Match (MTCH) 7 Nov 242024 Q3 Earnings call transcript

Good day, and welcome to the Match Group Third Quarter 2024 Earnings Conference Call. [Operator Instructions] Please note, this event is being recorded. I would now like to turn the conference over to Tanny Shelburne, Senior Vice President of Investor Relations. Please go ahead.

Thank you, operator, and good morning, everyone. led Swidler. Bernard be and and will Gary CFO, call by Kim; CEO, President Today's a brief make for They'll few questions. it we'll up open remarks, and then

actual call, remind Before similar performance. today. future statements. could anticipate from subject we statements results by are that need expect, start, preceded forward-looking discuss to to These the be uncertainties, such we during outlook statements I These and this materially risks or words expressed we may and we may our we our everyone differ and views as believe,

Some earnings BK. to to of these risks turn the have reports like been over set call forth release in our SEC. our the I'd and With that, with periodic

Tanny. morning, Thank you you, all call. Good thank and for today's joining

I'm on quarter, proud of durably product the driving confident to QX. steps innovation past efforts strengthen this portfolio, and we're long and financial of high continued deliver over term. taking in and remain work our has in on the reflect across solid profitable growing building I'm the performance focused I commitment to our led hard level business Across we maps company, and the road and highly portfolio which forward, us results the financial delivering on a As

mentioned certain long-term below our our of driven expect results. As expectations, Tinder's delivery rightfully I revenue and during optimizations. slightly was last the In short- term, both shareholders call, direct the short by under

late well sequentially payers our XXX,XXX added by in X% This Tinder declined July. above However, only year-over-year. outlook provided and was

We're testing improving testing With outcomes. we on this ecosystem full markets. feature, monitor saw MAU send results ecosystem cleaning to and metrics and features could user with progress Initial pleased we on several photos this Tinder before expected. the continue photo faceless several impact mandated on positive user remains and aimed can to we'll new than are about the profiles these in its at they the experience. we're been optimistic likes. Tinder upload that have users includes While important rollout. up focused required This face less have face before overall a results long term, payers, promising, Tinder the on with

to Similarly, QX. in improve Explore newly includes added tab testing particularly features women into designed a for spotlight several Tinder outcomes, This tiles improvements. recommendation revamped released drops with and

Tinder's active Additionally, Tinder X-way team women's conversations. has far The seen progress metrics pleased product are but forward. time, time. done. is take seen working weekly linear messengers on with We're not in engagement recently at tirelessly, drive transformation such transformation including Tinder's to from same stabilization we're At women's clear-eyed we've know Tinder the execution and the progress pushing will because these that forward as initiatives with be we that always

believe markers strong. new initiatives to we Our better progress and sustained that user commitment of to driving remains the top continue over quarters roll we'll coming And see progress tangible line trends as Tinder's out.

matches. with intentioned focus which Hinge's European increasing exceptionally delivered another in the with just it feature experience response English-speaking markets, on XX% users. their continued on great good daters growth. helped quarter your the across global tests climb demonstrating on how feature turn nearly Hinge resonates current in core dates making conversations its powerful momentum has impressive their rankings download revenue on them continue users get and been and user to to much second dating of appeal also and its experience. rates, against their and a the limits. downloaded help of becoming launch supporting up in announcing said This half of focus by helping out the promise to also app Hinge's Hinge competitor, gained Hinge momentum strength brand strong high were faster. to them product testament the current largest made its next its The in in October, quarter, U.S. users is improvements most increase

exciting is step for of seeks of daters, innovations to journey. richer Hinge its Hinge's the piece by transform user product we're intentional to deliver every working feeling guide. experience strategy embedding AI-enabled a future also of to just with innovations one like continues into of dating feature trusted as features creating advance the This even it the more a

prompt journey, sharing product the in video how embedding dates of began updates throughout this, from part Azar users dating into faster. live AI look to one MG that great success This Hinge U.S., in our expanded applying future. have and of learnings the more help additional is to As app AI-enabled Asia, lead its Hinge I testing the forward is suggestions conversations At meaningful just to example Europe.

