On February 11th, after going public, Bumble managed to exceed the expectations of analysts on the top and the bottom lines during first quarter ending 31st March.
After closing 7% lower on Wednesday, the stock deciding on putting in some after-hours trading and this is how they fared:
- Analysts expected a loss of 3 cents per share whereas the stock earned $1.69 per share.
- Analysts expected $164.6 million in revenue whereas the stock earned $170.7 million.
The number of paying users increased to 2.8 million showing an annual increment of 30%.
The company expects an annual revenue of about $724 to $734 million in 2021.
The second quarter revenue is expected to land between $175 and $178 million.
The coronavirus pandemic affecting most businesses, had the opposite impact on the dating and networking application.
People having required to be isolating at home tuned towards the online dating industry even though it may not have panned out into a real face to face date.
Lauren Schenk, a Morgan Stanley analyst in a research last week, wrote that as the distribution of vaccinations for the coronavirus continues, making the people more comfortable with the idea of going out, the engagement and time spent on the Bumble app may see a downfall.
However, the company having 7 buys, 8 holds and no sell ratings have managed to help the analysts across the board maintain a positive attitude.