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Match Group:Quarterly Results/2025 Q2: Difference between revisions
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== Q2 2025 earnings call summary == | == Q2 2025 earnings call summary == | ||
[https://mtch.com/single-news/match-group-investor-day-2024/ Q2 2025 Earnings Call Webcast] | [https://app.tikr.com/stock/transcript?cid=355279&tid=433968949&e=1953420692&ts=3515791&ref=13t2mv Q2 2025 Earnings Call Transcript] | |||
==== Products ==== | ==== Products ==== | ||
* Rascoff said they now ship new code every week instead of every two weeks. | * '''CEO Spencer Rascoff said they now ship new code every week instead of every two weeks.''' | ||
===== '''Tinder products''' ===== | ===== '''Tinder products''' ===== | ||
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* Rascoff said they also made strides with authenticity by enhancing their bot detection systems, reducing false positives. | * Rascoff said they also made strides with authenticity by enhancing their bot detection systems, reducing false positives. | ||
* They are also testing height feature as a premium preference option. | * They are also testing height feature as a premium preference option. | ||
* Rascoff said they are on tract to test the first version of see who like you tap this fall, helping users connect with people who are more likely to be interested in them. | * Rascoff said they are on tract to test the first version of see who (Gold Home) like you tap this fall, helping users connect with people who are more likely to be interested in them and drive more revenue. | ||
* They are preparing to introduce a new feature called Modes, a new navigation system that lets users toggle between different dating goals in real time. | * They are preparing to introduce a new feature called Modes, a new navigation system that lets users toggle between different dating goals in real time. | ||
* '''They plan to launch a new UI in Q3, which is cleaner, faster and more modern.''' | * '''They plan to launch a new UI in Q3, which is cleaner, faster and more modern.''' | ||
* Rascoff said they are about to launch college-specific features to improve college dating experience (Q&A). | * Rascoff said they are about to launch college-specific features to improve college dating experience (Q&A). | ||
* '''Rascoff said their trust and safety initiatives are having positive outcome on users unlike in the past when it led to a decline in users''' (Q&A). "What we're experiencing right now on most of these trust and safety initiatives are having the effect of increasing audience and that's one of the reasons that we're starting to see some of these green shoots in audience and engagement, mid-funnel and bottom funnel metrics because we're reducing the number of false positives that -- of people that -- basically, we're letting in more good people or we're keeping out fewer good people that we otherwise would have been kept out in the past. So that's all been a good tailwind to the metrics over the last couple of months with respect to trust and safety," he said. | |||
* '''Rascoff said they are prioritizing the recommendation algorithm more towards user outcome and less towards revenue (Q&A).''' | |||
===== '''Hinge products''' ===== | ===== '''Hinge products''' ===== | ||
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* Racoff said phase one of restructuring is now complete: learning the company and rebooting the culture. | * Racoff said phase one of restructuring is now complete: learning the company and rebooting the culture. | ||
* Rascoff said they are now in phase two of restructuring where the product offensive begin to show up in user outcomes. | * Rascoff said they are now in phase two of restructuring where the product offensive begin to show up in user outcomes. | ||
* '''Rascoff praised Hinge's execution. He said that Hinge's success shows that a highly motivated team can build great products.''' He said they are using Hinge's success to turn around Tinder. "Hinge is crushing it. Hinge's success should put to rest any doubts about whether the online dating category is out of favor among users. Hinge shows that a great team that is highly motivated can build great products, which attracts huge audiences and create significant revenue and shareholder value. This is the formula we are following in the turnaround at Hinge's sister brand, Tinder, and Hinge's success gives me pride in Hinge, but also confidence in Tinder." | * '''Rascoff praised Hinge's execution. He said that Hinge's success shows that a highly motivated team can build great products.''' He said they are using Hinge's success to turn around Tinder. "Hinge is crushing it. Hinge's success should put to rest any doubts about whether the online dating category is out of favor among users. Hinge shows that a great team that is highly motivated can build great products, which attracts huge audiences and create significant revenue and shareholder value. This is the formula we are following in the turnaround at Hinge's sister brand, Tinder, and Hinge's success gives me pride in Hinge, but also confidence in Tinder." "Hinge is firing on all cylinders. I mean it's got a really impressive and distinctive company culture, very highly engaged employees, shipping innovative products. They've got a terrific brand and a clear product strategy and they understand their users incredibly well and what users want from them. And the last compliment I'll pay is that more than any of our other brands, they've infused AI into the product at an even greater rate than others, and it really shows." | ||
* Rascoff said '''they have a new CTO''', new head of design and new head of products (Q&A). | * Rascoff said '''they have a new CTO''', new head of design and new head of products (Q&A). | ||
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* Bailey said a third of the $50 million that they plan to spend this year will go to Tinder products. Another one-third will go to marketing at Tinder and Hinge while the last one-third will go to geographic expansion at Hinge, Azar, The League, and investments in new growth bets like Archer, Her and a new dating concept (Q&A). | * Bailey said a third of the $50 million that they plan to spend this year will go to Tinder products. Another one-third will go to marketing at Tinder and Hinge while the last one-third will go to geographic expansion at Hinge, Azar, The League, and investments in new growth bets like Archer, Her and a new dating concept (Q&A). | ||
* | *'''Bailey said they are feeling a lot better about macro in general compared to last quarter''' (Q&A). "But I think at the highest level, we feel much better about the macro environment and impacts on our business than we did a quarter ago. We're not really seeing it aside from some small pressure at Tinder that we mentioned last call," he said. | ||
*Bailey said they '''continue to test various merchandising and monetization strategies that help with pricing and macro pressures''' (Q&A). | |||
==== Market expansion ==== | ==== Market expansion ==== | ||
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* In the first half of the year, Hinge's MAU in European markets was up 60% y/y, as they enter their year of expansion. | * In the first half of the year, Hinge's MAU in European markets was up 60% y/y, as they enter their year of expansion. | ||
* Hinge plans to expand to Mexico and Brazil later this year. | * Hinge plans to expand to Mexico and Brazil later this year. | ||
* Rascoff said Hinge is in 25 countries while Tinder is in 188. | |||
* Rascoff said two-third of Hinge's revenue come from US while 45% of Tinder's revenue comes from US, hence there is a lot of expansion opportunities for Hinge (Q&A). | |||
==== Q2 2025 results ==== | ==== Q2 2025 results ==== | ||