momentum casual efforts to Azar's quarters drive same evergreen At experience with migrating category revenue downloads the in X brands declines At over Meanwhile, in with by their of segments a late respective highest Their in is successfully brands streamline Gen helping perform in well, the of October. platform stabilization. encouraging going some is leading users. the dating emerging regaining striking growth levels engaging brands. payers E&E, Japan, Z market. sign continue the U.S. the that cord from positions our across in more are online time, are tech a their since past operations shared the efficiencies to is and continued showing additional the into strongly, offset signs is X and reaching XXXX, Downloads holding

the ahead, company, innovation them. to necessary a steps highly to significant well to seize confident take continue Match remain and the we'll business. We a build opportunities in to is and investing profitable we durable Group that keep must As positioned capture

highly of we discipline. our financial revenue until strategic with exercise said, and improved rigorous growth, signs resources need clear see to we That be

and Investor we December maps outlook one that, road brands As more We And first on I a strategy, sharing our committed unique result will of match of its our to XX. we with hand managing their at circumstances. ever look stages each forward to have our it remain approach, portfolio Gary. and at off to growth cycles, of to product various Day

and QX revenue for Thanks, at the $XXX expectations we which growth what revenue and was in exit achieved, earnings we of morning, levels costs our below live our charges impairments provided the $X less on in are total to streaming That within which everyone. to of with and the was Hakuna AOI call. were last of levels million, good related expectations than was other and similar the in we the you and XX%. solid was been said, services. Severance had year-over-year. payers X% our deliver. was while down up impacted X% and the targeting total in year-over-year, neutral but million, met we $XX direct QX. declined AOI consistently AOI, of today. X% remain million to million RPP AOI XX% Overall, respectively, increased $XX.XX. Tinder exceeded margins expecting. quarter expectations X% X%, in X% for $XX.X quarter BK, our to with FX be and other quarter revenue down Great of year-over-year We the by to

a the opted testing their expect we to iteration. QX This versus on were we but impacted and more Tinder revenue what have to QX Additionally, in had several improve significant we to modestly additional for to ALC these delay impact revenue initiatives delays previously revenue, direct time initiatives expected. than initiatives began we allow anticipated, ALC trends. revenue cannibalistic generally to subscription more rollout These

Tinder declined up from which expecting year-over-year year-over-year delivering an QX, drove X% QX the We down the to QX. to these payer quarter, some of are And quarter weekly XXX,XXX subscription the X% did higher features payers X% our reduced in sequential revenue. price testing was of which we in than package We contribute above in improvement to $XXX,XXX. which but additions, had was $XX.XX. anticipated, RPP, payers in expectation

down QX had trends. in improvement see year-over-year with consistent the Tinder quarter. quarter, We trends expected MAU X% MAU to in the in were

registrations mid-September, was which in new time new a to is reactivations pressure lapsed we trends, confined than this users in users new weaker largely typical stabilized However, to at year, and of on trend user October. The that of see has began iOS. includes

certain collaboratively XX it's and in caused mid-September, working or has of safety turn, investigate MAU. are in Apple We iOS the Tinder with cause. enhancements to made This, pressure related whether another to we trust introduction on

number a this in with high-margin working very business XX% margins are improve of QX. remained a to initiatives Tinder on trend. AOI We

strong both elevated brand technologies AI delivered continues on and back margins with in slightly core iterate payer product outcomes. preparation key growth picture year-over-year AOI continues in to the brand exceptionally experience and markets of year-over-year million growth that in perform Hinge's rankings climb marketing also RPP of user to and regions year-over-year, countries XX% competitors. implement AOI Hinge markets. user Our in Hinge to those to strong Hinge as to to marketing gain direct experience QX. were and well. advances XX% share in in improve QX, XX% QX The versus profitability was campaign. expansion various its $XXX Hinge this now European a XX% year-over-year growth for Margins of and including quarter leading continues variety revenue, to in and by year-over-year pulled on up QX. driven XX% English-speaking spend the a continues growth growth and some Hinge XX%.

