By Kritika Lamba
Feb 3 (Reuters) – Match Group forecast first-quarter revenue above estimates, signaling early gains from its turnaround push, sending its shares up 7% in extended trading.
The Tinder parent has been reworking core features across its lineup to improve match quality and reduce negative experiences, as younger users grow more selective and leave platforms more quickly.
Paying users for the fourth quarter fell 5% to 13.8 million, with the company flagging near-term pressure as it tweaks products to improve longer-term outcomes. Paying users for Tinder continued to decline, down 8% to 8.8 million in the quarter.
While payer trends remain constrained, investor focus is shifting toward improving top-of-funnel metrics, said Chandler Willison, an analyst at M Science, adding that early results from Match’s product initiatives have eased investor concerns.
Match CEO Spencer Rascoff said the company expects Tinder’s year-over-year direct revenue declines in 2026 to be similar to 2025 as it continues product changes to improve user outcomes, “but with short-term revenue trade-offs.”
Rascoff took over about a year ago and has pushed a reset focused on user experience and rebuilding trust across the apps.
The company forecast first-quarter revenue of $850 million to $860 million. The midpoint of that range is above analysts’ average estimate of $853.3 million, according to LSEG data.
Match reported fourth-quarter revenue of $878 million, topping estimates of $871.3 million.
Hinge remained a bright spot, with payers rising 17% to 1.9 million, supported by international expansion following launches in Mexico and Brazil in 2025, the company said.
Match has also rolled out AI-powered features aimed at improving match quality, verifying identities and curbing bad behavior, and plans to expand Hinge further in Latin America while stepping up investment in fast-growing markets including India in 2026.
(Reporting by Kritika Lamba in Bengaluru; Editing by Vijay Kishore and Tasim Zahid)
