Bumble posts upbeat quarterly revenue as platform overhaul targets Gen Z
Tweet
Share
E-mail
A display in Times Square is pictured as dating app operator Bumble Inc. (BMBL) made its debut on the Nasdaq stock exchange during the company's IPO in New York City, New York, U.S., February 11, 2021. REUTERS/Mike Segar
May 5 (Reuters) - Bumble on Tuesday posted first-quarter revenue above estimates as the online dating platform's strategy to win back younger users starts to bear fruit.
The company posted revenue of $212.4 million, above analysts' estimates of $211.4 million, according to data compiled by LSEG.
• Online dating platforms are grappling with slowing growth and waning engagement, particularly among Gen Z users who have grown tired of endless swiping and disappointed by the quality of matches.
• Total Paying Users decreased 21.1% to 3.2 million, compared with 4 million, a year ago.
• "We're now focused on activating this higher-quality member base by launching a fully reimagined Bumble experience on our rebuilt, AI-enabled platform later this year," said Whitney Wolfe Herd, Founder & CEO of Bumble.
• Bumble, which has long marketed itself as a female-first alternative in the crowded dating market, is experimenting with tweaks to its core product to make the dating experience feel more curated and less transactional.
• Rivals including Match Group's Tinder and Hinge have stepped up the rollout of artificial intelligence-powered features, including personalized prompts and in-app assistants.
• Analysts are closely monitoring the sector for whether product innovation and pricing adjustments can stabilize paying user bases after prolonged sector-wide pressure.
• Bumble's total average revenue per paying user for the reported quarter increased 8.9% to $22.04.
• For the second quarter, the company expects revenue in the range of $205 million to $213 million, compared with analysts' estimates of $215 million.
(Reporting by Kritika Lamba in Bengaluru; Editing by Sahal Muhammed)
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Rubio tells S.Korean counterpart their countries need to remain in close coordination
- Gang attack on hillside town near Haiti's capital leaves 30 dead
- US eyes China overcapacity tariffs of 7.5% before Xi-Trump talks, Bloomberg News reports
Create E-mail Alert Related Categories
ReutersSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
