Bumble (BMBL) 4 May 232023 Q1 Earnings call transcript

Thank you for standing by. My name is Sydney and I will be your conference operator today. At this time, I would like to welcome everyone to the Bumble Q1 2023 earnings Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question-and-answer session. Instructions] [Operator

now to I Valenzuela. it pass you. Cherryl over Thank

are for thank to financial Thank CFO and of today Anu and President; all Tariq results. Herd, joining Shaukat, CEO; me Bumble. XXXX you, operator Subramanian, quarter you us and Founder first discuss With Whitney Bumble

expectations certain reflect various forward-looking on Before forward-looking statements. to based we that statements begin, our risks this and on are available to like made I'd to and These and uncertainties call current everyone subject assumptions, currently beliefs, remind statements today our are information us.

are Although detail December annual differ we Form after believe we materially from report our XXXX, risks with that obligation these earnings to and in that statements factors expectations release to statements press revise discussed ended occur filings reflect on subsequent could of our filings. these changes forward-looking year reasonable, the any XXst, cause to are no results including the Descriptions in our call. SEC, this and undertake periodic for more actual XX-K and

to GAAP call, and non-GAAP substitute also or a not refer from addition measures certain considered the During non-GAAP as financial measures. to isolation in for results. should be we our These in

measures Reconciliations the which is today's website Investor our are to available Relations comparable the earnings most GAAP ir.bumble.com. at on in available press release section of

over turn it Whitney. I'll to that, with And

Cherryl you, Thanks and for Thank good afternoon joining. everyone.

the start delivering in and great We revenue to user year, QX. are a to off additions paying strong growth

growth We paying ARPPU X.X XX% by payers profitability XX% and Bumble representing of reach grew and range. end exceeded $XX XX% adjusted EBITDA our was strong fueled year-over-year revenue million, million to a at both million, Revenue high $XXX Total of to users with $XX.XX. grew ARPPU. which margin, expectations. Total the achieved our guidance and increased Inc. of was

scale. dating markets secular on growth global that driven remains attractive healthy, demonstrate trends results an by powerful online increasingly Our a and high

study, heterosexual by which mechanisms partners. Stanford norms. dating well shifting driven digital-first the a the in for surpassed to to more recently, become advances to trend in This online in demographics, meet romantic adults grow has US was world, around According way as updated US as to technology, the top and continues traditional the their cultural

public Bumble to calling connection trend face at we Earlier this of feel together in fortunate the the lack impact the that more States. General our and work important people and rare is We be attention critical more isolation, very In of epidemic health technology see loneliness a this day this of every Surgeon an week, devastating ever brings the crisis, advisory life. United of issued in real before. the to than business and

engagement, that our on Just to overflowing in our dig of to rewarding invitations to the other been impact is the and to the boxes so chance products, and mission I sent shower our headquarters through Austin. successful community see by have baby the day, had brings the team that team, wedding, life. and Bumble users It

see. we trends we of well encouraging market remain as XXXX in seen Badoo, to is our product, monetization have Bumble, the as the core also speaks with brand, apps in and their success and Fruitz demand This markets, most underlying the momentum leading This reflected the registration initiatives. strong to-date, ongoing global our download of among in and markets. in continued

results delivering focus efficiency. with these team on Our is operational strong a

a on growth. placed years, have Over high margins committed been OpEx have the our expanding last managing and emphasis several we to

user We experiences. that have on and focusing expansion high our global durable demonstrated playbook strong delivers quality growth

marketing the in this face maintained spend. of competitive have elevated We even approach

of our teams areas. remain a of these a number lot There's investing talk days, future. active committed about While AI to operating the and efficiently, in we for are

a this topic us, focus. is For new not or

we efforts. our monetization moderation, personalization recommendations leveraging years, and and engine, been our For our content in safety, AI across apps have

driven user the real These results impact experience. have across

For woman saying example, iceberg of to tip make. AI the mentioned Xx. yes is using and profile we a in the that our last the by the This a to new of first just we quarter connections probability curation improve of increases algorithm the the AI quality that can

into Our instead product, it teams baking a their being marketing are and sideshow. engineering, initiatives of AI key

to forward help to opportunities. our photos showcase For recommendations, marketing We're the in or efforts in stages providing how on exploring we you of get development among select the your date other effectiveness. profile, to the updates toolkits can looking first example, at active also and your the assistance best are many there optimization improve early bio, use look available software We AI to future. improve

let turn apps. each for Now, me updates of to our

that call, top QX, earnings revenue Bumble First, the App users. expansion, paying robust product design, I our results in funnel App. These XX,XXX as innovation, reflection by In XXX and of million demand. with adds namely priorities sequential and Bumble well strong of reached last execution outlined against a net safety international strategic as are

is expansion, elevated of continued marketing core spite from seeing spend Europe, markets and America, of gains including momentum all new regions, that international levels in market we both competitors. across with global Latin our of our Western we're across Starting share very with India. our and priority download This

environment, the discipline of in driven maintaining out are while for. results and we our that very this team spend has the known are ROI We

quarter UK most the the was downloaded for app Looking dating at QX, downloads in Bumble Canada. the and in full

