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Online image service has almost 250 million monthly users
Predictable revenue growth is an important step before IPO

A Pinterest banner outside the New York Stock Exchange.

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PINTEREST INC
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SNAP INC - A
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sales jumped 58 percent to $473 million last year after marketers spent more on its digital ads, people familiar with the matter said.

The online image search company missed internal revenue goals for the first half of 2017, but exceeded expectations in the second half, one of the people said. It’s on track to meet or beat targets for the first half of this year, the person added. The people asked not to be identified discussing private company details.

“Pinterest is in a stronger financial position than ever before,” a representative for the San Francisco-based company said, declining to comment on the numbers. “We are taking a disciplined approach in building our business and are very pleased with the company’s prospects for long-term growth.”

People visit Pinterest to post and search for photos of things they’re planning to buy or do. The company has been developing its business model ahead of an eventual initial public offering. It sells photo and video ads that show up in searches, and also touts items for purchase that may align with a users’ style. If the company can accurately predict growth, that will help attract public-market investors.

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