to RPP direct X% partially but business of fell Payers increased a FX delivered only $XX of decline Our neutral. impacts. MG FX year-over-year, revenue while down and year-over-year due X% Asia million, XX% XX%

prior X% market entered in up has declined the year year-over-year be Asia market success in Azar continued European for direct leading X% now revenue will MAU solid were quarter, market in the X% XX% the Hakuna QX. was to U.S. down which just quarter, app QX. become FX year-over-year. year-over-year the Excluding be in expansion grew for neutral to Azar the with the quarter. Direct XX% XX% MG a Asia global in in brand. up critical app now quarter. from was MG truly be AOI to up a margins the but exited Azar's X%, revenue AOI that

in initiatives stabilizing. finally X% decline neutral declined our be brands, Evergreen revenue revenue a trends up as a are product X% was and the stronger dating appeared marketing performance. million, QX, user emerging of direct $XXX to was market direct At and Payers contributing X% number Japanese in but year-over-year. FX to of

However, services year prior was from when live X% direct in the revenue only streaming revenue quarter. excluding down

from in the in streaming we margin live brands quarters Excluding past revenue, in shareholder Evergreen AOI as offsetting few a achieved illustrated XX% been declines brands letter. QX. the have emerging E&E over largely gains the

improve continue We efforts. expect E&E's as margins benefits of the the we to consolidation realize to

million impressions. by price higher $XX and driven was QX, ad year-over-year. received revenue up per Indirect impression XX% in a higher

cost costs X million $X declined point year-over-year. revenue marketing X% declined and represented year-over-year, store XX% fees to SBC million certain including app fees to revenue, and the total at card due streaming Hinge spend increased while year-over-year primarily Credit side, of Cost $X costs Selling $X increased year-over-year live $X X% million Tinder, hosting increased or Turning declined expense. brands. web down of million. and as and emerging year-over-year,

was Impairments and X% flat and amortization live total professional development and and up Selling streaming a hardware revenue costs $XX total primarily to XX%. result Hakuna MG result the as and a fees costs revenue of brand. of higher spend costs Asia was and a $X increased of percent year-over-year software labor capitalized which Product XX% by as streaming the write-off million million total of of percentage declined services a million legal with million to at marketing year-over-year, as Tinder Depreciation at million, up and of termination to and remained declined and capitalized were to was year-over-year costs due related of shutdowns. $X $X intangible of primarily revenue E&E as Hakuna of grew live intangibles software at year-over-year. services lower of X% our as and XX%. along due of G&A at impairments at XX% headcount $XX our higher assets

MG we Tinder, Beginning X this are Asia disclosing E&E. segments: business quarter, operating and units as our Hinge,

allocating not individual includes expenses, company's such into In costs corporate better business Directors business been shared on and services Board to technology growth certain legal corporate as revenue certain We addition, trust our have for offers may and the reflect focus future allocated costs central reflects costs as shared best profitability. we that units. such central adjusting our certain and these disclosed individual of consider disclosures the the Providing and safety to of units, accounting relations of each which in like central and insight category costs, for investor to and cost and in-depth our the additional unallocated business services we performance don't and a profitability software. costs and methodology corporate units that allocate

our to Turning balance sheet.

net basis per end cash commitment date X.X cash XX% million. approximately at more share short-term was intend of on $XXX for continue latest less of X.Xx was QX, flow to share repurchased and AOI gross In trade with price Year-to-date, Xx. the for flow than our QX, deploy to our we least cash deployed $XXX free hand. of XX% our the above on free We than Xx ended free Our shares our equivalents of we well target our average XXX% quarter of a a approximately We million below to and cash, total leverage million have of of cash repurchases. at returning shareholders. our flow, at of AOI leverage of trailing an $XX investments

Turning to our outlook.

to for essentially total expect we $XXX million 'XX, QX million, $XXX Match Group year-over-year. of flat For revenue

delayed other Hakuna year-over-year. streaming revenue revenue be X% to services from live $XXX to would prior that exited be year direct we Tinder, we million, total have to X% revenue and down initiatives quarter, million the X% year-over-year growth Excluding the half X% expect accounting from At $XXX expectations I current reduction each in noted our QX. as as Tinder. for the Tinder ALC QX of incorporates to range MAU approximately the for for This trends well earlier, to

decline We of RPP digits with in modest improvement payers year-over-year offsetting to portion mid-single a expect that Tinder QX decline. year-over-year

businesses. expectations expect million to million, in be our our trends direct $XXX revenue to due brands, X% year-over-year, our to E&E Within other lower to than weaker we previous X% up $XXX