In tie in the and strong Germany, in position and a virtual second a Benelux. France, place US,

markets Asia. India and strong a maintain America in Latin to Southeast and continue in key our We traction

market of our on our playbook organic women-led authentic safety-first on building is focused the durable, a brand. positions strong reminder, marketing foundation As

in the women US, Critical research tracked is the by major the Morning all with dating France, and Z favorability brand of Consult, brand net for highest the Our especially UK, independent segment group. Gen apps

success in results word-of-mouth, and customer translates engagement, share users, that This in download growth. of retained high robust active strong revenue into levels

year. on roadmap exciting also We are track with product this Bumble's

on our long-term and across existing further new our continue growth. and optimizations delivering of products we targeting, strength to is refinements pricing, user brand and While critical experience, innovation product focus to

recent a highlights. of we complements completed in rollout of all the Here's full markets. some QX, recap In

seeing growth. ramp paying adoption focused are we're We well incremental accelerating as user contribution and as on driving this of now revenue continuing to feature,

are We in with fees several key markets live our best offering.

uses As curation AI algorithm I this level mentioned our earlier, to our of offering members. a new provide higher for

we're markets matching. high Europe, in today engagement terms a the excited number of we're Western Available that levels in traction of of and early user by seeing in

are this next to over the accelerate testing and expect rollout for based approaches monetization We months. and both subscription consumable several

that positive feature. Dating prompted made members This match. in more to our and enhancements an first chat low we've they're to and to seen and We stakes have also before Speed format playful, enables results meet from anonymous

We've been without ticketed events. events able and the participation, of increase losses in simultaneously while frequency sponsorship both to exploring through these monetization

of are of always improve actively how are a number new our business. scale let with small us generally experimenting user we initiatives. the learn do, monetization As we These health to engagement experiments that

compatibility The A themselves, on to virtual aimed potential gifts, Z new stickers, below testing, at product help this is and is new whether a photo good and a example of better our users. services Gen effects. additional we're assessments, subscription express Boost priced which users be emphasis Bumble through offering that tier is

into and with this expect do approach. will XXXX as all a always, We of by we roll to year this design this safety and out later

approach a take especially to across safe to continue women, on empowered will partnerships, policy, that continue our ensure feel We product, apps. our people comprehensive and to users, and

three in remain revenue a countries down Now, other confident top We turning Latin XX% in year-over-year. Europe leader and the million, to $XX many Badoo. Badoo key in apps totaled Badoo it across remains and and as America. markets

continues Store on Google to dating Store. scale rated Play be on top the Badoo the one App the of and apps

key still to to to markets. registration are users and return growing further reengaged work encouraged we in to have do While Badoo and growth, we see stabilize it several

increasing Our loyal on platform. on by focusing retention love good connections, about hallmark users most focus the shoring remains what features and and Badoo and feel its up which authentic, of are the quick, engagement

up testing to which We a the are get Badoo discovery mechanics, quality takes it a different time around currently built connection. significantly experience speeds new

strong power lessons We on team to the remains we're on with Z from Gen and roadmap, French execute Finally, and in it in speaking Fruitz, the product differentiator learned demonstrating growth product incorporating also this their core unique markets. believe Badoo. of a continues well its Bumble

Gen on of we've pricing traction apps. targeting media social in The Fruitz's Bumble. leveraged Fruitz that experiences product Z drawing some example, and gaining exciting, For strategies is very in are roadmap

its drive that greater taking durable even we innovations in QX, share and leads markets. steps and market economics. also Again, favorable will market growth emphasizing a be Fruitz And the In position expansion. home into organic global will its QX help first these model to it believe

more make make better mission in same the was in remains progress founded global for equitable, towards and today In women healthier day that scale. I relationships to everyone. closing, our every believe better, app to XXXX, effort mission on making that it when we firmly are as I Bubble a relationships for an

