Pinterest CEO Ben Silbermann told CNBC’s Jim Cramer on Friday that the company’s leadership will continue to be transparent and focus on the company’s long-term trajectory — despite a tumble after the company’s first quarterly report as a public company.
Silbermann sat down with the “Mad Money” host a day after delivering Pinterest’s first quarterly results to shareholders since going public last month. The stock dropped nearly 14% during the session after the company posted a wider loss per share than Wall Street expected.
“We’re not trying to set expectations artificially low and go above them,” he said. “We’re trying to be transparent, and I think that the consistent thing you’ll hear from me … is that we want to focus on the long term.”
Pinterest reported a loss per share of 32 cents, compared with Refinitiv consensus estimate of 11 cents per share. However, the social media platform beat revenue estimates by $1.3 million. Revenue grew 54% year over year, Silbermann noted.
Monthly active users also grew by 22% from the same period the year prior. Silbermann said users come to the app for ideas around planning meals, wardrobe and home decor, among other things.
“We’re definitely in the growth phase of our business. We’ve tried to be very transparent and clear,” he said.
Pinterest is working with retailers and consumer packaged goods companies and is working on expanding to small- and medium-sized businesses and internationally, Silbermann said.
“We want to build the best place to get inspiration,” he said. “We want to build personalization, the best visual discovery tools, and then we want to make sure that if you see something you like, we can actually help you make it into reality.”
Pinterest is connecting its 291 million global users directly to businesses, Silbermann said. Two in three users come from outside the United States, he added. The technology company is building advertising tools that can present products to people at their finger tips and present metrics to business clients, he said.
Pinterest expanded its advertising markets from seven to 13 in the quarter, he added.
“That alignment has been really important as we build out advertising solutions,” Silbermann said. “If, for example, you’re finding new clothes to wear or if you’re redecorating your house, ads can actually be really, really helpful to turn that inspiration into something in your real life.”
Pinterest is forecasting between $1.06 billion and $1.08 billion in revenue for the full year 2019, which would mark its first $1 billion year. Analysts are projecting $1.07 billion.
WATCH: Cramer interviews Pinterest CEO Ben Silbermann following the company’s first public quarterly report