Pinterest (PINS) risk factors, 2025 10-K

Risks Related to Our Business Strategy and Growth

1. 01We generate substantially all of our revenue from advertising. The failure to attract new advertisers, the loss of advertisers or a reduction in how much they spend could harm our business, revenue and financial results
2. 02Our ecosystem of users and advertisers depends on our ability to attract, retain and engage our user base. If we fail to add new users or retain or recover users, or if users engage less with us, our business, revenue and financial results could be harmed
3. 03The size of our user base and their level of engagement are critical to our success. If our platform is not perceived to be high-quality, relevant, reliable, trustworthy, or innovative, we may not be able to attract or retain users or otherwise maintain or increase the frequency and duration of their engagement
4. 04We face significant competition to attract, retain and engage users and for their time and attention. We compete with consumer internet companies that are either tools (search, e-commerce, creator tools) or media (newsfeeds, video, social networks)
5. 05In emerging international markets, where mobile devices often lack large storage capabilities, we may also compete with other applications for the limited space available on a user’s mobile device
6. 06We may be unable to compete effectively for advertisers
7. 07We may not be able to develop effective products and tools for advertisers
8. 08If we do not develop successful new products or improve existing ones, our business may suffer. We may also invest in new products that fail to attract or retain users or generate revenue
9. 09We continue to develop our international growth strategy and may not succeed in further expanding and monetizing our platform internationally and may be subject to increased international business and economic risks
10. 10Although we experienced rapid growth in our initial years, we have not seen the same level of rapid growth more recently and cannot assure you that our business will grow at those same rates or at all
11. 11We make decisions consistent with our mission and values that may reduce our short- or medium-term operating results
12. 12We may acquire other businesses, talent or technology, which could require significant management attention, disrupt our business and dilute stockholder value
13. 13Our business depends on a strong brand and reputation, and if we are unable to maintain and enhance our brand and reputation, our ability to expand our user and advertiser base could be impaired
14. 14Continued development and use of AI may result in reputational harm, liability, or other adverse consequences to our business operations

Risks Related to Data, Security and Privacy

1. 15If our security is compromised, or users or advertisers believe our security has been compromised, we could lose the trust of users, creators, publishers and advertisers who may use our platform less or may stop using our platform altogether, our reputation and business could be harmed
2. 16Our ability to attract and retain advertisers depends on our ability to collect, process and use data and develop tools to enable us to effectively deliver and accurately measure advertisements on our platform
3. 17In addition, third parties, such as Apple, Microsoft or Google, have implemented and may continue to implement changes and restrictions in browser or device functionality including by limiting the use of cookies, or that limit our ability to communicate with or understand the identity of our users
4. 18We receive, process, store, use and share data, some of which contains personal information, which subjects us to complex and evolving governmental regulation and other legal obligations related to data privacy, data protection and other matters, which are subject to change and uncertain interpretation
5. 19transparency, deceptive, unfair, or misrepresentative of our practices, we may be subject to investigation, enforcement actions by regulators, or other adverse consequences, including class-action litigation or mass arbitration demands

Risks Related to Our Business Operations

1. 20Our business depends on our ability to maintain and scale our technology infrastructure, including speed and availability of our service
2. 21The failure to attract and retain highly qualified personnel, or loss of one or more of our key personnel, could harm our business, revenue and financial results
3. 22Risks Arising from Our Reliance on Third Parties
4. 23We allow users to authenticate with our service through third-party login providers. If these third parties discontinue these tools or experience a breach or outage in their platform or web browser developers make changes that restrict the use of these tools, user retention, growth or engagement could decline
5. 24We depend on Amazon Web Services for the vast majority of our compute, storage, data transfer and other services. Any disruption of, degradation in or interference with our use of Amazon Web Services could negatively affect our operations
6. 25contractual relationship, establishes more favorable relationships with our competitors, or changes or interprets its terms of service or policies in a manner that is unfavorable, those actions could harm our business, revenue and financial results
7. 26We must effectively operate with mobile operating systems, web browsers, online application stores, networks, regulations and standards, which we do not control. Changes in our products or to those mobile operating systems, web browsers, networks, regulations or standards may harm user retention, growth and engagement
8. 27If we are unable to deliver consistent, high-quality user experiences across different devices with different operating systems, user growth, retention or engagement may decline
9. 28We rely on software, technologies and related services from third parties, and problems in their use, access or performance could increase our costs
10. 29Technologies have been developed that can block the display of our ads

Risks Related to Legal and Regulatory Matters

1. 30We may be liable as a result of content or information that is published or made available on our platform
2. 31Government actions can restrict access to our product or certain of our products in their countries
3. 32We could become involved in legal disputes that are expensive to support, and if resolved adversely, could harm our business, revenue and financial results
4. 33If we are unable to protect our intellectual property, the value of our brand and other intangible assets may be diminished
5. 34require significant cash expenditures. Additionally, our current and future patents, trademarks and other intellectual property or other proprietary rights may be contested, circumvented or found unenforceable or invalid
6. 35Our use of “open source” software could subject us to possible litigation or could prevent us from offering products that include open source software or require us to obtain licenses on unfavorable terms

Risks Relating to Our Financial Statements and Performance

1. 36We have a limited operating history with the current scale of our business, and, as a result, our past results may not be indicative of future operating performance
2. 37We have incurred operating losses in the past, anticipate increasing our costs and operating expenses, may incur operating losses in the future and may not maintain profitability
3. 38Our operating results are likely to fluctuate from quarter to quarter, which makes them difficult to predict
4. 39User metrics and other estimates are subject to inherent challenges in measurement, and real or perceived inaccuracies in those metrics could harm our business, revenue and financial results
5. 40Our operations and financial condition could be adversely impacted if we are unable to obtain additional financing, if needed, or if we default on our credit obligations
6. 41We may have greater than anticipated tax liabilities, which could harm our business, revenue and financial results
7. 42Our ability to use or benefit from our net operating loss carryforwards and certain other tax attributes may be limited
8. 43Adverse global economic and financial conditions could harm our business and financial condition
9. 44We cannot guarantee that our stock repurchase program will be fully consummated or that it will enhance long-term stockholder value

Risks Related to Ownership of Our Class A common stock

1. 45Our dual class structure may depress the trading price of our Class A common stock
2. 46The trading price of our Class A common stock has been and may continue to be volatile, and you could lose all or part of your investment
3. 47Future offerings of debt or equity securities by us or existing stockholders may adversely affect the market price of our Class A common stock
4. 48Additional stock issuances, including in connection with settlement of equity awards, could result in significant dilution to our stockholders
5. 49Delaware law and provisions in our amended and restated certificate of incorporation and amended and restated bylaws could make a merger, tender offer or proxy contest difficult, thereby depressing the market price of our Class A common stock