and than for am demand with the support. demand and we products as connection investors our loyalty. to and long-term. vision your way now fully customer gratitude I to is The your and dedication strong this our this always to and more trust Inc. for have safe, and partners, committed future customers, stronger unique, ever never the for before and team about love of I work Bumble hard excited been a Deep for continued deliver thanks believe in business. kind, our over differentiated and

now that, on our outlook. and Anu I turn financial a discussion will results to With for it over

first Bumble high before comparisons year of in turning stated up everyone. afternoon and otherwise, Total our at XX%, outlook good Unless and on Inc. year-over-year a are begin and discussion Whitney you, QX our results with all to quarter revenue XXXX. was basis. guidance. QX million, of a the Thank our I'll end $XXX full for

rate FX by the quarter headwind combined Ukraine, points. percentage the our and five headwinds with million in impacted the growth war for was negatively $X from

paying the million, XX%. Bumble at by Total high end and Bumble growth ARPPU driven Bumble App from range above of was Revenue was X%. Inc. App of our primarily XX%, user growth revenue from $XXX up guidance

growth negatively payer Bumble paying headwinds strong a added growth to basis, three in users On percentage by sequential users, in a we revenue growth as from resulting monthly impacted XX,XXX penetration. paying points. well users increase $X.X active App was in as FX XX% driven increases by million.

This headwinds down FX driven $XX.XX, impact X% by year-over-year. was Bumble and mix. was from ARPPU country primarily

on and Badoo million, moving was and growth headwinds declined rate App aggregate, paying Badoo Other users, percentage Other Badoo Other. conflict points. our impacted In Ukraine down App million. X.X FX the nine App XX%. to Fruitz, to and X% revenue excluding $XX by Now, and negatively

and exit our of impact X%. over grown paying Belarus, the have from Russia would Badoo Excluding users

and App we we making Badoo believe primarily declined basis, paying progress Other $XX.XX, dropped stabilizing excluding FX. sequential in mentioned, Fruitz, a ARPPU, to to in Whitney XX,XXX due On As are X% Badoo. users QX.

Turning expenses. now to

We with and than are incremental more focused profitably headcount. ever a high managing spend business the for on bar

the towards We our profits made with we margin topline goals are have achieving for our while first the also quarter the in year, objectives. pleased

committed We remain leverage long-term. in continue to in our for to room and have expanding business margins we further believe the

Total our were total non-GAAP quarter. expenses compensation a GAAP GAAP operating XX%. and stock-based million or up $XXX and other operating for excluding expenses On million, the items, were basis, $XXX non-cash cost non one-time

primarily away Cost of App Android. Google to as XX%. The was have shift and well billing Store $XX grown, driven on revenues as third-party fees revenue as grew by was Play higher million from increase

marketing year during versus cost on across in ago the period as revenue versus all percentage million. the XX% grew on the in ago a X% ROI state in and discipline XX% thresholds expenses of spend campaigns. to of represents efficiency marketing of As and revenue was revenue, period. $XX year quarter focused Sales XX% This we XX%

X% XX% expenses Product were $XX revenue year. or year versus were ago million period. X% $XX XX% or development last of million expenses of million in million $XX or the of of or $XX revenue G&A revenue to compared

million XX%, was QX GAAP up and adjusted ago EBITDA $XX a net million $XX was QX net of EBITDA represented loss margin. to in compared period. adjusted $X XX% million, year income the

equivalent cash receipts. down balance primarily ended timing quarter of approximately from $XXX a million, due to with of We and the cash QX,

our to on moving for year full QX Now, XXXX. financial outlook and

of For Total range. following. QX, the revenue rate midpoint of and year-over-year our $XXX XX% growth we at expect $XXX between million million, the a representing

growth presenting We XX% App rate $XXX million to $XXX between and expect of million, midpoint. the at a revenue Bumble year-over-year be

guidance App adds of to net includes for Our in revenue sequential $XXX,XXX Bumble approximately $XXX,XXX expectations QX.

to be adds QX. We sequential expect in net positive Badoo to slightly flat

We $XX midpoint million, be estimate and $XX range. million adjusted at between EBITDA XX% of representing will the the margin

total earnings has For to full our estimate our full year Bumble between maintain changed XX% XX% last for since our on year Inc. year-over-year. revenue XXXX, call. grow view expectations We not to

maintain growth pleased Bumble our rate are and between expectations so to revenue XX% far, we We of performance XX%. for App of the with

With year-over-year at to expect of full expansion. we points EBITDA, regard margin hundred year least adjusted basis

announced that has up our repurchase we authorized Class Today, outstanding Directors to our $XXX for program million share stock. Board A a of of common

low a with have free cash generate strong position net leverage continue liquidity We flow. and to

