Financial Data and Key Metrics Changes - Total revenue for Bumble Inc. in Q2 2023 was $260 million, representing an 18% year-over-year increase, driven by Bumble app revenue growth of 23% [75][115] - Total paying users increased by 20% to reach 3.6 million, with both Bumble and Badoo showing sequential and year-over-year growth [75][115] - Adjusted EBITDA was $67 million, reflecting a 26% margin, up from a net loss of $5 million in the same period last year [38][115] Business Line Data and Key Metrics Changes - Bumble app revenue grew 23% to $208 million, primarily due to a 28% increase in paying users to 2.5 million [3][9] - Badoo app and other revenue totaled $52 million in Q2, up 2% year-over-year, marking the first quarter of year-on-year growth since the first half of 2021 [33][86] - Bumble app's ARPU was $28.21, down 3% year-over-year but up 1% sequentially [9] Market Data and Key Metrics Changes - Strong growth was observed in international markets, particularly in Germany, Italy, Portugal, and Latin America, contributing to positive download data and MAU growth [64][109] - The company maintained its number two spot in Germany and successfully expanded marketing efforts in newer markets [64] Company Strategy and Development Direction - The company aims to strengthen its ecosystem of connections beyond dating, focusing on friendships and community through the launch of Bumble for Friends [7][34] - A new stand-alone product, Official, was acquired to enhance existing relationships, providing date ideas and mood check-ins [113] - The company is exploring opportunities to expand its subscription offerings, including a lower-priced tier for Gen Z and a higher-priced tier for more serious dating [32][123] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving full-year revenue guidance of $1.055 billion to $1.072 billion, representing a growth rate of 17% to 19% [12] - The company is optimistic about the impact of AI on user experience and operational efficiency, with ongoing exploration of generative AI applications [66][110] - Management highlighted the importance of maintaining a disciplined approach to spending while investing in long-term growth [36][48] Other Important Information - The company repurchased 1.3 million shares for a total of $21 million as part of a $150 million share repurchase program [11] - Marketing campaigns, such as "Summer of Kindness," have been launched to promote new features and enhance brand awareness [111] Q&A Session Summary Question: Can you elaborate on the long-term vision of Bumble evolving into an ecosystem of relationships? - Management emphasized the integration of kinder connections and the demand for Bumble's offerings in the friendship category, aiming to retain customers through various relationship stages [14] Question: How should we think about normalized growth rates beyond 2023? - Management indicated it is too early to provide specific growth rates for 2024 but expressed excitement about the diversified portfolio and ongoing product innovations [122] Question: What is the impact of Compliments and Best Bees on revenue guidance? - Management confirmed that Compliments is performing as expected and contributing positively to revenue guidance for the full year [20] Question: Can you discuss the rationale behind recent price increases for Bumble app offerings? - Management explained that pricing optimization is based on value offered to users, with adjustments made in various markets to enhance payer penetration [22][49] Question: What are the key unlocks for attracting singles who haven't tried online dating? - Management is conducting focus groups to understand pain points and is developing products and marketing strategies to address these concerns [70]

Q2 2023 Earnings Supplemental Presentation 2 Total Revenue is the sum of Bumble App Revenue and Badoo App and Other Revenue. Total Paying Users is the sum of Bumble App Paying Users and Badoo App and Other Paying Users. Bumble App Paying User is a user that has purchased or renewed a Bumble app subscription plan and/or made an in-app purchase on Bumble pp in a given month. We calculate Bumble App Paying Users as a monthly average, by counting the number of Bumble App Paying Users in each month and then divi ...

