Bumble Inc. has published a largely positive earnings report for Q2, driven by an increase in paying subscribers across its major markets. There are now just under three million premium members across the portfolio, a year-on-year increase of 20%.
Total revenue for the quarter grew by 38% to $186.2 million, beating analyst estimates of $178.7 million. The flagship Bumble app was the main driver of revenue, contributing $127.3 million on its own.
The company is improving its outlook for both Q3 and the full year, and revenue for the 2021 financial year is now expected to be in the $752-762 million range.
However, net losses have doubled in the past 12 months, due to increased spending, and now sit at $11.1 million.
Founder and CEO Whitney Wolfe Herd explained in a statement: “In the second quarter, we remained focused on executing against our strategic priorities and delivered strong growth in paying users, engagement and monetization across both Bumble app and Badoo app.
“Our results are a reflection of the appeal of our mission, and the result of the investments we are making in our product offerings, our technology, our international expansion efforts, and our ongoing commitment to our members. More people across the globe are benefiting from our brands, given the growing desire for healthy and equitable relationships.”
She also revealed that Bumble has seen a 60% increase in monthly active users in India, one of the countries most affected by the Delta variant. During its own Q2 report, Match Group revealed that it was seeing a much slower recovery in some of its major markets, including India, which caused some concern for investors.
Bumble is also still committed to rolling out the next generation of BFF, its friend-finding platform. A number of new product features are due to be released in the next few months, including ‘Interests’, which would help connect users with similar passions and hobbies.
Badoo users in the US will get access to a two-tier pricing system in Q3, with a global roll out expected in Q4. They should also see several new features and experiences that are based on dating behaviours caused by COVID.
Bumble Inc.’s share price popped by approximately 7% in post-market hours, but that has since declined and the pre-market figures are currently slightly in the red.
Read the full results here.