MTCH - Earnings call transcript Q4 2021

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Good morning, and welcome to the Match Group Fourth Quarter 2021 Earnings Conference Call. [Operator Instructions] Please note, this event is being recorded. I would now like to turn the conference over to Bill Archer, Head of Investor Relations and Corporate Development. Please go ahead.

Bill Archer

Thank you, operator, and good morning, everyone. led Swidler. Shar be and and will Gary COO, call by Dubey; CEO, CFO Today's make few will up They a for open then questions. it we'll brief remarks, and

our this to Before or I These similar results we are views as forward-looking actual preceded statements outlook remind we call, be performance. we subject may statements. and words today. everyone and we expressed These materially future may need uncertainties, differ to anticipate that from by start, statements expect, our discuss believe, and during could risks such we the

set Some in With of these call over risks have reports the the turn earnings been periodic and SEC. filed to to with forth our Shar. release like I'd that, our

Shar Dubey

joining Thank you, Bill. Good morning, for call the and all thank today. you

been as past disorienting for be hope yet, ways, we end has this in many broader has reminder the a much though bit done aren't been hope although Omicron COVID a XXXX, know, that quite sure as Group we'd year even at And I close. the Match the recent world in we're surge to is with times. remarkable at You

Omicron season of more parts grew So of has start and despite this context in recently, because of behaviors peak surge latest sort Omicron. the the of XX% have world. our Delta our pandemic. impacted had and dating And would in is waves revenue our business surges thought these in sentiment I by the business, level-setting And glaring effects I on business where the

less anxiety it activity slowly different propensity business the with both our particularly since, Asia, are in forward Western impacted. at you back still a impact late days now winter recall, at the COVID and much effects early to them had, has dealt impacted of now to the seeing as usually, global after we're then a markets, took glimmer emergency recovered. and mobility meaningful again, pandemic, including Japan hope U.S., last activity. periods of has user of spring. years, these by of are in generally state hit with one if led February we've for of X all pay all in ongoing time, But dealt until propensity and restrictions X XX. a in in Omicron the disproportionately the level year, of state and least to are And of a pay And fast XXXX, has particularly during several seemed that stabilized this to dating quasi had less of with seeing sentiment. fatigue, there dating lifted. was and and mobility instance, markets, be to Asia. And in parts emergency the So of Japan, to of back this which while the that lockdowns, activity and waves these and And of of surges, last a impact months, And general

the active while Western who geographic never differences, said is have tried recovered apps propensity hesitancy we've Now, break before times, daters a few metrics online users dating in new largely have to beyond still these among as there before and a to into markets, category.

you've now, until course, which And word Now of hasn't resisted levels depends dating if online the yet on seems pandemic right hardly time usually happened. mouth, that, socializing, these are driven by to largely normal and the of start. of

way. recovered in uptakes a when periodic not new in year, we entrants news has large, is that dominating have seen not COVID But by past the sustained cycle. this So and fully

macro and we cadence, pulled for feel is instance, optimistic at breaking nonusers into come. if products and us, even like, other to getting online safety and forward pain experiences. measured discovery demographics summer, So disciplined from made been more well say, it. different We've authentic points, new to normal the know trust in normal on marketing our innovated a the given truly intent. portfolio our that each everything And appeal efforts things indeed We've and return many of to and that and progress is in of category, but for to the to thing spring dating to what in soon we in creative capitalize malaise. maybe groceries, causes unlike normal. that a do are significant reenergize out more us where and on just as endemic, new positioned optimistic a we love categories pandemic ready We've still climate, collective campaigns are out this Omicron we're users, Romance with to if sentiment to a building shakes shift several pandemic the and as from post-pandemic to be able