[PART I. FINANCIAL INFORMATION](index=6&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) [Item 1. Financial Statements (Unaudited)](index=6&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited)) This section presents Bumble Inc.'s unaudited condensed consolidated financial statements, highlighting **$259.7 million** in quarterly revenue, **$9.3 million** net income, and **$3.69 billion** in total assets [Condensed Consolidated Balance Sheets](index=6&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The balance sheet details **$3.69 billion** in total assets, **$1.25 billion** in liabilities, and **$2.45 billion** in shareholders' equity as of June 30, 2023 Condensed Consolidated Balance Sheet Data (in thousands of USD) | Balance Sheet Item | June 30, 2023 | December 31, 2022 | | :--- | :--- | :--- | | **Total Assets** | **$3,692,297** | **$3,692,621** | | Cash and cash equivalents | $381,019 | $402,559 | | Goodwill | $1,585,281 | $1,579,770 | | Intangible assets, net | $1,508,036 | $1,524,428 | | **Total Liabilities** | **$1,245,965** | **$1,239,042** | | Long-term debt, net | $617,189 | $619,223 | | Payable to related parties (TRA) | $416,754 | $385,486 | | **Total Shareholders' Equity** | **$2,446,332** | **$2,453,579** | [Condensed Consolidated Statements of Operations](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Q2 2023 saw total revenue of **$259.7 million**, a net income of **$9.3 million**, and diluted EPS of **$0.05**, reversing a prior-year loss Statement of Operations Highlights (in thousands of USD, except per share data) | Metric | Three Months Ended June 30, 2023 | Three Months Ended June 30, 2022 | | :--- | :--- | :--- | | **Total Revenue** | **$259,735** | **$219,206** | | Operating earnings (loss) | $21,171 | $(2,768) | | **Net earnings (loss)** | **$9,349** | **$(5,031)** | | Diluted earnings (loss) per share | $0.05 | $(0.03) | Six-Month Performance (in thousands of USD, except per share data) | Metric | Six Months Ended June 30, 2023 | Six Months Ended June 30, 2022 | | :--- | :--- | :--- | | **Total Revenue** | **$502,683** | **$429,236** | | Operating earnings | $30,235 | $16,251 | | **Net earnings** | **$7,020** | **$18,717** | | Diluted earnings per share | $0.04 | $0.10 | [Condensed Consolidated Statements of Cash Flows](index=13&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operations increased to **$56.1 million**, while investing cash outflow decreased to **$19.1 million**, and financing cash outflow rose to **$54.7 million** Cash Flow Summary (in thousands of USD) | Activity | Six Months Ended June 30, 2023 | Six Months Ended June 30, 2022 | | :--- | :--- | :--- | | Net cash provided by operating activities | $56,100 | $44,767 | | Net cash used in investing activities | $(19,087) | $(77,769) | | Net cash used in financing activities | $(54,700) | $(9,069) | | **Net decrease in cash** | **$(22,223)** | **$(34,530)** | [Notes to Unaudited Condensed Consolidated Financial Statements](index=14&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) Notes detail accounting policies, **$416.8 million** TRA liability, **$10.0 million** Newel acquisition, **$629.9 million** debt, and significant legal contingencies - Revenue primarily derives from recurring subscriptions and in-app purchases, recognized over the subscription term or estimated twelve-month period for lifetime subscriptions[53](index=53&type=chunk)[54](index=54&type=chunk) - The company acquired Newel Corporation for approximately **$10.0 million** in cash on April 26, 2023, recognizing **$4.7 million** in goodwill[65](index=65&type=chunk) - A Tax Receivable Agreement (TRA) with pre-IPO owners resulted in a **$416.8 million** liability as of June 30, 2023[62](index=62&type=chunk) - In March 2023, the company settled a shareholder class action lawsuit for **$18 million** related to its September 2021 SPO, without admitting wrongdoing[122](index=122&type=chunk) - Approximately **15,500** arbitration demands were received starting June 2023, alleging Unruh Civil Rights Act violations due to the 'women message