Our in priorities allocation pursuing to the capital as business in perspective well from invest as organically a remain M&A opportunistically. growing

the to its return and Beyond program opportunities, us provides investment buyback share to these capital flexibility back allows shareholders.

first in summarize, we our year. position amidst the gaining growth plan about we achieved in to for And this carry competitive strong through are We the a environment. the the of this expenses. rest map To dynamic built staying we road momentum are good and while to with excited the forward We quarter year. topline business our have believe market quarter we past product continue disciplined share

with And up we you. can Q&A. open that it Thank for operator,

Instructions] you. from first Our Steiger. [Operator Alexandra Thank comes question

questions. spending And for you little for a year? mentioned? the in of competitive emerging and the we cadence you're of should new you developed Thank the prioritizing how versus markets marketing remainder you elevated existing market given maybe pace into the taking my as about the think the regions versus making international deeper launches Could dive various progress

you can Is just type us there environment? our philosophy pricing this And you around optimize in much. room optimizations. to then pricing of second, of a maybe your remind increases so Thank

tackle and those. of question It's for Alex. the try so much I'll both Hey, and Thanks Tariq.

as think making to pleased international we're progress relates expansion, remain we that in our with very international it I markets. the

continues, the to source it think strength me, business. excuse of I be a for

traction launched in standpoint Asia. markets America, throughout Western as Southeast And growth in from throughout absolute India, we Latin are seeing download just as a Whitney we've as share continued levels Europe, continued well mentioned, seeing really we're in of and the

work let's focus seeing base do let's meaning we this are this on in that organic We of that really durable and generates robustness really the that resilience into a these we that that into way growth, countries, the internally model in the growth does refer these countries and need notion that virality sure word-of-mouth what our so and to you continues model, work as an in well. build that build that we make to

elevated that quite putting resilient us the of in of levels spend our of number market. made has marketing think face are very into It we a competitors

has you what see do elevated it's seen those those we've diminishing of markets. the And even spend, when really levels is not in trajectory that Bumble

And on So, to position. users are we active to and again, about feel engage very at users those good quality focus willing downloads our a who eventually very high the is getting converting level into are our much monetize. willing and

we're that. So, with very pleased

we've more year where got are in Europe. In work terms launched continuing later there. pleased progress made Europe There's to couple year. of the we've last to we with some do. focus of in We a cadence, the in Western more We're the Spain Western countries

a Europe is market, about launch that I but getting focus into of this building to reiterate only do when that the Italy, want Nordics started Central in in it job market. some real just we are and The is really parts a depth year,

where million That's if that's will. the you dollar

And so on that. we're focusing really

is continue and the Western parts really us emphasis the as America primary on Asia well, of see Latin focus but healthy have You'll we Europe.

data the probably In last got we the the that said company. core -- inside think about that this that we call, foundation terms all of much strengths of I real mentioned we've analytic of pricing, haven't X in but is the we

a of at over level got analytics, level data very, the couple allows us personalized last fine to personalization, been of optimization a of That platform price a we've overhauling and level. an years. result, amazing We've just as do that very a

you've Bumble and to This part a will are it's that large has that on, to-date constantly think be of really well. it's story something is it seen and the fueled part of a that that continue we historically, forward moving in as company the Badoo, we the story something and working large

Great. Thank you.

Thank you.

comes next from question Carpenter. Cory Your

questions. the for Thanks

talk outlook, versus of Anu, Bumble XXXX thinking expected ARPU. could ads you the your App latest contribution On net around just about

as cadence previously the I XXX,XXX think about as the range of a well year. you that talked to through XXX,XXX

moving of are if those prices, are is to some some users Thank know, competitors to And one Curious evidence related, they're there a perhaps over you. you subscribers view then raising non-financial as losing or your result. an you Bumble? that opportunity and share, as maybe if this already of take is

Hey, question. Thanks Sure. Cory. for the

XX% we revenue maintaining in year think I full my to cadence XX%. So, Bumble App for are of I prepared remarks, our said as

net That XXX,XXX adds also expect had to the full XXX,XXX we adds our guided to. to we the expectations, so for that still translates net year

QX, bad that just very happy said bit For we a had XX,XXX at do between XX,XXX. We're we to came would little in we that higher XX,XXX.

will for we We between expecting QX, to are XXX,XXX be XXX,XXX.

