Match Group(MTCH) - 2025 Q3 - Quarterly Results

Financial Performance - Match Group's Q3 2025 Total Revenue was $914 million, up 2% year-over-year (Y/Y), with a 1% increase on a foreign exchange neutral (FXN) basis[41]. - Tinder Direct Revenue in Q3 was $491 million, down 3% Y/Y, with payers declining 7% Y/Y to 9.3 million and revenue per payer (RPP) increasing 5% Y/Y to $17.66[43]. - Adjusted EBITDA for Match Group in Q3 was $301 million, down 12% Y/Y, representing an Adjusted EBITDA margin of 33%[43]. - Hinge's Direct Revenue in Q3 was $185 million, up 27% Y/Y, with payers increasing 17% Y/Y to 1.9 million and RPP increasing 9% to $32.87[45]. - Match Group expects Q4 2025 Total Revenue to be between $865 million and $875 million, reflecting a 1% to 2% Y/Y increase[48]. - The company anticipates Q4 Adjusted EBITDA of $350 million to $355 million, representing a Y/Y increase of 9%[48]. - Year-to-date through Q3, Match Group delivered Operating Cash Flow of $758 million and Free Cash Flow of $716 million[47]. - The company is increasing its 2025 full year Free Cash Flow guidance to $1.11 to $1.14 billion[53]. - Net income attributable to Match Group, Inc. shareholders for the three months ended September 30, 2024, was $136,468,000[56]. - Adjusted EBITDA for the same period was $342,540,000, with an Adjusted EBITDA margin of 38%[58]. - Total revenue for the three months ended September 30, 2025, was reported at $914.3 million, reflecting a 2% increase from $895.5 million in 2024[64]. - Free Cash Flow for the nine months ended September 30, 2025, was $715,500,000[60]. - Forecasted revenue for the year ended December 31, 2025, is projected to be between $865 million and $875 million[63]. - Hinge Direct Revenue for the three months ended September 30, 2025, increased by 27% to $184.7 million compared to $145.4 million in 2024[64]. - Tinder Direct Revenue for the same period decreased by 3% to $490.6 million from $503.2 million in 2024[64]. - Adjusted EBITDA for the twelve months ended September 30, 2025, was $1,190,491,000[61]. - The net income margin for the three months ended September 30, 2024, was 15%[58]. - The company reported a capital expenditure of $42,100,000 for the nine months ended September 30, 2025[60]. User Engagement and Growth - There are approximately 250 million actively dating singles worldwide not currently on dating apps, with a target to re-engage 30 million lapsed users and attract 220 million potential first-time entrants[6]. - Tinder's new features, such as Chemistry and Modes, have driven a 30% increase in Double Date adoption in the U.S. since September[13]. - Hinge's revenue and user growth remain strong, with a successful launch in Mexico and plans for Brazil in Q4[33]. - The recent acquisition of HER™ has resulted in over a 20% revenue increase in test markets, expanding reach among queer women and gender-diverse communities[36]. Operational Efficiency - Financial discipline earlier this year generated approximately $100 million in annualized savings, allowing for reinvestment of $50 million across the portfolio[37]. - Face Check™, a new facial verification feature, has led to a 60% reduction in user views of profiles identified as bad actors and a 40% decrease in reports of bad actor activity[25]. - Ongoing optimization efforts have resulted in improved app performance, with Tinder's startup times now 38% faster and crash rates reduced by more than 32% on Android[20]. - The company expects to generate approximately $14 million in savings in Q4 2025 and approximately $90 million in 2026 from alternative payments testing[35]. Financial Metrics and Definitions - Direct Revenue includes both subscription and à la carte revenue received directly from end users, while Indirect Revenue primarily consists of advertising revenue[80]. - Payers represent unique users at a brand level from whom Direct Revenue is earned, with average monthly values calculated for respective periods[81]. - Revenue Per Payer (RPP) is calculated as Direct Revenue divided by the number of Payers, providing insight into average monthly revenue earned from each Payer[84]. - Monthly Active Users (MAU) are unique registered users who have engaged with the brand's app or website in a given month, with potential duplicate users across multiple brands[85]. - Leverage on a gross basis is calculated as principal debt balance divided by Adjusted EBITDA, while net leverage accounts for cash and cash equivalents[86]. - Forward-looking statements regarding future financial performance and business prospects are subject to uncertainties and risks, including user base growth and competition[87].