Match Group logo and stock graph are seen in this illustration taken, May 1, 2022. REUTERS/Dado Ruvic/Illustration
Feb 3 (Reuters) - Tinder parent Match Group forecast first-quarter revenue above estimates, signaling early gains from its turnaround push, sending its shares up about 12% in extended trading.
The company has been reworking core features to steer users toward more meaningful matches and reduce negative experiences, as younger daters grow more selective and tend to leave platforms more quickly.
Match has stepped up investments across its portfolio, with the heaviest focus on flagship brands Tinder and Hinge, rolling out AI-driven tools to strengthen safety, credibility and trust.
Recent product updates include new "chemistry" feature for authentic interactions, alongside face-verification tools aimed at cutting down impersonation and bad actors.
The 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.
"In 2026, we expect Tinder Y/Y direct revenue declines to be similar to 2025 as we continue to make product changes to improve user outcomes and drive long-term sustainable growth, but with short-term revenue trade-offs," said Match CEO Spencer Rascoff.
Rascoff, who took the helm about a year ago, has pushed a reset focused on improving user experience and rebuilding trust across the apps.
Hinge remained a bright spot, with payers rising 17% to 1.9 million, helped by continued international expansion after launches in Mexico and Brazil in 2025, the company said.
In 2026, Hinge plans to expand its presence into Argentina, Chile and Peru, while also increasing investments in India.
The company forecast first-quarter revenue between $850 and $860 million, the midpoint of which is above analysts' estimates of $853.30 million.
For the fourth quarter, the company posted revenue of $878 million, above estimates of $871.3 million.
(Reporting by Kritika Lamba in Bengaluru; Editing by Vijay Kishore)