expect we QX, QX. be we a then from And above then perspective, And seasonal that. will

we slightly all than As end in up will QX. know you be where we lower

are Again, to about So, that's what has talked previous earnings changed. what the cadence expecting. our is very had calls, and of we nothing similar we in this really

we've that the how very earlier. performed with roadmap business and happy excited the Whitney about talked think I that product about was been

we'll obviously more. share So,

lower each expecting is that for out practical basis, will what's a and look say, But ARPPU, I XXXX to you that are maximizing full as In our like. for that than ARPPU come what are that to and put based for our important payers is people experience product we relevant product always goal we make sure the we on think the on year, always again, maybe that terms of average we ARPPU saw. slightly in

much maybe also puts And to XX,XXX talked I extent. a hold between very obviously, then we true. think, to some and guided I just about just largely, QX, mentioned came in But from we add I there what ARPPU So, at negative Badoo, takes -- for what are for payers should XX,XXX. had net about perspective, and always negative

we pretty net feel be of adds that We in terms for positive will sort in stable good to territory of Badoo.

with business we how there the performing. So, sort of are pleased been has

We it's definitely to definitely work like path. have we right But do on the feel there.

your that's update question. on yes, So, first the

to it over the-- to Tariq pass I'll about talk

Sure.

how with we of on increases, believe we happy think the fundamentally whether what they terms to decide based are is what -- I pay price some experience. In of on competitor are people the Bumble Bumble

it competitor, is impression many mentioned, which is to I in major pricing the attractive -- Morning could less of US the us that do a say, of highest that, unfavorable suppose as positive early have standpoint about spend case, of becomes too versus is apps, Consult. from Certainly are by the we tell. how the -- what very track of any good on still have a favor as potentially favorability, people That's be for to Whitney let's an favorable impression net a Bumble dating Bumble the feel

we're So, want in people and to for be set well preferred platform apps to dating who participate to continue to we who up pay. a be to think -- want

of QX fact, if and at penetration looked healthy end our you rates think increasing the payer nice do business. numbers And and new towards in we the net so suggest, some we're QX that QX, or subscriptions actually in are there throughout as and our tailwinds our adds remain

Shweta from Your comes Khajuria. next question

some on markets? trends North are headwind you you the à seeing on Thank headwinds. you're recently and mentioned please international their versus What there's Could carte that comment you because in la of questions. America my Your seeing? specifically taking demand competitor macro for

on, efficiency about on EBITDA it -- what the margins? talk you, efficiencies, are greater is had talk question to focus a drove when And about then think and second could EBITDA upside the exactly when potential what what is where be be could gains what you we and Thanks -- about focused operating please Anu, lot. you

question Sure. over to I'll and Anu. the demand it start with turn

strong into demand quite Badoo was registrations, towards Badoo, April, and that in Bumble from are again, very general, continued nice think, I been quite So, the across we quarter and and a level has registration Bumble of seeing standpoint. top seeing funnel the really of end a nice of

mentioned, see we be continues as paying -- be subscriptions to strong strong. payer new just look that you I what trends, continuing As penetration at basically is are to

about I'll Bumble speak second throughout modestly improved actually and for App here QX. a

that think is a a So, I sign. is good

subscribers, improvements remains QX multiple Our months, ongoing renewal saw healthy people been April. for modest and for rates meaning and have also in who throughout subscribers

a way, pretty trends. the So, and look healthy demand seeing your segmented of if were at is say, generally question, The would -- speaking, I global that sort you exception, those at trends. -- was to level this by

in saw you you in think other our saw the US, that markets. it I also major

you'd that are some challenge As we our the particularly are at see level, there. you look seeing Gen challenged, you level and that looked economically -- still Z more pockets segment if of at economic segment,

leading to renew So, challenges some subscriber, the they'll to meaning, first-time choose not then people renewal, stretched. still and month, that on a to be they'll are want that is who for some because there they're do it economically use

to is work on and and again, continuing But, an something quite eye nice demand of the some a value we're like messaging overall, That that. seeing picture. with keeping on things we're

offer. Actually, also consumables probably the we On there. are best side, actually of that doing the consumable demand strong consumable our larger seeing very packs all the we're

what we're there than think seeing may trend I quite different a seeing. others So, be

well for both in about Yes. really the being headcount. would saw question your as majority us of that And in I was marketing I EBITDA, QX, say spend of y performance as disciplined you terms think, on very

loss that. efficiency. marketing you On we returns of data of based on these obviously, viewing market in on campaigns, the numbers that the looking based at compensate every haven't seen trimming we've We all and side, been our see, any all topline little budgets

all returns is we getting the that in better better getting want. us just and So, this of