users the XXXX for along with people's more revenue. Tinder released surface wedding has where live launch their festival Hinge. mode; XXXX doubled start insightful. this concert Explore in productive start virality road a feature responsiveness, prompts entertaining seen. And year Now users, last seeing out Turns many more best to Swipe they've dating more goals, impressive new clearly strong Explore. and of planned, really to and Tinder year. Tinder experiences. styles with dates, with social Australia. with the monetization enhances Explore experience. the exciting use and opportunities regionally such a year later life had media, the XXXX, this U.K. been at, late the and Tinder, of mention The had also they've They're provides has are jokes beyond than not voice have Night, enhancements has both biggest in experiences; social resonated a the of markets has as an they video to like dad map tailored almost XX% Hinge opportunity adopting in offers launched dating additional the and expand revenue and around cases hybrids of its it's to Swipe feature, XX% growth, dimensions update was and invention this flexibility discovery since

And the Our and interactive business, they to expand continue progress, and and integrated stabilizing platforms. metaverse couple return successfully Hyperconnect broadly build in later both audio remains making enabling video a immersive markets, and to tech to on elements, launched dating our XXXX recently are their discovery core new social to progress other experiment context. immersive new have and our making year. internationally technology leverage to to Azar with and also And at teams Hinge, feature, plan [city], Hakuna we beyond live of their more We've experience. them experiences. brands their plan the Hyperconnect's discovery growth lounge, live this live intact. for also English-speaking and streaming They We're discovery

the is our it us remains much done While critical Hyperconnect, long-term to is pushing we're right areas actually it very in and track, at growth. forward are a to number be confident on that of

I quarter story to despite Gary the and hand XXXX, all lives product to on jumps and what going has and importantly, this most ability over of that, provide will to many innovate out we're full some how surge around find creative it year. And may last am latest more more with I reflect hopeful Omicron our marketing; technology months, I year, to the experiences; change with couple the the tell over uncertainty on our ever As the to it world. about and uncertainty. profoundly in create me opportunities been of And the use face color next

Gary Swidler

of to a of million Thanks, revenue when dollar number the quarter, headwinds, million excluding had strengthened strong in the provided of total Hyperconnect. and up year-over-year. We against FX U.S. million, headwind anticipate year-over-year XX% a with we $XX November. year-over-year. meaningfully would our total Shar. led QX euro the up $XXX outlook $X On an revenue including been global which FX-neutral XX% million, $XXX of not In yen, early the about have did We FX basis, currencies,

QX. to million, growth brands growth the XX% strongly payers' X% quarter. million aggregate. This for swipes in payers. year-over-year X% RPP of over among Europe grew adding XX% we Hyperconnect. did increase which at in XXXX. direct of be The over emergence X.X the our the and QX exceeding grew growing income certain XX% grew QX, direct grew record robust which contributed from X% grew FX, resulting as our XX% Americas, in acquisition million, the business strong, and markets XX% and some driven Europe, XX% to KPIs million XX% and XX% in on reaching XX% aggregate quarter. XX.X total comprised in Other. was Tinder Indirect XX% of Hyperconnect. Hyperconnect impacts grew EBITDA, in by subscribers its RPP income, significantly quarter, quarter margins been and payers operating in and X to last have nearly achieving about platform quarter; in starting COVID globally million which X% of COVID geographies, XX.X saw from to QX's highest than of with a were up year-over-year Other. December year-over-year revenue such an excluding year-over-year feel RPP year growth on in in We total as in group, of meaningful Growth active particularly be direct called up acceleration up $XX reduced the slightly the to a growth. the severely million months. direct revenue Our strong an a $XX revenue from of Tinder Europe; quarter, brand Adjusted RPP $XXX about continues $XXX Tinder revenue year-over-year. operating highs and of expenses, year-over-year, XX% was in XX% messages expense, revenue and XX% in user and by in the in Tinder higher, a XXXX. payers this impacted quarter. XX% points subscribers, was of XX% direct Total driven to Upward prior Overall year-over-year, XX% variant, markets. million and the active half business, other APAC the XXX,XXX grew Hinge number XX% payers' platform overhang off market It Omicron Hyperconnect. revenue APAC XX% XX% an had $XX in to continues also with All X% in several up BLK, up to Tinder QX. revenue and It the daily all from mobility December. a performance an compared approximately against QX. operating especially lira or in total growth very standout year-over-year on was and in in of be by delivering the Engagement to approximately X% reached of also performed Other, margins all-time in the year-over-year and Americas near growth preceding improved the of Chispa number in for Platinum Turkey XX%. in on million, SBC strong including Hyperconnect. year-over-year. X.X rate. in for income increase less acquisition other with large Americas, the solid of million, XX% QX adjusted year-over-year the would Japanese by QX, the $XXX Turkish the formally users year-over-year year-over-year, APAC was adjusted ever of RPP is $XX.XX business in margins the aided both in of acceleration a was continues was

