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Match Group Revenue Outlook Shines On Tinder Gold, Stock Jumps

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Match Group ( MTCH ) December-quarter revenue outlook topped views, owing to Tinder Gold, sending shares surging despite a miss on third-quarter earnings.

[ibd-display-video id=2533216 width=50 float=left autostart=true]The provider of online dating services has been investing in older, subscription-based websites and said Tuesday that adjusted third-quarter earnings were 19 cents a share, down 17% from a year ago, missing estimates. Revenue rose 19% to $343 million, above expectations. A year earlier, Match earned 23 cents a share on sales of $317 million. Analysts expected Match to report earnings of 22 cents on sales of $330 million for the period ended Sept. 30.

Match forecast December-quarter revenue of $360 million at its midpoint of guidance vs. estimates of $347.5 million. Match said it expects Tinder's average revenue per user to go up, owing to "Tinder Gold" upgrades.

Match has been developing paid versions of Tinder, originally a free mobile app. In September, Match rolled out Tinder Gold, a premium service.

The Tinder Gold subscription costs $5 more than Tinder Plus, which varies in price based on region, age and subscription length. Tinder Plus costs $9.99 for one month for U.S. users under 30.

Match has named a new CEO as of Jan. 1

Media mogul Barry Diller's IAC/InterActiveCorp .[ticker symb=IAC ] spun off Match Group in 2015. IAC consolidates the online dating firms' financial results. IAC reports earnings late Wednesday.

Shares in Match ended the regular trading day down 3.1% to 26.90, but turned around to gain 5.6% to 28.40 in after-hours trading on the stock market today .

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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