Match Group(US:MTCH)2025-11-04 23:00Financial Data and Key Metrics Changes - Match Group's total revenue for Q3 2025 was $914 million, up 2% year over year, and up 1% year over year on a foreign exchange-neutral basis [27] - Adjusted EBITDA was $301 million, down 12% year over year, representing an adjusted EBITDA margin of 33% [28] - Excluding a $61 million legal settlement charge, adjusted EBITDA would have been $364 million, up 6% year over year, with a margin of 40% [28] - Payers declined 5% year over year to 14.5 million, while revenue per payer (RPP) increased 7% year over year to $20.58 [27] Business Line Data and Key Metrics Changes - Tinder's direct revenue in Q3 was $491 million, down 3% year over year, with payers declining 7% to 9.3 million and RPP increasing 5% to $17.66 [29] - Hinge's direct revenue was $185 million, up 27% year over year, with payers increasing 17% to 1.9 million and RPP increasing 9% to $32.87 [30] - E&E's direct revenue was $152 million, down 4% year over year, with payers decreasing 13% to 2.3 million, while RPP increased 10% to $22.22 [30] Market Data and Key Metrics Changes - Match Group Asia's direct revenue was $69 million, down 4% year over year, with payers increasing 6% to 1.1 million, while RPP declined 10% to $20.73 [31] - Azar's direct revenue was flat year over year, negatively impacted by an estimated $3 million due to regulatory issues in Turkey [31] Company Strategy and Development Direction - The company is focused on a three-part turnaround strategy: reset, revitalize, and resurgence, with a strong emphasis on product excellence and long-term growth [4] - The marketing strategy aims to fuel category consideration and attract new users through product-led storytelling [5] - Hinge is positioned as a serious dating app, while Tinder aims to be the first dating app for users, targeting different market segments [54] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the early investments and improvements in user outcomes, particularly at Tinder and Hinge [40] - The company anticipates a continued focus on user experience and product innovation, with plans for significant product events in 2026 [48] - Management acknowledged potential short-term revenue impacts from user experience testing but emphasized the long-term benefits of improved user outcomes [22] Other Important Information - The company has seen a 60% reduction in user views of profiles identified as bad actors due to the implementation of the Face Check feature [18] - The company plans to fully roll out alternative payments across major apps in Q4, expecting to generate approximately $14 million in savings in Q4 2025 and $90 million in 2026 [23] Q&A Session Summary Question: Can you expand on the green shoots seen across the company and at Tinder specifically? - Management highlighted improvements in user outcomes at Tinder, with a clear mission statement and metrics like Sparks indicating better product efficacy [40] Question: How do you view the impact of user outcome testing on revenue? - Management noted that while some tests may initially hurt monthly active users, the overall stabilization of MAUs is a positive sign [62] Question: What is the expected impact of the $90 million savings on revenue headwinds next year? - Management indicated that the $90 million provides flexibility, but it is too early to determine its necessity to offset potential revenue declines [51] Question: How is Hinge's engagement profile changing with its expansion? - Management confirmed that Hinge's positioning as a serious dating app remains consistent, and its recent launch in Mexico has shown promising early results [54]