first' feature, with mediation agreed upon[122](index=122&type=chunk) - The Board approved a **$150.0 million** share repurchase program in May 2023, with **1.3 million** shares repurchased for **$20.9 million** during the quarter[45](index=45&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=36&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q2 2023 financial results, highlighting **18.5%** revenue growth to **$259.7 million**, driven by user increases, and an Adjusted EBITDA of **$67.3 million** [Key Operating and Financial Metrics](index=37&type=section&id=Key%20Operating%20and%20Financial%20Metrics) Key metrics show Total Paying Users increased to **3.63 million** in Q2 2023, led by Bumble App, despite a slight decline in Total ARPPU to **$23.23** Key Operating Metrics (Users in thousands, except ARPPU in USD) | Metric | Three Months Ended June 30, 2023 | Three Months Ended June 30, 2022 | | :--- | :--- | :--- | | Bumble App Paying Users | 2,457.8 | 1,924.5 | | Badoo App and Other Paying Users | 1,175.5 | 1,096.2 | | **Total Paying Users** | **3,633.3** | **3,020.7** | | Bumble App ARPPU | $28.21 | $29.18 | | Badoo App and Other ARPPU | $12.83 | $13.56 | | **Total ARPPU** | **$23.23** | **$23.51** | [Results of Operations](index=43&type=section&id=Results%20of%20Operations) Q2 2023 total revenue grew **18.5%** to **$259.7 million**, driven by Bumble App, resulting in **$21.2 million** operating earnings despite increased costs - Bumble App revenue grew **23.5%** year-over-year in Q2 2023 to **$208.0 million**, driven by a **27.7%** increase in paying users[165](index=165&type=chunk) - Badoo App and Other revenue increased **2.0%** year-over-year in Q2 2023 to **$51.8 million**, driven by a **7.2%** increase in paying users[165](index=165&type=chunk) - Cost of revenue increased **24.8%** in Q2 2023, primarily due to higher in-app purchase fees and increased content moderation costs[167](index=167&type=chunk) - General and administrative expense decreased **11.5%** in Q2 2023, mainly due to a **$13.6 million** favorable change in contingent earn-out liabilities[170](index=170&type=chunk) - Depreciation and amortization expense decreased **37.5%** in Q2 2023, as the legacy Badoo user base intangible asset was fully amortized in July 2022[170](index=170&type=chunk) [Non-GAAP Financial Measures](index=48&type=section&id=Non-GAAP%20Financial%20Measures) Non-GAAP measures show Q2 2023 Adjusted EBITDA at **$67.3 million** (**25.9%** margin) and H1 2023 Free Cash Flow at **$46.9 million** Adjusted EBITDA Reconciliation (in thousands of USD) | Metric | Three Months Ended June 30, 2023 | Three Months Ended June 30, 2022 | | :--- | :--- | :--- | | Net earnings (loss) | $9,349 | $(5,031) | | Adjustments (Interest, Tax, D&A, etc.) | $57,906 | $59,803 | | **Adjusted EBITDA** | **$67,255** | **$54,772** | | Net earnings (loss) margin | 3.6% | (2.3)% | | **Adjusted EBITDA margin** | **25.9%** | **25.0%** | Free Cash Flow (in thousands of USD) | Metric | Six Months Ended June 30, 2023 | Six Months Ended June 30, 2022 | | :--- | :--- | :--- | | Net cash provided by operating activities | $56,100 | $44,767 | | Less: Capital expenditures | $(9,210) | $(8,049) | | **Free cash flow** | **$46,890** | **$36,718** | [Liquidity and Capital Resources](index=50&type=section&id=Liquidity%20and%20Capital%20Resources) The company held **$381.0 million** in cash, with **$20.9 million** used for share repurchases and **$629.9 million** in long-term debt as of June 30, 2023 - The Board approved a **$150.0 million** share repurchase program, with **1.3 million** shares repurchased for **$20.9 million** in H1 2023[184](index=184&type=chunk) - Net cash from operating activities was **$56.1 million** for H1 2023, driven by net earnings adjusted for non-cash items including **$62.1 million** in stock-based compensation[186](index=186&type=chunk) - A commitment of **$12.0 million** for third-party cloud services over 18 months has **$11.5 million** remaining as of June 30, 2023[194](index=194&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=52&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company