Shares of Pinterest Inc. PINS,
Friday rose 25% in premarket trading after the photo platform easily exceeded expectations and provided a positive forecast for the third quarter. The company posted a net loss of $ 100.7 million, or 17 cents per share, compared to a loss of $ 1.16 billion or $ 2.62 per share last year. On an adjusted basis, Pinterest lost 7 cents per share, compared to 6 cents per share in the previous year. FactSet’s consensus was for an adjusted loss of 14 cents per share. Revenue increased from $ 261.25 million to $ 272.49 million, while analysts surveyed by FactSet expected $ 250 million. The company said it expects sales for July to July 29 to increase by about 50% from a year earlier, and overall third quarter sales could increase by about 30%. “We are encouraged by our company’s performance in July, but an enormous amount of uncertainty remains about the ongoing COVID-19 pandemic and other factors,” said Pinterest in the release. The company saw monthly active users rise in the quarter of June to 416 million from 367 million in the March quarter. That number far exceeded the consensus of FactSet, which sought 379 million monthly active users for the June period. The company had 96 million monthly active users in the United States and 321 million internationally. Global average sales per user fell to 70 cents from 88 cents for the quarter, but exceeded expectations for 67 cents. Pinterest shares have risen 22% over the past three months as the S&P 500 SPX,
increased by 11%.