Bumble skyrockets 18% after revenue tops analyst estimates in the company's first public earnings report
Bumble stockskyrocketed as much as 18% on Thursday.
- The online dating platform posted 31% revenue growth in its first public earnings report.
Bumbleincreased total paying users to 2.7 million in the quarter.
The online dating platform turned in revenue of $165.6 million for the fourth quarter of 2020, beating analysts' consensus estimates of $163.3 million.
The company also increased total paying users by 32.5% in the quarter hitting 2.7 million. Average revenue per user jumped to $20.02.
"Our significant increase in revenue and paying users is a direct result of our team's dedication and remarkable agility during a challenging pandemic," said Whitney Wolfe Herd, the founder and CEO of Bumble.
"Looking ahead, we remain focused on driving scale, investing in our users, and expanding internationally. Our IPO was a pivotal milestone, but we are just getting started and are excited for the next chapter of our journey," the CEO added.
Bumble did post a net loss for 2020 that was significantly higher than what was seen in 2019. Bumble's full-year 2020 net loss was roughly $134 million versus a net gain of $92 million in 2019.
Bumble went public in February with an initial public offering of 50 million shares priced at $43 each, which allowed the firm to raise $2.2 billion. The stock jumped roughly 64% above the offering price of $43 a share on its first day of trading.
Since then, shares of Bumble have traded between the $60 to $80 dollar range.
In the company's fourth-quarter report, management said they expect revenue to be between $716 million to $726 million in 2021 compared to the $542.2 million the company made in 2020.
Bumble said they are giving a cautious outlook despite strong tailwinds from the reopening.
"Clearly, there has never been a moment in recent history that will present itself with such a demand to meet new people and to date again," Wolfe Herd said Wednesday night on the company's first public earnings call.
Bumble traded up 18.84%, to $74.89 as of 2:09 p.m ET on Thursday.
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