direct continued delayed We deliver $XX provided to last by total approximately to in expect efforts. revenue monetization our we Tinder, for revenue the initiatives. reflects million quarter to in weaker-than-expected ALC half compared $XXX approximately company to The and to XX% growth QX, strong X of trends the year-over-year user of million, MAU trends half driven and attributable roughly outlook which Hinge related is reduction

prior of revenue our The period. holiday underperformance advertisers brands reflects expected primarily additional few the spend and expectations as roughly pull direct during anticipated $XX million previously than reduction back we less evergreen versus our in revenue our indirect a larger on at to

from and the the of expect X% AOI when severance in services $X million million including but the prior of $XXX to we the X% similar million approximately would as to as digital year-over-year declines QX, We tax. AOI Canada charges translate $XXX This year-over-year growth our X% of in well an Google, of to of $XX on basis, year X% million as-reported settlement excluding to quarter. received as part lawsuit of

when than up spend year We midpoint of We lower revenue ranges, roughly excluding full would now primarily margins revenue expect in total be from of quarter, X%, the Tinder XX%. in prior year for QX revenue due expect at we marketing the approximately planned would quarter. growth and to live At the total X% spend growth spend the lower FX the of be streaming the higher Group Total AOI Hakuna that as expected prior neutral. Hinge quarter of X% Match to into revenue strength but XXXX at and and fourth year be our spend brand. from

to revenue Tinder growth of X% to for year expect XXXX. up direct X% neutral X% We and roughly full FX achieve

the not retroactive For charges severance approximately most on Canada year revenue foresee Match expectations. least we deliver the total versus of XX% year and a pace AOI million of full in and beginning shortfall margins of XXXX, of despite which $XX our is and other to at DST, and the did Group at

billion. XXXX to free cash approximately expect for $X be We flow

our Asia of solidly with are in $X While terms units expectations exceptionally path are been to billion is E&E of have in about. perform stable that Hinge MG aggregate speaking our direct revenue business revenue. and line relatively continues performing we And to the and on in and roughly well direct

and trends user initiatives to weaker in XXXX. for our recent revenue into Tinder Tinder's that expect QX outlook are heading We delays create ALC momentum affecting

drive terms various well in coming review to we we product our We our balance whole Investor Tinder that detail discuss to and and requires out XXXX businesses Investor other disciplined as this our growth of financially revenue trajectory into significant deliver what in our plans the revenue at We new the product extremely our and, over total will outlook of the be trends has That company as at initiatives dictate to upcoming in expected Tinder impact said, XXXX and and that plan growth all value XXXX are to programs We'll direct the Day. expectations. financial Day. in of these therefore, can translate in quarters. The a We margin of Tinder contemplating regard. testing that and XXXX. company growth features shareholder recognize these medium-term us trajectory company's roll for to into stages the in expect of provide initial plan several initiatives

growth of some we to profitability amounts beyond. drive When flow well shareholders, cash significant to with cash and challenging, for of generation the meaningful program and strong. believe free free flow While return capital combined several remains in the dating a remains our share years our next company per remains category brands and positioned for growth the to

shareholder AI, questions. We an lay our could plan also capital for out over are allocation we the that, especially our meet medium open I'll in ask confident term. operator to to With that drive additional value innovation, We product December. the creation overall with growth view the when on approach line

Instructions] with question Barclays. Ross today Our Sandler first from [Operator comes

Great.

funnel might did what's at marketing, trends do XQ ahead happening drive other of just is operating than how of Could end around right You the and cranking a is and Tinder at to to the things. top other on? of long we this, on feel and on MAU then the iOS a more turn right at little I few guess, And top margin XX% Gary, starting what's So in the Tinder? bit now as you term? mentioned And going trends. like that with other I guess Tinder's top XQ? elaborate what funnel weaker funnel at think of help XX about related Or level? we you

