Business is great for dating apps and looks to only get better.
Match Group, parent company of Tinder, OKCupid and other dating apps, reported better-than-expected income for its second quarter this week. It had a profit of $132.5 million, exceeding Wall Street expectations of about $106 million.
The news sent shares of Match Group soaring 17 percent on Wednesday, to close at $45.60. On Thursday morning, Match was trading at about $46.40 per share.
Match is on track to have $1.7 billion in revenue this year, said CFO Gary Swidler. Nearly half of that—some $800 million—will come from Tinder, he said. That means the dating app is set to double the $400 million it brought in last year.
Much of that is driven by growing paid subscriptions and Tinder Gold, a premium subscription feature, according to Match. The company added nearly 300,000 new subscribers in the latest quarter, executives said.
The online dating company posted revenue of $421.2 million in the period, also topping Street forecasts. Six analysts surveyed by Zacks expected $413.1 million.
Match Group shares have risen 43 percent since the beginning of the year. It's not certain how the business could be affected by Facebook's.
for more features.