yet, we very confident the spend something get marketing haven't full in XXX and to on to guiding that's least at QX. points feel we We why can like definitely dollars saved the we to we'll some for would are the it's we -- in ongoing EBITDA that to expansion margin being basis, but year. guidance full but for see of we And that increased continue look QX that if definitely of basis able at to an year

in parts headcount, of few ongoing those we organization of how much pretty cadence of and an reviewing also judicious the We've that our each terms we've the the And years, groups. terms been few in through continuously of funding mention over over of I'll last last years. much had different grown the of of in in are last pandemic how years we've terms couple

isn't is told time think something this good So have that, critical been And mentioned this definitely areas being very last we've our is been high. that doing we're And head certain are as for just this year. doing the funded. first always at count bar very for well; the internally. that teams I something This definitely I incremental time the

we develop. about obviously, want make a build things AI, right around of to that teams skill some augmenting the so and like, Areas Whitney we set our lot have talked to engineering sure that the

the sure top we that We you're are bar to to want pretty to that, at like investing And this something maximize funding, how high. again, for make a looking thinking definitely close continue things eye on is because said, we're we keep right is line. in are going but our very the otherwise, I headcount to incremental about

Anu. you, Thank Thank you, Tariq. Okay.

from comes Schenk. call next Your Lauren

Great, thank if can. I you. Two,

out, put monetization like just relative accelerated geography, Is anything think from that product you're drove specific know to feature, a really running through you we it February March end of that seems AK that there sort improvement? broad-based I and nicely. or acceleration what of an

to just to call of the else secondly, expecting, second little is the margin there? out for I a quarter, XQ guide a street the marketing was that then And below just bit, on Anything where shift EBITDA from XQ? Thanks. think,

Yes, the with on I start question second maybe specific to think call I'll XQ. first. out Nothing,

just said quarter think be half in tends marketing of spend. I higher first before, our terms seasonally, a we've to

well, and that still eventually we QX Now, less the were efficiency this wanted. we top able end in achieve and spend to as

how important timing some wherever think cadence again, ad for net It I QX. we that. for I a pair that think And year. function funds number a maximize would remember the things of the QX, earmarking change to terms full of to our just I of the certain like of in I doesn't are in campaigns that of goal has said, think can. purely can are try it's But for campaigns have trajectory efficiency definitely lot We that and the our be It's certain impact landing. we

it's not just a sort the between of So, always easy to months. correlation draw

product at March did was you If It was we our with and growth you normally had would cadence. of our but planned product in in we with have look than It expected, the rate, Feb year-over-year was well. lighter January slightly sort planned line how cadence. line had how very

work that had the growth And also the It was optimization as terms we line were in user funnel for planned we with what planning in payer quarter. for of the top of well.

that So expecting. this something were was definitely we

that. came numbers, we number And slightly were the when to in. the would very obviously, And that confident in we we guided that we end than that's up higher

a product perspective. specific to growth nothing and what So than, planned had of sort been from out user call other

Thank great. much. so Okay, you

comes next Benjamin call Black. from Your

a you great is be to question. Store taking Ben. your thank hear This the sense be Goel Thank fee Ishant Hi, for XXXX our It could you that App on recent would thoughts you. And for really Store event? do developments fee. on App within

Hey, sure.

about we said, certainly program we've we're the attention that close talked in pleased Google as are So, be taking. doing. the and lot just at And we of user we choice what example paying before, billing are this, to efforts one are to Apple of as both and as a Google

on our for offer impact you are choice them positive how are we the on in I moment, other evidence of out payment, able these increasing quite forms want And different services. have people they more those programs as say of forms would at do users pay payment. the that we to We users. are do rolled for as see opting

speaking generally that is thing. good And a

on will, the the front. side positive So and that payer on the experience we're on very you if -- user side,

clear apps any hard In this I say terms year. frankly, We're for to not year, at the And all it's a of the say. would is anticipating, moment. not relief I think, themselves, this major fees picture next

of pay fees. changes have being the you some proposed of fees and actually net effect The to lowering be as to the the raise Google by to Apple that opposed could

So be murky through a different the a there's that of detail think I it's picture lot platforms. to all and needs by very worked

much. very you Thank

Thank you.

question from next Your Patterson. comes Justin

on that, you. thank a you like It seems more touch Whitney, was Good many could something I with. Great, just companies struggling bit have afternoon. been little marketing hoping Gen Z. toward

I to little you're love more would how that really So more. demographic positioning potential hear product a attract new to that about bit

as thinking and product about the within there drive I experience how you to features hear some to curious would of you're the growth? hear for companies within optimize making you're perhaps revenue sure Bumble. to user be about more just a in testing follow-up I'd know about health growth. little the that to you. just a And love Thank not that, the sacrificing bit elaborate I just broader revenue order

