Pinterest stock was falling sharply late Tuesday even though the photo sharing social platform reported better-than-expected second-quarter results.

Pinterest reported second-quarter adjusted earnings of 43 cents per share on revenue of $1.18 billion. Analysts surveyed by FactSet expected earnings of 36 cents per share on revenue of $1.15 billion.

In the same period last year, Pinterest reported earnings of 33 cents per share on revenue of $998 million.

The company said it expects third-quarter revenue to be between $1.19 billion and $1.21 billion, roughly in line with Wall Street's estimate of $1.2 billion. Those estimates imply 13% to 15% growth from the prior year period, which is a slowdown from the 18% revenue growth recorded in the second quarter.

Pinterest shares were down as much as 9% in after-hours trading following the results.

Wall Street has been closely watching Pinterest's growth, especially as the online advertising category becomes more competitive. Pinterest makes most of its revenue through advertising.

Heading into the earnings report, Pinterest shares had fallen 1.3% this year and 34% over the past 12 months.

This is breaking news. Please come back for more updates and analysis and read below for a preview of the earnings.

Social media companies have reported incredibly strong advertising growth this latest earnings season, which bodes well for Pinterest.

The photo-sharing platform is scheduled to report second-quarter financial results after the stock market closes Tuesday. Analysts surveyed by FactSet expect Pinterest to report adjusted earnings of 36 cents per share on revenue of $1.15 billion. In the same period last year, Pinterest reported earnings of 33 cents per share on revenue of $998 million.

Monthly active users are expected to be 635.3 million, up from last year's 578 million.

Pinterest makes almost all of its revenue from advertising. Other social media companies like Reddit, Meta Platforms, and Snap Inc., have reported stronger-than-expected advertising growth for their June quarters in recent weeks.

Last week, Reddit reported advertising revenue of $762 million, a 64% increase from the year-ago period. Facebook parent Meta posted second-quarter ad revenue last week of $59.4 billion, a 27% jump from the previous year. And on Monday, Snapchat parent Snap reported ad sales of $1.28 billion in the quarter, rising 9% from a year ago.

These better-than-expected advertising figures should be a good sign for Pinterest.

Similar to these other social platforms, Pinterest is hoping to improve its advertising business while boosting user growth through artificial-intelligence advancements. The company isn't holding back on investing in these advancements either. Pinterest announced in June that it was expanding its collaboration with cloud provider Amazon Web Services, which included a planned $4 billion commitment for cloud services through 2031.

Pinterest stock rose 4.7% to $25.29 on Tuesday, ahead of the results. Shares have declined around 2% so far this year.