Finances

Dating app conglomerate Match Group has lowered their expected earnings for Q4, according to an earnings call with investors. The company said the adjusted forecast resulted from decreased revenue in Asian markets due to the pandemic. Shares declined 6 percent with the news.

According to Reuters, Match Group adjusted fourth quarter earnings revenue between $810 and $820 million, below analysts’ forecast of $838.5 million per Refinitiv. The company expects revenue for 2021 to be around $3 billion.

In the third quarter, revenue rose 25 percent, but still missed expectations. Match Group added 16.3 million paid users and revenue per person rose 8 percent. Their quarterly earnings came out to $.53 per share, missing the Zacks Consensus Estimate of $.60 per share, and has dropped from earnings of $.55 per share a year ago.

The emails at the heart of the case against Match Group and IAC have been revealed, just prior to the trial which is set to begin in November. Former Tinder CEO Greg Blatt was accused by former Tinder employees, including founder Sean Rad, of undervaluing Tinder’s worth to cheat them out of billions of dollars in stock options. 

According to The Daily Mail, emails revealed that Blatt valued the dating app at nearly $12 billion in 2016, more than a year before Match Group valued Tinder at only $3 billion as Sean Rad and other employees were forced to exit the company. Rad and the other plaintiffs who filed the lawsuit claim Blatt purposefully devalued the stock in their negotiations, citing the emails as evidence. 

Match Group owns dating app Tinder, and they along with IAC are the defendants in the lawsuit.

Audio-focused dating app Heart to Heart, created by former TikTok product and operations lead Joshua Ogundu, raised $750,000 in seed money towards its launch goal.

The funding was initiated by Charles Hudson at Precursor Ventures, according to dot.LA. The seed money will go toward research and development of the app, which is expected to launch in beta form for iOS users by the end of the year.

Ogundu first came up with the idea because of audio-based social media platform Clubhouse’s popular speed dating rooms. Seeing an opportunity for audio connection in a dating app, he took to Twitter to find engineers to make Heart to Heart possible. Twitter now offers live audio group chats along with Clubhouse, and demand is still growing. Podcasts have persisted in being widely popular, paving the way for other audio applications.

Dating app Bumble has awarded new grants to three female leaders as part of its Moves Making Impact program, which honors female leaders taking on some of the greatest challenges the world faces today. 

Bumble’s “cause” feature, which funds the program, was introduced to bring attention to women who are making a real impact in their communities and the larger world, and to inspire and empower women using the app. When setting up a profile, Bumble users are prompted to choose a cause that is important to them – like public policy, human rights, or economic development, and each time you send someone a message on the app, Bumble will make a donation to a woman doing that work in her community.

The company announced the newest recipients of the fund, which focuses on human rights, women’s health, and inclusivity in art and culture. In total, Bumble has donated to eighteen female leaders through Moves Making Impact, along with Vital Voices Global Partnership.

Tinder is breaking new ground in the dating app industry by offering its own in-app currency for users to spend as they swipe. 

According to Bloomberg, Tinder will be testing in-app “coins” that users obtain by keeping their profiles updated and being active on the app, or alternatively, they can purchase them with real money. The coins can be spent on paid features Tinder offers like Super Likes (letting someone know you’re very interested) and Boosts (which promote your profile to other users).

Tinder is expanding its offerings beyond the swipe to create more stickiness with young daters, and the new currency is a way to monetize these features as people spend more time on its app. The company announced the launch of the Explore section in September, which features short form original content like its hit series Swipe Night and virtual speed dating with “Hot Takes.” 

ParshipMeet Group, parent company for popular dating apps like eHarmony, MeetMe and Skout, has started preparations for its initial public offering, notably on the heels of Bumble going public earlier this year.

According to Reuters, ParshipMeet Group’s IPO is scheduled for the first half of 2022, but there is some speculation that it may be pushed back in light of Bumble’s falling stock price in recent weeks. ParshipMeet is estimated to be worth upward of $4.1 billion, based on its core earnings, and the company reported revenues of 280 million euros for the first half of the year, up 19 percent.

ParshipMeet is 43 percent owned by General Atlantic and 53 percent by German broadcaster ProSiebenSat.1 Media. These co-owners have begun to invite banks to help organize the initial public offering, but the company has not confirmed who they have invited or begun working with.