DALLAS - Match Group (NASDAQ:MTCH), a leading provider of online dating services, reported its second quarter 2024 results, which saw the company's revenue exceed analyst expectations.
The reported earnings per share (EPS) of $0.48 were in line with analyst estimates, while revenue for the quarter reached $864.07 million, surpassing the consensus estimate of $856.5 million. This revenue figure also represents an increase from the same quarter last year, indicating the company's continued growth in the digital dating space.
The company's stock responded positively to the news, rising 7% as investors reacted favorably to the better-than-expected top line results and forward-looking guidance.
For the third quarter of 2024, Match Group anticipates revenue to be between $895 million and $905 million, which, despite being below the consensus estimate of $914.8 million, did not seem to dampen investor sentiment. The midpoint of this guidance range, $900 million, is still seen as optimistic by the market.
Match Group also provided an update on its full-year 2024 expectations, forecasting approximately 5% year-over-year (YoY) total revenue growth and a 3% YoY direct revenue growth for Tinder. Adjusted for foreign exchange (FX) fluctuations, the growth rates are expected to be around 7.5% and 5.5% YoY, respectively. The company is on track to achieve its full-year adjusted operating income (AOI) margin target of 36%, despite additional costs related to exiting live streaming services and the impact of the Canada Digital Services Tax.
In a statement, Match Group's management attributed the strong quarter to the company's diverse portfolio of brands and their ability to meet the varying preferences of users worldwide. They also noted the challenges posed by FX headwinds and the proactive steps taken to navigate these issues effectively.
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