faces market risks from foreign currency and interest rates, with **42.2%** of H1 2023 revenue from outside North America and variable-rate debt partially hedged - For H1 2023, **42.2%** of revenue was generated outside North America; a **10%** currency change would impact revenue by **$5.5 million**[197](index=197&type=chunk)[198](index=198&type=chunk) - With **$622.9 million** in debt, a **1%** interest rate increase would raise Q2 2023 interest expense by **$0.7 million**, mitigated by **$350 million** in interest rate swaps[201](index=201&type=chunk) - The company transitioned its benchmark interest rate from LIBOR to SOFR in March 2023, amending interest rate swaps in April 2023[201](index=201&type=chunk) [Controls and Procedures](index=53&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of June 30, 2023, with no material changes to internal control over financial reporting - The CEO and CFO concluded the company's disclosure controls and procedures were effective as of June 30, 2023[202](index=202&type=chunk) - No material changes to internal control over financial reporting were identified during the most recent fiscal quarter[203](index=203&type=chunk) [PART II. OTHER INFORMATION](index=54&type=section&id=PART%20II.%20OTHER%20INFORMATION) [Legal Proceedings](index=54&type=section&id=Item%201.%20Legal%20Proceedings) The company faces BIPA class actions, an **$18 million** settled shareholder lawsuit, and **15,500** arbitration demands regarding its 'women message first' feature - The company faces four putative class action lawsuits in Illinois alleging Biometric Information Privacy Act (BIPA) violations related to facial geometry scans[120](index=120&type=chunk) - A shareholder class action lawsuit related to the September 2021 SPO was settled for **$18 million** in March 2023[122](index=122&type=chunk) - Approximately **15,500** individual arbitration demands were received regarding the 'women message first' feature, alleging Unruh Civil Rights Act violations, with mediation agreed upon[122](index=122&type=chunk) [Risk Factors](index=54&type=section&id=Item%201A.%20Risk%20Factors) This section refers to risk factors detailed in the company's 2022 Form 10-K, with no new significant risks disclosed in this report - The report refers to Part I, Item 1A of the company's 2022 Form 10-K for a discussion of risk factors[207](index=207&type=chunk) [Unregistered Sales of Equity Securities, Use of Proceeds and Issuer Purchases of Equity Securities](index=54&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%2C%20Use%20of%20Proceeds%20and%20Issuer%20Purchases%20of%20Equity%20Securities) The company repurchased **1,320,372** shares for **$20.9 million** in Q2 2023 under a **$150.0 million** program, with **$129.1 million** remaining Issuer Purchases of Equity Securities (Q2 2023, in USD) | Period | Total Shares Purchased | Average Price Paid Per Share | Approx. Value Remaining for Repurchase | | :--- | :--- | :--- | :--- | | May 1 - May 31, 2023 | 600,000 | $15.36 | $140,781,240 | | June 1 - June 30, 2023 | 720,372 | $16.20 | $129,110,016 | | **Total** | **1,320,372** | **$15.82** | **$129,110,016** | [Exhibits](index=55&type=section&id=Item%206.%20Exhibits) This section lists all exhibits filed with the quarterly report, including governance documents, equity award notices, and CEO/CFO certifications - The report includes exhibits such as Restricted Stock Unit Grant Notices, Director Compensation summaries, and CEO/CFO certifications[212](index=212&type=chunk)

Bumble, Inc. (NASDAQ:BMBL) Q1 2023 Earnings Conference Call May 4, 2023 4:30 PM ET Company Participants Cherryl Valenzuela - VP, IR Whitney Herd - Founder and CEO Anuradha Subramanian - CFO Tariq Shaukat - President Conference Call Participants Alexandra Steiger - Goldman Sachs Cory Carpenter - JPMorgan Shweta Khajuria - Evercore ISI Lauren Schenk - Morgan Stanley Ishant Goel - Deutsche Bank Justin Patterson - KeyBanc Capital Markets John Blackledge - Cowen Laura Champine - Loop Capital Operator Thank you f ...

