MeetMe Reports Q2 2015 Financial Results

MeetMe
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MeetMe is a smaller player in the social networking space, but it has undertaken a number of initiatives to boost its customer base. Looking at the company's financial results for the second quarter of 2015, they appear to be paying off.

Highlights of Q2 include:

  • Mobile revenue was $8.3 million, up 47% from the second quarter of 2014
  • Mobile revenue represented 75% of total revenue, the highest in MeetMe's history
  • Total revenue was $11.1 million, up 4% from the second quarter of 2014
  • Cash and Cash Equivalents totaled $16.2 million at June 30, 2015
  • Net income was $1.2 million compared to a net loss of $1.4 million for the second quarter of 2014

MeetMe achieved several important milestones during the quarter. The service surpassed 25 million chats in a single day, up more than 100% from a year ago. MeetMe also reached 20 million installs of their flagship Android app. International growth increased dramatically, with approximately 20,000 new international users joining every day in Q2, up more than 100% versus a year ago.

Mobile proved to be a driving force behind MeetMe's growth last quarter. Mobile daily active users increased 26% year over year, and total mobile monthly users increased 42% year over year. Increased mobile revenue came as a result of transitioning mobile advertising inventory management to an in-house solution.

Recently, MeetMe launched video ad units in their mobile apps. Though they are currently a small percentage of total add inventory, they are already outperforming mobile native and banner ad units.

“By optimizing for the performance of our mobile advertising, we believe we have substantially increased the overall value of our inventory,” said Geoff Cook, Chief Executive Officer of MeetMe.

Also new to MeetMe are interest tags, which allow users to form deeper connections that go beyond basic details like age, gender and location. The tags encompass everything from hobbies to personality traits to life stages. Users can select from a wide range to more accurately express themselves. So far approximately 40% of the user base has added interest tags to their profiles and that number continues to grow.

Cook is feeling positive about the future of MeetMe after a successful second quarter. “We believe we have dramatically improved our advertising product while continuing to grow mobile daily active users,” he said. “We have a number of significant projects in our pipeline and we are excited to have the opportunity to build products that users love and then make such a difference in the lives of so many.”

For more on this service you can read our MeetMe review.