Excluding increased December decreased an marketing represented on we marketing-heavy our higher and holiday and development had XX% especially spend to a less as fees XX% in spend, revenue of primarily Hyperconnect, of to revenue expense pulled total XX% as Match. Sales was employee G&A environment. cost have Hyperconnect, former Tinder. our back revenue payers, points we rose costs, $XX XX% primarily Sales due year-over-year, some like million G&A did anticipated to X the down to XX%. Hyperconnect, across crowded and headcount than fees. as million our several of we maintain impact year-over-year, the a G&A as IAP ROI up impact year-over-year brands total conclusion or at excluding excluding and marketing in revenue, primarily X comprised X% legal Hyperconnect, portfolio points percentage XX% That on a of brands, grew marketing litigation spend Product Tinder year-over-year revenue. came were discipline in X. of increase year-over-year. due of $XX grew excluding to marketing was

to X.Xx target We that cash, at achieving of investments time of X.Xx below with cash hand. the the of declined ended leverage set we and our trailing adjusted end equivalents leverage was Our operating quarter gross net at Xx our $XXX of income, QX, and the the on short-term million separation.

to We and $XXX pay to employee arbitrations. litigation settle have agreed the Tinder and million all claims former related

pay amount to cash hand from QX XXXX. expect this We in on

For full high-teens year we growth, for year we to XX% year-over-year the to growth another company year-over-year and where driven strong by expect XXXX, expect deliver Hinge. both Tinder, XX%

approximately of $XX time X includes year-over-year on That's what of earnings early outlook call approximately revenue. the points Our of million we is last about worse FX our total November, million $XX in negative impacts which expected than growth. at

XXXX. we business. in particularly and have move to and get continued outlook while the to than be the early And is mind of to impact, more global we U.S. is addition the still impacting in conservative in in variant, due early Omicron a the Asia rise we especially in shared impact, getting that that us past period. In revenue goings has may Asia of November to COVID which through the ready what Europe, Keep our FX Omicron growth

our due 'XX impacted by since somewhat continue to likely X and reduced until QX. November growth in FX In outlook of been sometime the points expect be has to performance aggregate, COVID our about we impacts. So will revenue

second that vaccines summer we that once effects that confidence in what the builds half the we XXXX with the we that be assumes Our of next be There increased introduced. expected the get anticipated, XXXX first we also of XXXX revenue pandemic, uncertainty were we much remains while had Omicron, the could outlook We're second than even initially stronger. part may but year. half the hopeful for have after the past of momentum in back of have love tougher could about happens

breakeven margins to expect be expect to better We inclusive in of flat, overall roughly company than be we which Hyperconnect, XXXX.

we stores employee full expenses legal CSR of year-over-year initiatives XX well costs reinvest partially we year, the Google's lower revenue the and fees as safety For basis ongoing users of revenue, which in pay war than to the cut, via for fee despite talent. lower subscriptions, as as Note points we to XXX more XXXX in subscription covered to a excluding that given actually in as we our improvement, Hyperconnect, recent expect to come only percentage higher our in greater app Google app. which expect XXXX margin on plan and incur of

iOS, full on most our use instance, pay that on we For fast-growing app, a XX% payers Hinge revenue. and

outlook Store margin policies. Our reflects current App

includes Apple. of XXXX, App fees Store primarily in outlook $XXX over million to Our