This part to question, the the Gary I'm side. of jump on in handle that margin is can Ross. first BK. Thanks, and going

several a see that possible friction starting his XX enhancements mid-September. safety and the daters. added includes did in Gary MAU this some growth back we're we in and may So in Tinder's have cause, trust as recent And mentioned of introduction investigating iOS step for comments, to

what While isn't I this step structural shift. we see believe back a this we as wanted don't long-term

team's Our driving Tinder's top priority innovation, remains and focuses. product where that's

and meaningful know ecosystem need take and changes to but better working We time. we users experiences, the on younger up especially it, and for women, create clean we're do

our mentioned you focus reinforce is drive sustainable we map Investor Tinder build excited track, out back marketing on growth so that's to and our it's key will brand can product-led to Now we're our these strategies Day and engagement. marketing, and to products. promoting confident on Tinder's why get new definitely for not But plans. alone top-of-funnel We're lay road discuss in product plans

from marketing, out brand about build couple well in a well points team. more years, I see talked into I transformation we else. you we've we've side, investing question, dollars a margins the the over were And Ross, have a that development as more on Tinder obviously the actually little last And story have as to of know product we many really product and margin to the where more anywhere they don't We look, to as put do has Tinder, try AOI on into investing mean the we down real been bit come the points AOI think have on been times. couple at margins as

we come the So a haven't revenue from gotten bit are have we the improvement margins really that. seeking little down all

marketing need in have the think material product said, more keep I product team will to resources we where carefully to once And side. to we have the team the as the to we the product marketing. see that, we if product about But follow the And plugging proceed I we're here. on we see you the some as from need proceed product. on those step on carefully metal, margins well the I We at saw to away both just will, as BK side. into the is. real think product. hesitate wouldn't development really improvements the If feel good And forward we transformations see marketing and going on we pedal side on put dollars as and the unless occur. put real and until

question with comes Deutsche Benjamin Black The Bank. from next

to it should then be Is And what's help a any the it some feature. products And relatedly, features additional live? spoken Tinder, carte Just we where as market you you like the stand us contributing features understand going delays think product the would in helpful. about Can when la included guess color give Could fit? us things there? subscriptions your really I Is you've here? pricing? an that these or at like we update your are -- of to unbundling about Passport, you just

happy This I'm our through BK. is progress. talk Ben. product to

has both team progress impact solid in full is a essential, testing. la we rollout getting a and QX, features before revenue ecosystem. Testing so their carte can the carefully on understand X Our made into

But we'd rounds more is this sometimes, than and it iteration like. testing key. of actually getting means And right

let at for testing, it we've you. look been break a what me down Here's and

here, our features. testing approach. First, but best find one-off as and of a seen outside some we've the la we're subscription, groups cannibalization carte a We targeted carefully unbundled Passport option plus offered with a to

allows and Like users having selected shown you it's cannibalistic that subscription, some is act to gold subscription. gold effect a likes a without feature

tested limit ALC a encourages new engagement testing setting impact. continue that extended allows ecosystem connections, to to a time tracking personalized First So that specific we've and with of touch its a Then profile new we've on specific adds elements. quicker send users note meaning And by it of the we're matches. swipe to feature fourth impressions as on message Think testing a refining merchandising this customer approaches. segments features our new by

active promising the a in concerns, users, going post-match ecosystem. also seen but especially negative we've it daily on impacted minimize address messaging these while engagement to are any And the women, mechanic effects and with gains boost we're revisiting

we're about ALC our the right certain for features options really after that out broadly in we segments the had rolling and months. the coming users, to optimistic believe affordable refining targeting make more sure values time. we're Now we're at but the X these first value going right

next question Jason from The comes Oppenheimer. with Helfstein

want in I to MAU you're you're you modeling the XQ potentially payers due that intended and a in the like point quarter just making ALC the looking or the to Or is starting fourth the combined that really over to unintended Tinder. were think lower initiatives, resulting on issues? of as headwinds just like at certain then quarter? the iOS dig kind as about in ultimately it XQ forward in number time. far more the there lower out, whether bit when any that with I mean, happened of kind Was obviously, could pull this have you

third sequential Jason. seasonal I that take I most from the MAU don't in had as is was payer perspective. leading mean to some Why the stronger, the There third Sure. a perform and effect into that, us well. of and momentum led quarter, better quarter we