Hi, so much question. Yes. thanks for the

US. we're quarters a Z, Gen Z our base. our I significant Gen it's that's these driver with in And seeing recent to steady of start important think been the the in to growth has particularly that So user note success in that

so And this as as base user can acquiring are we is of the future. imagine, exciting you this very successfully

Z dating also and US app And among QX. of terms Gen other MTF scores I mentioned led that apps in Bumble

that's another users. recently designed this appeal it's is to important begun point we to have products proof market And resonating. really build Gen Z -- engage our our So to very that

a how that the this about is of positive. on and just that new. second on the want double second. unique is yet performing been understanding optimizing generation I them with this so our So and college fact so a audience not the take I'll really talk XXXX. something we the started for to click we're platform since in This have I well in company is a without focused

the where the we we with bringing the So and what scaled we sophomores don't stayed that and along with consistently them us. this because that, and always in Honey with and call evolved have and necessarily. have We're juniors program current constantly we age with freshmen and seniors the Ambassadors

relate focus women's this the to side, in optimizing will of be marketing and of audience invested Z not like that so and consisting things a messaging, number really virtual which speed but we into we're dating and from gifts and really the content only them. this in really ways, them really can good We at leaning of Gen for deeper audience-specific experience them product to

a deep So, go something, network influential competitors and that unique years. for we've is is have planted us, the just because This so effect over off with the acquire something the in years can't really paying college we've is ingrained we those this over roots built hook it's and students. this that of

particular low touch paired I'd to the features of big that thing audience. pleased for we're age like that that those college And this about, to results a kind is of with, with date. those be that this on college a then bundle one tier talked But, going is which is really to target test offering we've initiatives different this range priority group to

experiences are As to This gift, effects, other engage. earlier, very I express themselves. that's social photo this new said to or be ways could be that and could even ways virtual stickers, a

and we're stages contributions robust its excited do of expect have any and this of testing, So in the for this that user prospect to very growing in XXXX, not base. given that early is very material we but about

Before double I to just want hand to joy. Tariq, it click on I user

really numbers for is delivering are We to incredibly something efficient are and want obsessed really incredibly reinforce good operate know, I we the our efficient. with. this long-term. So we while at that staying

business and satisfaction, long-term This a impossible. without and joy that's customer is committed

roadmap, is mission so that particularly product strategy absolutely Z Gen And critical front meeting. every at and this always at and with women. every is And center

see you through think I So that our results.

that, like And to just it's never at safety, anything, customer great I'll to satisfaction. joy, while so, want it I reinforce expense him. that at revenue, Tariq of would optimizing the if pricing and add we're to With take

sulfur not to the course, solve as they Whitney what back like is talking things said is, And se. teams at as day, look metrics all for, input metrics, What and look end talk output get thing for input top right? what plan would only about The those of what we we are at the I what at payers, per actually our of But we're our those solving metrics, on efficiencies, build revenue, the are that. Whitney of the we are about. experimentation

we to able that respectful that be know the you then know a find matches match helping that you we leave. better you're platform get high and the want that you are generate safe you're if platform, and you if pay We relevance you person until more we willing do to likely that are to to retained And better able on the to and to be for you more way. with we're in and on

dynamics journey from paying more really the it an looking to EBITDA are at And more kind to customer really our so the make we experimentation teams when work that of we And ecosystem at revenue, for know that are of us. standpoint able more ecosystem. leads users, well, that

work the essentially with. teams philosophy that's So the

Great. you Thank both.

Thanks, Justin.

Blackledge. Your next question comes from John

you Great. Thanks. and kind of First, Compliments, color of conversion? monetization on the driving the questions more how and feature, payer some could it's Two the provide usage

developed area And and engines, capabilities kind machine across from safety is of second the the internally you that learning, on etcetera, kind use then in-house. all recommendation AI of AI the and

forward, And software then companies the marketing, to of you coding, kind emerging and across expect Thank partner business and/or etcetera. improvements, either kind efficiencies any these of AI to drive drive of to apps going the with you. gen in would

Thank much. you so

machine set I'll the learning. on AI So stage

can a our deeply AI But AI excited I lot AI is historically. for that some new not and us really Bumble, it's important our rooted about has in very we work So of machine benefit learning forward. moving think business note the at are been really way to thing

other, about before in how Really think, main talk get will I in-house just So the business. this domains. I I or our enhancing across three see we

safety large external learning to models So next and language with say better deeper would taking integrating trust the with this or Using internal by machine starting recommendation level engine and tooling and products. I data labeling.

