Pinterest posted a 8% rise in revenue to $575 million for the March quarter, ahead of analyst expectations, but its user base fell in a "challenging" business environment.
Monthly active users dropped 9% to 433 million compared to the same three months last year.
Pinterest expects June quarter revenue to grow about 11% year over year.
Ben Silbermann, CEO and cofounder: “Pinterest made good progress in Q1 executing on our long-term strategy.
“We continued to scale our native content and creators ecosystem, began beta testing Your Shop, our personalised shopping surface, and released our new open Pinterest API so that any developer can build applications for Pinners, creators, merchants and advertisers.
“Despite a challenging macroeconomic and geopolitical environment, we grew revenue 18% year-over-year.”
Andrew Lipsman, principal analyst at Insider Intelligence: "Pinterest's accelerating user declines and contracting topline and bottom line growth rates aren't the most encouraging trends, but it did manage to outperform dampened expectations.
"Bright spots include improving monetisation and a scaling international business, but Pinterest still needs to prove it can reverse the troubling user declines if it hopes to inspire more confidence in the business going forward."
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