If sequentially tends QX well. at stronger to you history, look back as be

payer as growth MAU better but a And there that, some well. strong momentum, to as sequential payer year-over-year led of was we clearly which better there's that result got growth. So of

into weaker of difficult beginning over back and time the in reversing taken in as regard, quarter, a the in carried of with the and to QX, frame October we've late the that said. third started quarter very momentum it payer kind BK really front of the mid-September which that well on as step that more makes So fourth

the done haven't targeting I precise math, but mid-single-digit decline. payer year-over-year so And that

end have that If $XXX,XXX to sequential decline. of something worse think we than negative close in closer like if X% sequential I up that be something $XXX,XXX to decline. with would negative it's probably

quarter-over-quarter MAU arrest And so as that's going think can product think as do to the working the kind Obviously, important out in drive I transformation some payer the broad that quarter. we on just Tinder, direction I it's point that's given change for feverishly looking this we're of expected. to be at situation fourth growth. at and of the we're range overall may

need we also the therefore, revenue improvement it's undertaking point KPIs iOS we drive generally like and see MAUs, strong issue issue, payer That's steady improvement improvement. 'XX really drive been I really Obviously, users better talked we'd of and but And ultimately, transformation about the will to an product keep through out what Tinder to payers iOS. and see. are and and really, is that beyond, the seeing as to mind, that some about on that just value higher MAU those we've in primarily. better

the of issue And does on so an number. it put pressure being more more payer iOS

all that's another So factor in of this.

of So on. going least hopefully, that what's kind gives explain you at some to of color been the

TD Cowen. comes Blackledge question next with from The John

Great.

on revenue than strong, but looks a more guide, the bit XQ expected. we decelerating growth XQ revenue the Hinge So really

If revenue could drivers be you Hinge provide on great. growth, of color that any would

do I'm that. John. happy to Sure,

Tinder out at out it good sense that the Hinge and remember them decided weekly we seen other quarter back to subscription well. If you last Hinge with made roll and rolled success in because such portfolio, we brands had packages XQ, as to in

seeing QX, result is of jump period that significant so fact perspective And in you what as a weekly a last really you're on out saw against the that growth it's we in really time. at revenue QX where of comping rolling in Hinge when look rate

result The share step take The I market back resonate. on. remain from The what's add going there quarter-to-quarter the story remain if added 'XX, been trends. to a away very user happy remains with to you continue the to gains continues would story going say revenue So one. really to brand nice strong. what's a growth to continues I'm strong. to XXXX, that, product in And resonate. and of quantum hands at on clip We're really that's a what's of expecting great grow as at a the Hinge, in similar

at really perspective, my from really, going on feel what's good So about Hinge. I

Stanley. Morgan The next Feather question comes from with Nathan

encouraging friction a there in It's on at momentum really limits feature a I to can bit your that you future. increases Yes, churn dig more rare engagement. want launch Hinge. and

been churn that And to impact given portfolio? at see user nudge there then you or anything Hinge out? matches other in brands receptivity, user First, they've pull deeper as already with either growth opportunities people engage the has any or to do made second, you

for Thanks, positive the insights Hinge. Nathan, on and comments

it your innovation well key here their really but is and only of quantity. of on is term insight turn on ultimately they helping out behind Hinge in your had time, right, foremost, conversations focus a we launching get excelled open can and the some focusing counterintuitive on more bit a By team over freely match in daters a that usually your limits friction, you're quality couple on here features tend at And prompts additional example introduces the category. great thinking The the has the users chat, boost actually responsiveness product the strength. to limits people and while marketplace a First dates. on with is term innovation since team like dating limits historically focus build voice

teams, dating innovation addressing positive very crediting the kind validation the be its been in will it well space users. with great This globally dosing of response by in first apps. our us is a shows product category, has As received a problem for the headlines for this actually feature that in and

that takes product growth, link user time. to rollout to tough it's directly launches Now given

strong does feature launch. QX well very and is this align Hinge of with QX timing early the However, performance

is we so pleased product And share we're these the this launch. what entire and for learning any with entire feature, question. far. as seeing the really we're the portfolio learnings across with Thanks So company from new

Citigroup. question from with Ygal comes Arounian next The

Anything us products the just And at there? Tinder talked cadence I the you impact you of -- know back a out but the Spotlight at help the a like and are What few of explore tab. else broadening think products through and we're of about going products about from way seeing you Tinder. kind here? of where drops, how comments think could around a we'll about in product kind Going from marketing first. Investor on leads over And the Day weeks, hear few called more lot the to at

aiming Ygal, engagement. people expanded helping even are broad drops genuinely even team Early the promising to these already new believe interested on with find explore to more easier more experience the users stronger both spotlight tasks The shared These By potential interest Thanks, broadening focus that for and with a that and younger is get resonates, and question. in. the these tailored effort. especially better users to and but to Explorer, on and titles drops refine believe users features features we they're will for women. we intention iterate results creating continuing Explore are that matches that and new make there's tab, drive less more it dynamic to spotlight

organization. truly features for learning these our tools And that believe we are

For and the the impact instance, they're recommendation insights how importance user helping we're us match changes experience relationship gather learning valuable factors like from on of intent.