Financial Performance - For the three months ended March 31, 2023, Bumble Inc. reported a net loss of $2.3 million compared to a net income of $23.7 million for the same period in 2022, representing a significant decline in profitability [34]. - Comprehensive income attributable to Bumble Inc. shareholders for the three months ended March 31, 2023, was $423,000, down from $15.51 million in the same period of 2022 [34]. - The company reported a net loss of $2.329 million for the three months ended March 31, 2023, compared to a net loss of $1.611 million for the same period in 2022 [57]. - Net earnings attributable to Bumble Inc. shareholders for the three months ended March 31, 2023, were $(1,611), compared to $16,201 for the same period in 2022 [93]. - The company reported a net loss attributable to common stockholders of $1.614 million for the three months ended March 31, 2023, compared to a net income of $16.226 million for the same period in 2022 [110]. - Basic earnings per share attributable to common stockholders were $(0.01) for Q1 2023, down from $0.13 in Q1 2022 [110]. Revenue - Total revenue for the three months ended March 31, 2023, was $242.948 million, a 15.7% increase from $210.030 million for the same period in 2022 [127]. - Bumble App revenue was $194.277 million for the three months ended March 31, 2023, compared to $154.367 million for the same period in 2022, reflecting a growth of 25.8% [45]. - Badoo App and other revenue decreased to $48.671 million for the three months ended March 31, 2023, down from $55.663 million in the same period last year, a decline of 12.6% [45]. - Revenue from North America was $143.073 million, up from $123.465 million, while revenue from the rest of the world increased to $99.875 million from $86.565 million [127]. - Revenue outside of North America accounted for 41.1% of combined revenue for the three months ended March 31, 2023, compared to 41.2% in the same period of 2022 [248]. Cash and Assets - Cash and cash equivalents decreased to $388.96 million as of March 31, 2023, from $402.56 million as of December 31, 2022, indicating a cash outflow [31]. - The total assets of Bumble Inc. increased slightly to $3.70 billion as of March 31, 2023, compared to $3.69 billion as of December 31, 2022 [31]. - The company reported total liabilities of $1.27 billion as of March 31, 2023, up from $1.24 billion as of December 31, 2022 [31]. - As of March 31, 2023, the total shareholders' equity was $2.436696 billion, compared to $2.453579 billion as of December 31, 2022, indicating a decrease of 0.7% [57]. - The total other current assets increased to $39,248 as of March 31, 2023, from $31,882 as of December 31, 2022 [89]. Expenses - Stock-based compensation expense for the three months ended March 31, 2023, was $28.58 million, an increase from $17.56 million in the same period of 2022 [37]. - The Company recognized amortization expense related to intangible assets of $14.3 million for the three months ended March 31, 2023, down from $24.6 million in the same period of 2022, a decrease of 41.5% [75]. - The company incurred total stock-based compensation costs of 17,779,420 for the three months ended March 31, 2023, compared to 9,853,990 for the same period in 2022 [95]. - The Company’s marketing expenses for Q1 2023 were $19.3 million, a slight decrease from $19.9 million in Q1 2022, reflecting a reduction of approximately 2.9% [103]. Cash Flow - The company experienced a net cash provided by operating activities of $13.39 million for the three months ended March 31, 2023, compared to $19.36 million for the same period in 2022 [37]. - Net cash used in investing activities was $6.8 million for the three months ended March 31, 2023, a substantial decrease from $74.7 million in the same period of 2022 [74]. - The Company’s cash equivalents as of March 31, 2023, totaled $264.9 million, down from $322.4 million as of December 31, 2022, representing a decrease of approximately 17.8% [104]. Debt and Liabilities - Total long-term debt, net as of March 31, 2023, was $618,205, a slight decrease from $619,223 as of December 31, 2022 [90]. - The company has a remaining debt maturity of $140,347 scheduled for future years, with the largest portion due in 2024 at $56,795 [88]. - The interest rates for the Original Term Loan and Incremental Term Loan as of March 31, 2023, were 7.38% and 7.88%, respectively [91]. - The tax receivable agreement liability increased by $31.4 million during the three months ended March 31, 2023, primarily due to the effects of a secondary offering [67]. Stock and Equity - The company completed a secondary offering of 13.75 million shares of Class A common stock at a price of $22.80 per share on March 8, 2023 [39]. - The