is And automation huge adopting and frameworks. and that which building really efficiency faster. based opportunity, improves then really optimization engineering the by there's and code generators We think AI opportunity second marketing a category productivity

experience. new that the mean is the product third And might by product And that that doesn't exist with something the of journey. adding What it new then Or experience I could products. enhancing the enhancing say, optimization category is this something an be yet. product really on be someone struggles

So, with be This move. pick set of many the based or a helping best to your to bio we photos. you first with touch we button. really a This this an way. to your business see There's life date so could profile struggling your making also turn start Compliments real We're could write the onboarding as the the along up opportunities before women opportunity. on

success such optimization can it make continues been more this we be. has and of of into make we faster, it driver And But believe and our to for a it overall. that, women, safer easier and enjoyable the lean

so there's here the across really drive And of to tons improvements opportunity performance board.

briefly. just I And on Compliments on touch Tariq integration double take on before strategy to will the down this I AI, to

message Compliments was of really So Compliments into match update, by before foray category. way the first our

Complements continued growing are we have expand the adoption feature, and We retention. increasing and to

committed very been on. we've things Both

results. adoption, seeing really our in QX, we promising are and focus was on growing So

have So a Bumble thus sent of nearly our far, monthly Compliment. users active XX%

intense and the confident the broader penetration future through things also app, you continuous product and expect over very improvements, this that we're product And see summer. strategic placement and grow can marketing which times like design ability in our to education, scenarios, to of outside in high

a ensuring feature and roll prioritized it as also we scale safe experience, and strong out user this more We've broadly.

experience working So are in on the receiver tandem. we

it revenue modest today, So given momentum. contribution this is is building Complements fairly recent but rollout,

would ramp So AI? to excited over we about on we're you Compliments like add and revenue very to the from potential anything Tariq, expect the year.

most would historically are of of really beats that the other they so to tuned are we've actually only out a areas, fact from our long suspects. them language power well. benchmark moment, that It's that built models, the work large been internally And externally John, thing experimenting the sort We've against benchmarked They data. actually I using And the usual in models. tuning models -- the at reflection available exploring. of better. models the the content it's really we

of we'll worlds offline that both more so of How some weaker we've type we areas the before. doing with happy were external? our have with we use and experiments capabilities in be some of Models do pretty internal on done where that of we're think in of and the a far, that supplement best I this model kind area

you. Good. Thank

Thanks.

Laura next question from Our comes Champine. Instructions] [Operator

your think digits you Thanks for of is Badoo, It's but still signs for turn positive question. What we to could taking which of waiting the Badoo's this seeing? And I revenues? that only keep revenues double you're in are my quarter. unit I XX% stabilize about when think know we stabilization business, down it do that see from a

so for thank much Yes, you the question.

strong So I reemphasize it's have position. its maintained to we important think that do

across the be continuing and return QX but of seen markets. a revenue. And we've April, to in And America. progress due leader Europe, in its late registration into dating key still do stabilizing a a growth. good we number top continues So really In countries -- have it's achieved app three Asia, to Africa, Latin in

execute growth to we had due very the that continue challenging challenged, So value in series returning steps our opportunity are really to of And confident work deliver results. remain course, in and war these the long-term these was and to and Ukraine, to COVID Badoo's events there's, still we first of a do. still between the in strategy that Badoo proposition.

really that. spontaneity this product we've into customers this continuing past, to the the this lean to about care turning product connection and and most instant loyal that delivers, So side, Badoo's uniquely in shared we're but

numbers We return building to this the more for them. to customers to really attribute listening and positive the strategy to and

feeling So we're new really offer monetization promotional bundles the that and better consumables paired with to story. enhanced really offerings Badoo's about

experiments. those ecosystem and Throughout improved markets. revenue in resulted several delivered and key in have we QX, trajectories And revenue

APAC internationally Eastern be in investment market So Europe. and active LatAm efforts to expect expansion we and in with continued

Anu think make So with comment? that, you to want I a

other Badoo line can and our Yes. for And the I the what XXXX items is we be Badoo when year-over-year terms goal start positive to in you think to of guidance, for based to stabilize. expect see on

get still then are but get to that. expecting definitely and will be it It not to territory goal this to the positive We in stable be year, is positive.

be path. the work recognize we getting we is first bit to that are know which have sequential adds that Like little a -- the positive, to QX. net said think we we more we're but like definitely feel right we for path towards I earlier, I a on step a still there, do on

you. Thank Understood.

Laura. Thanks,

no are time. call. This conference at There questions further this today's concludes

may disconnect. You now