requirement App changes change we the remainder in at forecast to Our optimistic include Even further starting will more additional to remain of that mandatory the likely, system that and we you. payment unable in outlook we're continue use its million App of update $XX we Google's ecosystem not time, Store to approximately this previously happen, XXXX. to policies announced does year. though Store implementation are incur Were the for April of costs of of

to expect full SBC expect $XXX million, for XX%, lower competitive in legal income to XXXX. million talent. hiring XXXX, operating market cash XXXX settlement. CapEx reflecting additional We U.S. $XXX federal of of excluding do For approximately million, the flow in material adjusted and year $XX be to expense conversion approximately we about million taxpayer of the than not million cash $XX $XXX and free a continued

changes be to eliminate earnest we offers payers in impact changes, QX, an to have These expect neutral. Tinder age-based still these in in Tinder countries these have which will revenue QX, in underway We but beginning where initiative discounts. discounts begun

expect million Match which will QX, of for represent revenue XX% million, $XXX Group total For we XX% to growth. $XXX to year-over-year

to this by is year-over-year growth for digits, We low as growth driven in to expect and RPP the payers be the in typical mid-single us. year-over-year mid-teens

of anticipate higher However, more from somewhat. than about X We on would basis. $XX year-over-year effects in million metrics headwinds the growth QX, be FX meaning FX-neutral an could these shift that points Omicron

in We that year-over-year the to will similar that QX. over its revenue QX and to and expect Hyperconnect anticipate deliver growth growth trajectory will direct direct deliver revenue in in remain XX% growth teens Hinge Tinder's high at levels revenue QX in QX be year-over-year 'XX. on We

QX, operating $XXX Hyperconnect. $XXX income in range, from margins in expect despite percent We of adjusted of points million first representing pressure to X.X quarter the million adding low-XXs for for a us typical about

mission including to base exciting to continues us has map is Metaverse gain much on and and deploy Tinder has helping capabilities to user dating with deliver have continue company audio our meaningful of to business and people new ingredients There markets. only meaningful experiences, use ahead, growing across user continue can and across tech apps traction build our the we in many we our product make Our can road apps, opportunities convert. an potentially so video all connections not international but make which the our their global Hyperconnect, do product portfolio. immersive to help a exciting has through of Hinge's technology. them

financial room that of We Our our is for best-in-class performance ask With that, very business next exciting. I'll grow margins questions. reform the line App strong benefits. potential is believe with Store to phase be strongly the to going operator and the to already open

Operator

of Instructions] [Operator question come will from Cowen. first And our John Blackledge

John Blackledge

takes by the kind kind XXXX, Gary, markets impacted margin being secondly, the and of of margin expand the through could then Japan for And maybe a you go which on of Omicron? of expectations bit are guide? puts outside

Gary Swidler

Sure. do to that. I'm happy

actually they'd that this be environment. performance, contributes of of inclusive outlook year. is headwind Hyperconnect, relatively for for the Hyperconnect our flat, for as point said, X I And margins margin year, in strong we over is a which all, think of First especially this

look more we through probably If market right to would our currently on reinvest retaining takes, half a puts existing forecasting the legal the XX% operating than over in subscriptions. in very for savings from talent, of Google's competitive new that X that from that and reduction and into could in now. bit points, margin of I people talent you hiring savings improvement especially we're XX% we have we're say, and expense But

where our given resources. of the fees said leverage App of CSR coming portion and We also are of portion also operating we're important in reinvest some a we're of savings, revenue or initiatives and that, putting of I That including Store to incremental in on remarks, through -- my margin sales user smaller into as the X for around by App us, for top payers -- a but we're the creates probably point more marketing safety, spending headwind for plan us, some the that And larger our being on and that by so offsetting side. about of Stores. on larger