XXXX. we way planned have All scale we are future. shaping Tinder's of approach these that insights They're the the directly for innovations rollouts and feeding into larger that

our features to health and in and the these future. want the maps step outcomes with road ecosystem product And building intentional. user our aligned teams step ensure are board. cadence these ultimately, of the they're today improving are across by impactful and and rollouts that focused We're users Now what on

Cory with from comes question next The JPMorgan. Carpenter

XQ or Gary, stakes that the as XXXX. initial us impact about give you outlook? think you about Any more a talked guidance on from bit can put the 'XX color you

we pretty the ability are said so on Group have And I trajectory is a in where seen similar have Asia I remarks, a Hinge's as good feel similarly, and like that pretty good E&E stable. to going. Cory, and Match business situations fairly business we predict handle we've my before,

that And think them picture well. out can the fill XXXX for I helps as there. And we so keep

picture, obviously, Tinder So a that the kind really ready really just we're pin the to of Tinder. it the it makes so overall contribution there's given size, to at flight many yet things in in down it. put And comes not

going think the more I product how out and in to we'll playing give things we 'XX. that provide rollouts. are on at see December, Tinder color think definitely cadence we the What through of

to position in do we'll a be it So better then.

out, with for to the last be the November informative months, now plays well in of see 'XX. the just back step rest also Obviously, as which over how will X.X want

to really to beyond. improve products Tinder, improve We Tinder 'XX, give out, well. and with into that, and little if to can And bit what been So of are as would we And just is have ecosystem. going obviously than transformation company-wide from XXXX standing affects a health weaker going story. younger women. We that us product more a accomplish in that's the need deliver preferred really is it drive does momentum and recent to do at it as the users with called I able that if a can we of we perspective out what developments have that, contributes the growth roll need

do details subsequently, in well, put on even an at our fine and sort call we'll that more earnings of we Day it. more as on February when So Investor point

top thing are, that I margins. be what of is to other we would that line only given add the trends need very just The mindful

carefully lot margin. So and on I trends. on the focused expanding top have the something and well. we done given it's of historically is investments done margins think that. -- spent It's line balance But in pressure a more time we're to BK I obviously trying a with there growth real

as and path financially trying And at are believe disciplined continued can do as so be I improvement we're and a company, for to that. there's on margin we the focused we

will as Day beyond I expectation that as at around we'll overall Investor XXXX be color improvement about well. think more is from some something in talking about. that outlook, we and we margin detail perspective, But at give continued an So that look and you do expecting talk

question with comes from Justin KeyBanc. Patterson The next

wanted I emerging Gary, more. and to a that touch little Great. stability on evergreen bit

of revenue side start indicate you you we still Are there extreme potential margin closer And seeing to think emerging seeing How then in we growth. there's you some for perspective, less much the in did come go? as was efficiencies to you we the emerging higher to declines? that higher terms quarter of business This can do support of the much the go sequential cost How that through. the see that towards declines. are have some offset from evergreen investment

Look, out Justin. isn't chart a of the Thanks this because piece. go question, through letter piece streaming we But to there's into for live a live continuing. kind put that the the take when you streaming Yes.

you the what declines I the see emerging are revenue can the think brands at in to in offsetting Evergreen. gains is coming the very close

end at cross to we're keep brands. think to in I business linear. evergreen where a the growth in Evergreen. and point know threshold XXXX single that do position expansion. at the emerging don't I under So at if also the to crossover do think we declines emerging we're that control. and find day, need But we think need every it driving the growth and that sometime And the point we're I is of at I keep the in exceeding is to very XXXX. in close, perfectly that will the the of be quarter some margin story E&E going declines

which XXs were back look company be. was the was low we in launched project, wanted in well where you margins the to If range, the the business and percent we where consolidation first below when that in XXXX