weighted average number of shares of Class A common stock outstanding increased to 131,924,371 in Q1 2023 from 129,233,843 in Q1 2022 [110]. - The Company did not approve an increase to the number of shares available for issuance under the 2021 Omnibus Plan for 2022 and 2023, maintaining the initial reservation of 30 million shares [100]. Legal and Regulatory - The company executed a settlement agreement for $18 million, which does not reflect an admission of wrongdoing [129]. - The company believes that the ultimate resolution of various legal proceedings will not have a material adverse effect on its financial position [251]. Foreign Exchange and Interest Rates - A hypothetical 10% change in the British Pound and Euro relative to the U.S. Dollar would have changed revenue by $1.6 million and $3.4 million for the three months ended March 31, 2023, and 2022, respectively [248]. - The average Euro and British Pound exchange rates were 4.5% and 9.5% lower against the U.S. Dollar for the three months ended March 31, 2023, compared to the same period in 2022 [248]. - The company transitioned its benchmark interest rate from LIBOR to Term SOFR effective March 31, 2023 [242].

User Engagement and Financial Performance - The company's financial performance is significantly determined by its success in adding, retaining, and engaging users, as well as converting users into paying subscribers or in-app purchasers[135] - The company expects fluctuations or declines in user base in one or more markets due to various factors, including users finding meaningful relationships and no longer needing to engage with the products[135] - User engagement can be negatively affected by competition, changes in user behavior, and concerns related to privacy, safety, and data practices[135] - User metrics are subject to measurement challenges, including potential miscounts due to background app activity on mobile devices, which could lead to incorrect business decisions and inefficiencies[161] - The company relies on internal data for metrics like Bumble App Paying Users, Badoo App and Other Paying Users, and ARPPU, which are not validated by third parties[161] Competition and Market Risks - The dating industry is highly competitive with low switching costs, and new products or entrants could rapidly gain scale at the expense of existing brands[145] - The company faces risks from third-party actions, such as app store policies, that could limit or increase the cost of distributing or updating its applications[136] Financial Reporting and Accounting - The company's financial statements for periods prior to January 28, 2020, reflect the financial statements of Worldwide Vision Limited, while periods after reflect the financial statements of the company post-business combination[151] - The company has revised previously reported financial information for immaterial errors, with the cumulative impact being significant to the results of operations for the three and nine months ended September 30, 2022[152] - The company recognizes right-of-use assets and lease liabilities at the commencement date of the lease based on the present value of lease payments[155] - The company has entered into contingent earn-out arrangements classified as liabilities, with changes in fair value recognized in general and administrative expenses[157] - The Sponsor Acquisition resulted in an increase in depreciation and amortization, with any excess purchase consideration over the fair value of identifiable assets and liabilities recognized as goodwill[168] Tax and Regulatory Risks - Tax laws and digital services taxes in the EU and other jurisdictions could increase the company's tax obligations and adversely impact its business[189] - Bumble Holdings may be subject to material liabilities if its calculations of taxable income are incorrect, potentially increasing tax expenses over time[180] - Bumble Inc. is obligated to pay 85% of tax benefits realized from tax basis adjustments and depreciation/amortization deductions to pre-IPO owners under the tax receivable agreement[213] - Estimated early termination payments under the tax receivable agreement could reach approximately $1,043 million based on certain assumptions as of December 31, 2022[197] - Payments under the tax receivable agreement may be accelerated in the event of a change of control, potentially impairing the company's ability to consummate such transactions or negatively impacting the value received by Class A common stock owners[215] Data Security and Payment Risks - The company faces risks related to payment card transactions, including data security breaches and fraud, which could materially affect its business and financial condition[164] - Tokenization