Online dating app Bumble (NASDAQ: BMBL) announced better-than-expected revenue in Q2 CY2025, but sales fell by 7.6% year on year to $248.2 million. Guidance for next quarter’s revenue was better than expected at $244 million at the midpoint, 0.9% above analysts’ estimates. Its GAAP loss of $2.45 per share was significantly below analysts’ consensus estimates.

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“Our second quarter results demonstrate how we are moving decisively and with conviction to build a durable foundation for Bumble’s future,” said Whitney Wolfe Herd, Founder & CEO of Bumble Inc.

Company Overview

Started by the co-founder of Tinder, Whitney Wolfe Herd, Bumble (NASDAQ: BMBL) is a leading dating app built with women at the center.

Revenue Growth

A company’s long-term sales performance can indicate its overall quality. Any business can put up a good quarter or two, but many enduring ones grow for years. Unfortunately, Bumble’s 7.2% annualized revenue growth over the last three years was tepid. This was below our standard for the consumer internet sector and is a rough starting point for our analysis.

This quarter, Bumble’s revenue fell by 7.6% year on year to $248.2 million but beat Wall Street’s estimates by 1.3%. Company management is currently guiding for a 10.8% year-on-year decline in sales next quarter.

Looking further ahead, sell-side analysts expect revenue to decline by 9.4% over the next 12 months, a deceleration versus the last three years. This projection is underwhelming and indicates its products and services will face some demand challenges.

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Paying Users

Buyer Growth

As a subscription-based app, Bumble generates revenue growth by expanding both its subscriber base and the amount each subscriber spends over time.

Over the last two years, Bumble’s paying users, a key performance metric for the company, increased by 8.8% annually to 3.78 million in the latest quarter. This growth rate is decent for a consumer internet business and indicates people enjoy using its offerings.

Unfortunately, Bumble’s paying users decreased by 361,400 in Q2, a 8.7% drop since last year. The quarterly print was lower than its two-year result, suggesting its new initiatives aren’t moving the needle for buyers yet.

Revenue Per Buyer

Average revenue per buyer (ARPB) is a critical metric to track because it measures how much the average buyer spends. ARPB is also a key indicator of how valuable its buyers are (and can be over time).

Bumble’s ARPB fell over the last two years, averaging 4.6% annual declines. This isn’t great, but the increase in paying users is more relevant for assessing long-term business potential. We’ll monitor the situation closely; if Bumble tries boosting ARPB by taking a more aggressive approach to monetization, it’s unclear whether buyers can continue growing at the current pace.

This quarter, Bumble’s ARPB clocked in at $21.69. It grew by 1.5% year on year, faster than its paying users.

Key Takeaways from Bumble’s Q2 Results

We were impressed by how significantly Bumble blew past analysts’ EBITDA expectations this quarter. We were also glad its EBITDA guidance for next quarter exceeded Wall Street’s estimates. On the other hand, its number of buyers declined and its number of paying users fell short of Wall Street’s estimates. Overall, this print was mixed. The market seemed to be hoping for more, and the stock traded down 11.1% to $6.80 immediately following the results.

Big picture, is Bumble a buy here and now? When making that decision, it’s important to consider its valuation, business qualities, as well as what has happened in the latest quarter. We cover that in our actionable full research report which you can read here, it’s free.