Bumble stock jumps 16% as it trims loss on 26% higher revenues
Bumble (NASDAQ:BMBL) has jumped 16.4% after hours Tuesday after some solid revenue growth in its fourth-quarter earnings, though the figures missed top-line expectations narrowly, and the company narrowed its net loss.
The company also said along with earnings that it's discontinuing operations in Russia, and pulling its apps from Apple's App Store and Google's Play Store in Russia and Belarus amid the Russia-Ukraine conflict. Combined revenue from Russia, Ukraine and Belarus was about 2.8% of annual revenue in 2021, almost all via Badoo (the countries contribute less than 0.1% of Bumble App sales).
Revenues rose by 25.7% to $208.2 million, as healthy Bumble App growth (up 42.2% to $150.5 million) mitigated a drop in Badoo and Other (down 3.5% to $57.7 million).
Net loss narrowed to $14.7 million from a year-ago loss of $26.1 million. EBITDA rose to $54.8 million (26.3% of revenue) from $44.1 million.
“In our first year as a public company, and with our mission at the forefront of everything we do, we successfully executed on our core strategic priorities: driving scale and engagement, increasing monetization, and improving profitability," says CEO Whitney Wolfe Herd.
Total paying users rose by 10.6% to 3 million, and average revenue per paying user was $22.83, up from $20.02.
Cash and equivalents came to $369.2 million at quarter's end, against total debt of $622.9 million.
For the first quarter, it's guiding to revenues of $207 million-$210 million (vs. consensus for $211.1 million) and EBITDA of $47 million-$49 million. It's expecting a $2 million hit to revenue in the quarter from suspending apps in Russia and Belarus, smaller than an expected foreign-currency impact of $5 million.