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of and savings some brands consolidation emerging that the marketing described. the I the picture from sort in brands. revenue Evergreen all-in as well the So that's investments of at cost emerging as with the

and think question. important out, So I the appreciate call point an I it's to do

question next The Jefferies. with Heaney from comes James

margin been you at the XX% the Tinder investment just able all you're levels of How do this Hinge? your moving You've making year. that target the pieces and comfortable across business, to despite hold get right

year. revenue take Why the I moving to pieces XX% better and in as anticipated Canada the the DST, the well. fact that been of side, on doesn't but things this James. like we've revenue or at some the has don't year you jump that. appreciate hurts been we do anything of I are pointing unexpected the really it beginning out margin to able Look, there lot us keep a Thanks, not what us which on for the side. obviously, And cost despite the

making said, Cory's I others BK to They're a Bailey as lot right And spent response sure on the are That's make need I properly managing for each it. Steve of managing brands. focusing because really time in trade-offs really and been and us. those and name we're question, and of making we've of we stages growth So we different portfolio of to trade-offs. the a game in the investment,

a lot And so that. focus spend we of on

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across side business on well. I think particularly if some Hinge, side We've you internationally, made the look investments we've there Europe. product at marketing that significant the been expanding on as and

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exists from that to build large competitor that to the like gain space. where Archer that in investment try do that we made we with substantial And business share and brands

that. all the helping other side to on offset doing which we're then are we're those taking And some actions So investments. of

more those tender, the true we benefit. margin exit E&E That's we get going think that live doing the from those fund So the lot Hakuna of a decision there. things in and to where the kind investing our not the redeploying some on into perspective, about we're margin side. app, businesses about of consolidation. we've end what's same helping we're is end, of enhancement The the to us talked dollars talked streaming on of a and were helping from I some

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Research. Street The question Dan comes New Salmon with next from

Gary, on I divestitures and at the not question Board So guess, BK whether in the or noted that are you considering all. now. you is table right My past is letters, M&A

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So it the great how hear portfolio about thinking be would these you're to just days?

as don't well. Why that and to address to feel free I in try jump and BK, certainly,

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down remain very we execution and focused heads still So on delivery.

next Khajuria from with Shweta question The Wolfe comes Research.

we On and year. X, you as on talk past him? question please. is perception, perception to Gen brand Let to I about to transition Could any demographic the about CFO, to him? second women? plan on the Why guess then And Are and you quarter-to-date. Tinder's think incoming please decision you my Z targeting please has Steve still me Why Bailey. the try now? segments continue improve brand you key And next thoughts quarter trended could about talk how over how that like

question. much, on Tinder, women. that And our and Gen Z squarely for so Thanks Shweta, on focus remains

next brand several in brand coming spend We we'll quarters, marketing as year very out said, as next target designed that and need marketing we over remain marketing offers. address That to not on each have reinforce our months. as increasing percentage campaigns Tinder the brand and key emphasize continue several though, and efforts rolling a revenue over for them of we planning to as we're we around roll spend disciplined. product Tinder next out launches I'm initiatives highlight invest needs to the product product specific excited, possibilities the perception to to

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from comes question Nagle with next Bank Curtis America. The of

little in short then into spend competitor of based just XQ, you bit buckets pull partners. or your the Gary, driving why more doing in it thing. seasonally other is dig some holiday ones, could guess advertising. for X of quarter. Just back shift I kind marketing that in just terms the guess, what's of the in into allocation is I guess, Great. on maybe holidays? One, advertiser a a your And in weaker same the I

just So there. curious going on what's

I'll take quickly those time. I try to Sure. know out because of we're running

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than advertisers. So that working with some We're sort more anything spend timing thing else. it's some of other replace a of to

the the over slightly it on the have could possible. think quarter of fourth of last events people be might few some shifted based for view I the days.

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just that's a decision. And so timing

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a They QX. to press plan. at spend QX, driving kind really we're to spent but hand And in the so what's actually decision in going and that's down of more that's again

December But we're going inside different a Tinder just of brand this than look joining pulsing appreciate our time. be and because to answer the constantly of the specific critical is was able businesses. out a it of marketing on less going X, to I Day. Hopefully, at a Hinge good again speaking questions some lot, you we to were everyone quarter, Thanks we're XX on forward morning. the of we have with day. and to Investor the the So kind there spending X expect patterns opposite. should more around in think leave to I the And continue some I'm variability you

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