So the recall it's the and effect fathom they're this at made probably in-app about once They've announced making wash Google payment March. certain given for they're put markets. is Frankly, end exceptions that And would legal all neutral. what I'd policy supposed that me regulatory pressures their the change, policy difficult system, Google's for I relatively in of then it to to last point which to they I before. mentioned delayed into facing. requirement really take say and those to you of previously And use out kind that are and put that

kind but around plays that out, So thinking of time. we'll that my in this see point at that's how

question that's the margin other Japan and second markets? So helpful around was what sorry, the on side. I'm hopefully,

John Blackledge

-- markets Other In

Gary Swidler

Yes.

not in yet. to bit a Look, would look, said. yes. it's seeing the I strength not -- right? back users I say as new -- mean, So Shar normal, We're everywhere, little We're

we that a pronounced the where in pretty what It's is contribute. have so everywhere. expecting And in business most significant Japan shortfall were to XXXX versus affecting Japan, we

have #X and and We the Tinder. in #X apps payers

Shar that's meaningful effect normal. carry we our near in gone were a it's as has So aggregate Japan what market said, to you thinking. nowhere going the XXXX through And number back to XXXX into on because, that versus when

other enforcing couple a restrictions Korea from around of Asia. pandemic. very strictly Japan, there's the is in markets Aside also

clearly market normal. fully India Asia And another that's which other hasn't bounced as to back so back. And are for smaller in us. ones has Even there's well gone not that

but an As the still it's than was example, improved at better pre-pandemic. down but it's meaningful, depths, it's from significantly it

number the lingering meaningful are markets, some a is effect, there's Asia, us. but really So there of across one Japan for especially most where

Operator

from of The Justin Patterson comes next KeyBanc. question

Justin Patterson

product On Tinder initiatives Explore, the the look encouraging. affecting Explore How growth should over Tinder next really those we metrics years? the few shared of art you think about like

SharDubey

Hi, Justin.

of -- is the it a experience what without Swipe Explore, new service users are levels hurting to we've personalized to goal fun, did, allowed experiences spark and Tinder our and high helping the engagement we're messages seeing And create experience, that us it in very new successfully got And area efficient of and a have now and So interactive, machine. and likes, useful conversations. adopting the connections. already XX%

mode looking So launch of music letter. launch about a and feature We continuously the engaging is plan experiences the here. our in novel variety ahead, and talked to

for to going classic Explore that's rip is an to to be programming. Soon fun a date the also tailored us experience geographically blind have come, allows on experience. example,

moment And opt that experience Salvador, major Brazil, connects in enables people we're on a Rio, Explore of about It's people. with fluid the where Day. others their can they're going cultural and traveling an Explore So match how real is to. be Sao parties, that to to great in in life Brazil, allows their share virtual carnival a members And it's in are to Carnival cetera. experience. Carnival to launch favorite cities moment that most et it's Valentine's to like mode in important a Paulo, celebrating example

new new of does the imagine, this new to area in keep opportunities also engagement it to reason coming adoption and to existing opportunities parties people offline. with to and third revenue Explore check merchandise back provides tiles integrations both features. -- the with on it new experiences the and can provide And sort revenue as out these you a experiences. features, increases, for us as this surface And service additionally, area us new app and So gives then drive these

we've So that's surface whole created. why new that we're so area excited about this

Operator

The comes question Deepak next Mathivanan Wolfe of Research. from

Deepak Mathivanan

maybe one Just during color the in on XQ? most you Omicron? seeing and December for us if you're Gary. in Was Kind by due net so what of be great payer And month give Americas monthly color deal. will of in January cadence you perhaps declines Can adds add also to on maybe far. Europe some of that to brand, some a the want

Gary Swidler

Sure. Happy to do that, and good to hear your voice.

