Loading...
•
Dec 31, 2023
Match Group Q4 2023 Earnings Report
Match Group delivered solid operating and financial results with revenue up 10% year-over-year and record profitability.
Key Takeaways
Match Group's Q4 2023 showed strong financial performance with a 10% increase in total revenue, reaching $866 million. Operating income surged by 144% to $260 million, representing a 30% operating margin. Adjusted Operating Income was $362 million, up 27% year-over-year, with a 42% margin. Tinder's direct revenue grew by 11%, while Hinge saw a 50% increase.
Total Revenue grew 10% year-over-year to $866 million.
Operating income was $260 million, up 144% year-over-year, representing a 30% operating margin.
Tinder Direct Revenue increased by 11%, while Hinge Direct Revenue was up 50%.
Adjusted Operating Income was $362 million, a 27% increase year-over-year, with a 42% margin.
Match Group
Match Group
Forward Guidance
For Q1 2024, Match Group expects total revenue between $850 to $860 million, representing 8% to 9% year-over-year growth. For the full year 2024, the company anticipates total revenue between $3,565 to $3,665 million, a 6% to 9% increase year-over-year.
Positive Outlook
- Expects Match Group to deliver Total Revenue of $850 to $860 million, representing Y/Y growth of 8% to 9%.
- For Tinder, expects Direct Revenue to be $480 to $485 million, representing Y/Y growth of 9% to 10%, driven by continued RPP expansion.
- Across other brands, expects Direct Revenue of $355 to $360 million, representing Y/Y growth of 7% to 8%.
- At Hinge expects Direct Revenue to be approximately $120 million, representing Y/Y growth of 45%.
- Expects Q1 Match Group AOI to be $270 to $275 million, representing a margin of 32% at the midpoint of the ranges.
Challenges Ahead
- Payer declines in part due to daily new user softness.
- Expects an approximately $30 million Y/Y increase in marketing spend, particularly at Tinder and Hinge.
- Includes an estimated one and a half point Y/Y headwind from FX.
- Expects FCF generation of nearly $1.1 billion, representing low 80s% conversion of AOI in 2024 and Y/Y growth of approximately 30%.
- Expects stock-based compensation expense of $275 to $285 million and capital expenditures of $55 to $65 million in 2024.