tools are used to secure payment card transactions, but they do not eliminate all data security risks[164] - Changes in service levels or outages at third-party data centers, cloud infrastructure, and payment aggregators could impair the company's ability to process transactions[165] Intellectual Property and Legal Risks - The company's intellectual property, including trademarks and patents, is crucial for brand recognition and market competition, but challenges to these rights could adversely affect the business[166] - The company relies on unpatented proprietary information and trade secrets, but enforcing claims of misappropriation can be difficult and unpredictable[167] - Legal developments and changes in intellectual property laws, especially in foreign jurisdictions, could impact the company's ability to protect its intellectual property[167] - The company may face significant expenses and distractions from intellectual property-related proceedings, regardless of the outcome[167] - The FTC imposed a $5 billion fine on Facebook (now Meta) in July 2019 and a $520 million settlement with Epic Games in December 2022 for privacy and data security violations[171] Corporate Structure and Governance - The company's organizational structure was converted to an umbrella partnership-C-Corporation with Bumble Inc. becoming the general partner of Bumble Holdings[148] - Bumble Inc. is a holding company with no material assets other than its ownership of Common Units, relying on distributions from Bumble Holdings to cover taxes, payments under the tax receivable agreement, and dividends[180] - The company's Principal Stockholders control approximately 92% of the combined voting power, qualifying it as a "controlled company" under Nasdaq rules[199] - The company's dual-class share structure gives Principal Stockholders outsized voting control, potentially limiting influence from other shareholders[202] - Principal Stockholders control approximately 92% of the combined voting power of Class A and Class B common stock, significantly influencing management and business policies[198] - Dual class share structure may result in exclusion from major stock indices, potentially reducing investment attractiveness and adversely affecting Class A common stock price[220] Economic and Market Conditions - The global economic climate, including the Russia-Ukraine conflict and macroeconomic conditions, has adversely affected the company's business, with a strong U.S. dollar impacting revenue and earnings in 2023[184] - COVID-19 has adversely affected global economic conditions and consumer confidence, potentially impacting demand for the company's products and services, particularly in markets where Badoo operates[185][187] - COVID-19 pandemic continues to adversely impact global economic conditions and consumer confidence, particularly affecting Badoo app's geographic and demographic markets[211] - Global macroeconomic volatility, including inflation and consumer discretionary spending fluctuations, may negatively impact Bumble's business and financial performance[228] - Brexit-related uncertainties and potential trade disputes between the UK and EU could harm Bumble's operations, as a significant portion of employees and operations are located in the UK[191] Debt and Financial Obligations - The company's ability to service its debt is dependent on cash flow from operations and future borrowings, which may be affected by economic conditions and interest rate increases[193] - Interest expense on the company's Senior Secured Credit Facilities has increased due to rising interest rates, and further increases could impact net income and cash flows[193] - The company is transitioning from LIBOR to Term SOFR for its financing and hedging portfolios, which may result in higher borrowing costs[193] - The Credit Agreement imposes significant operating and financial restrictions, including a maximum consolidated first lien net leverage ratio of 5.75 to 1.00[177][178] - The company entered into an incremental senior secured term loan facility in October 2020 with an original aggregate principal amount of $275.0 million[254] Foreign Exchange and International Operations - International revenues accounted for 42.9% of total revenues in 2022, with fluctuations in foreign exchange rates impacting U.S. dollar-denominated results[210] - The company faces foreign currency exchange risk, particularly with the GBP and Euro, which could affect margins and operating results[210] - Brexit and geopolitical events have caused volatility in currency exchange rates, impacting the company's international revenues and costs[210] - The devaluation of the Russian Ruble due to sanctions has negatively affected the company's