What happened
Shares of Match Group (MTCH 2.86%) popped on Wednesday, following the release of the online dating leader's second-quarter results. As of 3:35 p.m. EDT, Match's stock was up more than 11%.
So what
After a brief downturn during the early stages of the COVID-19 crisis, Match Group's subscriber growth figures rebounded. "As the pandemic took hold, we saw an increase in product usage, particularly among younger users and females," CEO Shar Dubey said in a letter to shareholders.
People are turning to Match Group to find love during the coronavirus crisis. Image source: Getty Images.
The company's popular dating app Tinder was a particularly powerful growth driver. Tinder's revenue leapt 15% year over year, fueled by an 18% jump in average subscribers. Better still, Match Group's other brands saw revenue rise 9%, marking the first time since 2016 that they've delivered two consecutive quarters of growth.
All told, companywide revenue rose 12% to $555 million. Its adjusted earnings, meanwhile, climbed 10% to $103 million, or $0.51 per share.
Now what
Match Group is ramping up its ad campaigns, due in part to the strong returns it's seeing on its marketing investments during the pandemic. In turn, the company is forecasting revenue of at least $600 million in the third quarter, representing year-over-year growth of roughly 11%.
