding expectations. Analysts on average expected $ 269 million in the first quarter and 352.7 million active users. The growth of Pinterest users abroad has set the pace in this area, as it added around 30 million overseas users from the fourth quarter, which the company needs to extend its monetization outside of United States. advertising slowdown and an uncertain future. “The first quarter sales performance was in line with our expectations until mid-March, when we started to see a sharp deceleration,” said CFO Todd Morgenfeld in Tuesday’s announcement. “Fortunately, despite the weakness of almost the entire advertising market, our exposure to some of the most affected segments such as travel, automotive and restaurants has not been significant. The company also said that chief operating officer Françoise Brougher will leave today and that his duties will be taken over by Morgenfeld. Pinterest plans to release full information on its quarterly results on May 5. After closing 1% down to $ 15.06, the stock was over $ 16.50 in after-hours trading immediately after the announcement. So far this year, stocks have fallen 19.2%, the S&P 500 Index
SPX,
-0.16%

fell 17.6%.

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