Extending the ongoing the recovery, Match Group Inc. (Nasdaq: MTCH) reported higher revenues and profit for the first quarter of 2019, aided mainly by a further strong increase in the memberships for its search app Tinder. The results also exceeded analysts’ estimates and the company’s stock gained sharply in the after-hours Tuesday.
The Dallas, Texas-based dating products company posted a net profit of $123.03 million or $0.42 per share for the March quarter, compared to $99.74 million or $0.33 per share in the year-ago quarter.
Revenue grew 14% annually to $465 million, driven by a 16% increase in average subscriber growth and a notable rise in revenue per user, which was partially offset by unfavorable foreign exchange effects. At 4.7 million, average subscribers for Tinder were 1.3 million higher compared to last year.
The top-line benefitted from an increase in average subscriber growth and a notable rise in revenue per user, which was partially offset by unfavorable foreign exchange effects
The average revenue per user, excluding foreign exchange effects, moved up 4% to $0.60 during the three-month period. Meanwhile, operating income grew at a relatively slower pace owing to higher stock-based compensation expenses.
Cash flow from operations and free cash flow declined year-on-year due to the timing of a cash receipt that was received in the fourth quarter instead of the first quarter. As part of its strategy of returning capital to shareholders, the management repurchased 0.5 million shares during the quarter at an average price of $55.62.
Match Group’s shares reached a fresh peak last month, after gaining consistently since last year. The stock moved up around 50% so far this year. It closed Tuesday’s trading lower but gained about 8% during the extended session.
Follow our Google News edition to get the latest stock market, earnings and financial news at your fingertips
Most Popular
What to look for when CVS Health (CVS) reports Q3 earnings
Healthcare company CVS Health Corporation (NYSE: CVS) is all set to report earnings next week, with Wall Street expecting a mixed outcome. The company has been facing challenges in certain
eBay (EBAY): A few factors that helped drive growth in Q3 2024
Shares of eBay Inc. (NASDAQ: EBAY) stayed green on Friday. The stock has gained 32% year-to-date. The ecommerce leader delivered revenue and earnings growth for the third quarter of 2024,
CVX Earnings: Chevron reports lower revenue and profit for Q3 2024
Energy exploration company Chevron Corporation (NYSE: CVX) on Friday announced third-quarter 2024 financial results, reporting a decline in net profit and revenues. Net income attributable to Chevron Corporation dropped to