Nextdoor Holdings, Inc. (NYSE:KIND) Q3 2022 Earnings Conference Call November 8, 2022 5:00 PM ET

Company Participants

Matt Anderson - Head of Investor Relations

Sarah Friar - Chief Executive Officer

Mike Doyle - Chief Financial Officer

Conference Call Participants

Mark Mahaney - Evercore ISI

Ron Josey - Citigroup Inc.

Eric Sheridan - Goldman Sachs

Brian Nowak - Morgan Stanley

Youssef Squali - Truist Securities

Brian Fitzgerald - Wells Fargo

Operator

Good afternoon. Thank you for attending today's Nextdoor Q3 2022 Earnings Call. My name is Frances, and I'll be your moderator today. [Operator Instructions]

I would now like to pass the conference over to our host, Matt Anderson, Head of Investor Relations with Nextdoor.

Matt Anderson

Thank you, Frances. Good afternoon, and thank you for joining us today to review Nextdoor's third quarter 2022 financial results. With us on the call today are Sarah Friar, Chief Executive Officer; and Mike Doyle, Chief Financial Officer.

During this call, we may make statements related to our business that are forward-looking statements under federal securities laws. These statements are not guarantees of future performance. They are subject to a variety of risks and uncertainties. Our actual results could differ materially from expectations reflected in any forward-looking statements.

For a discussion of the material risks and other important factors that could affect our actual results, please refer to our SEC filings available on the SEC's website and in the Investor Relations section of our website as well as the risks and other important factors discussed in today's earnings release.

Additionally, non-GAAP financial measures will be discussed on today's conference call. A reconciliation of these measures to their most directly comparable GAAP financial measures can be found in the Q3 2022 Shareholder Letter released today.

With that, I'd like to turn the call over to Sarah.

Sarah Friar

Thank you, Matt, and hello, everyone. Q3 was another challenging quarter for many neighbors and customers, and more verticals and industry participants are beginning to feel the effect of volatile advertising demand. In this environment, we are focused on the areas we can control, including product development, providing increasing value through utility and community for neighbors and helping advertisers reach their goals.

On the neighbor front, our platform remains highly engaged. We grew weekly active users, WAU, by 17% year-over-year and 4% sequentially. This strong growth was driven primarily by U.S. neighbors with over 1 million net new WAU added quarter-over-quarter, and 90% of new neighbors to the platform came organically in Q3. We've successfully held onto and built upon the boost and reach that we generated from the pandemic, seeing a 41% growth in overall WAU and a 32% growth in U.S. WAU since Q3 2020, comparing favorably to peers.