Hello (US:MOMO) 3 6 Ke·2025-09-11 10:33Core Viewpoint - Momo, once a leading dating app, is experiencing a significant decline in user engagement and revenue, particularly among younger demographics, as it struggles to adapt to changing social preferences and competition from newer platforms [1][3][4]. Group 1: Financial Performance - Momo's total revenue for Q2 was 2.62 billion yuan, a year-on-year decrease of 2.6%, marking the 22nd consecutive quarter of revenue decline since Q4 2020 [1]. - The number of paying users has plummeted from 7.2 million to 3.5 million year-on-year, representing a 51.4% decrease [1]. - The monthly active users of Momo's other dating app, Tantan, fell from 12.9 million to 10.2 million, with paying users dropping by 30% to 700,000 [1]. Group 2: User Demographics and Preferences - Momo's user base is increasingly skewed towards older demographics, with over 75% of users aged 25 and above, and nearly half of male users aged 41 and older [9]. - The app's original model, which focused on location and appearance, is now considered outdated by younger users who prefer connecting based on shared interests and values [4][9]. - The shift in user demographics has led to Momo becoming a platform primarily for middle-aged and older users, with a notable lack of engagement from younger individuals [4][10]. Group 3: Revenue Streams and Challenges - Momo's revenue has heavily relied on live-streaming services, which have seen a decline due to regulatory scrutiny and competition from platforms like Douyin and Kuaishou [10]. - The spending habits of older users are less robust compared to younger users, making it difficult for Momo to sustain its financial performance [10]. - The company is attempting to control costs to mitigate revenue decline but is still searching for effective strategies for recovery [12].