revenues and operating costs in the region[210] - 42.9% of total revenues in 2022 were international, with foreign currency exchange fluctuations impacting U.S. dollar-denominated operating results[210] - Significant foreign exchange rate fluctuations, particularly with GBP and Euro, could materially affect business, financial condition, and results of operations[210] Legal and Regulatory Compliance - The company incurred significant one-off costs in preparation for its IPO, including legal, accounting, consulting, and investor relations expenses, leading to an increase in general and administrative expenses[183] - Increased costs and regulatory requirements due to becoming a public company, including higher legal, accounting, and investor relations fees, with significant resources committed to compliance[218] - The company ceased to be an "emerging growth company" on December 31, 2022, leading to increased compliance costs and accelerated adoption of accounting standards[219] - Identified material weakness in internal controls for prior periods, specifically misstatements in debt issuance costs, which has been remediated[219] - Class action lawsuit filed in January 2022 alleging false and misleading statements in the SPO Registration Statement, seeking unspecified damages[236] - Five shareholder derivative complaints filed between April 2022 and February 2023, alleging breaches of fiduciary duty and seeking damages and governance reforms[237] - SEC inquiry related to disclosures in the SPO class action complaint, with potential liability and ongoing duration uncertain[237] Stock and Shareholder Risks - The market price of Class A common stock may experience significant volatility due to various factors, including operating results, litigation, and market conditions[212] - Potential dilution of Class A common stock due to future issuance of up to 5,869,830,955 shares, including 58,737,533 shares issuable upon exchange of Common Units[221] - The company has 5,869,830,955 shares of Class A common stock authorized but unissued as of January 31, 2023, with 58,737,533 shares issuable upon exchange of Common Units[221] - The company has reserved 43,665,212 shares of Class A common stock or Common Units for issuance under its Omnibus Incentive Plan[221] Operational and Infrastructure Risks - Leased corporate headquarters in Austin, Texas, with additional international office spaces in London, Barcelona, Paris, Mexico City, Mumbai, and Sydney[234] - Material data centers located in Miami, Prague, Frankfurt, and Amsterdam, with facilities deemed adequate for current and future use[235] - The company leases approximately 7,500 square feet of office space in Austin, Texas, and operates data centers in Miami, Prague, Frankfurt, and Amsterdam[234][235] Litigation and Legal Proceedings - A class action lawsuit filed in January 2022 alleges false and misleading statements in the SPO Registration Statement and prospectus, seeking unspecified damages[236] - Five shareholder derivative complaints have been filed against the company and certain directors and officers, alleging breaches of fiduciary duty and other claims[237] - The company has received an inquiry from the SEC relating to disclosures at issue in the SPO class action complaint[237]

Bumble, Inc. (NASDAQ:BMBL) Q4 2022 Earnings Conference Call February 22, 2023 4:30 PM ET Company Participants Cherryl Valenzuela - VP, IR Whitney Herd - Founder, CEO & Director Anuradha Subramanian - CFO Tariq Shaukat - President Conference Call Participants Justin Patterson - KeyBanc Capital Markets Shweta Khajuria - Evercore ISI Cory Carpenter - JPMorgan Chase & Co. Mark Kelley - Stifel, Nicolaus & Company David Malinowski - Bank of America Merrill Lynch Zachary Morrissey - Wolfe Research Steven Koenig - ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from __________ to __________ Commission File Number: 001-40054 Bumble Inc. (Exact Name of Registrant as Specified in its Charter) Delaware (State or other juris ...

Bumble Inc. (NASDAQ:BMBL) Q3 2022 Earnings Conference Call November 9, 2022 4:30 PM ET Company Participants Cherryl Valenzuela - Vice President of Investor Relations Whitney Herd - Founder & Chief Executive Officer Anu Subramanian - Chief Financial Officer Tariq Shaukat - President Conference Call Participants Andrew Marok - Raymond James Mark Kelley - Stifel Cory Carpenter - JPMorgan Shweta Khajuria - Evercore ISI Alexandra Steiger - Goldman Sachs Laura Champine - Loop Capital Benjamin Black - Deutsche Ban ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from __________ to __________ Commission File Number: 001-40054 Bumble Inc. (Exact Name of Registrant as Specified in its Charter) Delaware (State or other jurisdicti ...