Bumble (NASDAQ:BMBL) stock is on the rise Thursday after the company behind the dating app of the same name released results for the fourth quarter of 2020.
Let’s take a look at what has investors in Bumble stock have to celebrate today.
- Revenue for the quarter increased 31.1% from $126.3 million in Q4 2019 to $165.6 million.
- The company also saw its Average Revenue Per Paying User (ARPPU) increase from $19.99 to $20.02.
- Adding to that, the company’s total number of paying users during the quarter climbed 32.5% from 2 million to 2.7 million.
- Despite the positive revenue climbs, net earnings for the quarter switch from $17.2 million to a net loss of $26.1 million.
- Adjusted EBITDA for Q4 2020 was $44.1 million, which is 26.6% of revenue.
- That’s compared to adjusted EBITDA of $21.9 million, or 17.3% of revenue in Q4 2019.
- Bumble stock is also likely benefiting from its outlook for the current year.
- The company is expecting revenue for 2021 to range from $716 million to $726 million.
- For comparison, revenue for the full year of 2020 was $542.2 million.
- First-quarter revenue guidance ranges from $163 million to $165 million.
Anu Subramanian, CFO of Bumble, said this about the results that are sending the company’s stock higher today.
“During the fourth quarter, we demonstrated our ability to continue to scale the business and rapidly adapt to the pandemic, while expanding Adjusted EBITDA. Looking ahead, we believe we are well positioned to drive growth in users and capitalize on our significant market opportunity.”
BMBL stock was up 12.4% as of Thursday morning.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.