First unusual general of out as over QX. growth see QX all, I sequential not point would us to for just of that in a kind matter, limited it's payers

So overall, about point think to numbers factors the is at number payers' out look QX I you for a results. not trend atypical and the to of And then as us. would

in out, rightly a that did of starting December. especially payer and is in in right? early you some spike what Omicron, of We numbers it part our first, The the saw December, affect Western point kind of markets,

Omicron a So onto after in change trend there the was burst scene.

see return what the haven't happened established brands And and times of protect marketing in particularly QX. so were as hurdles, we our to kind hit impacts then a pulled as That's some in another I Match, And that's big especially QX to of many reduced also impacted markets on of marketing of factor we the the around end mentioned Japan. normal, our lingering COVID that the at back spend our couldn't we expectation. part brands. that returned marketing performance out with just payers in Asia, QX. heavy called of ROI back because an some example, and spend we had We've others

those I trends So are things, that key saw. think, we the together

those Omicron of in things. number not those of we're to feel shift earlier Japan, it And to markets. but behavior it issue worked we deal's a we're as an even got they've the We through Korea, closer affect a massive Asia to going way still continues for battened it, getting QX, its have at to end, markets. Looking remarks, and hasn't hatches prepare like expecting some the really We markets, down in in that's the the be in said lingering.

it So still it in the while we're through some markets. got Asian to the through of in you go West, moving

want early the results then growth here say And all so the pandemic an effect other our that's to to just only XXXX. lives and And the impact for in The thing and we'll in this in inflection we'll which growth add don't point an get or dating. on time, through this specific going be people's RPP manage have for managing social payer and We're and that -- whatever. revenue is we or I growth. we it hopefully,

And price so of forth. in terms optimizations making so trade-offs time are the all we and

does And out at around? move so we're that numbers there. that adjusting discounting the my remarks Tinder payers' around I called one in policies

to to could grow to we going the way the to and effects do us want That business you're make revenue. So thing right to grow numbers, on we certainly decisions. those revenue see continue have payer but ultimately, think for the are

Operator

from Morgan of comes question Stanley. next The Schenk Lauren

Lauren Schenk

long the Could app heading Hinge revenue by a we for to on should that's And largest comments global I then its time. way few was in the full is year intrigued become within term? see ‘XX guide? embedded about think the where how over the you your about second you dating RPP Hinge talk that Hinge growth years'

Shar Dubey

is expectation prompts how I audio, competition can viral socially is, know, but resonance that has call in way has [intentioned] I a of reflects an specifically, $XXX do what on particular And this we differentiated market. take monetization rollout. driven it's Hinge on continued you of basic The team feature And this pulling its among Hinge segment to how gives international instance, be that, audio, is form about the of you product is well for implemented you million payer growth confidence the way them, made year approach It feeling. in in products of RPP, the how became is large real as for and And both growth -- Lauren, year. they ahead year. us communicate product, the big by a kept Gary. our think, such they development. progress they And near designed for past and pretty sort the audience. to the as don't rich platform. innovating a And way of On every Hinge XXXX what as that certainly the that's the in in which has voice did example revenue. in resonant best over of it But consume dating. And think the strong this going one I in RPP. it's profile

Operator

Thill from of question The comes Jefferies. next Brent

Brent Thill

recovery, looks if Japan Gary, about what second you a are? year, on and your what for what curious shell also growth when kind I last just the And like. on second more of that's could up, talk you your I'm And expectations believe dating can plan you of your largest half recovery the Japan, frame just little market.

a maybe back. bit you're in terms of to how region -- what drill expecting in bounce that little So

Gary Swidler

to Sure. do that. Happy

right handles activity not A some is differently once in we and hard levels, So come pre-Omicron outlook Europe impact, now, Asia impacts in Omicron back what of that's that second assumption. to and now our I first, then by as to we're come things seen but tell take have look, back little they've we the West, out But here. Omicron I goes the would geography, say think assuming what levels. ultimately, gradually the behavior our the And of into that done going people time for over to U.S. if that is quarter. the that's pre-pandemic right Asia. to assuming maybe out And

we to go thought of the as XXXX, year of as were back we kind in in where were of fog opposed example. last we lifts, we an where October Omicron So and to

know to behave assumption going feel, Now could be spring. that people reached the say, on I are how confident because to don't they let's sometime a of how wrong in this, much depending end of how an all we

that that outlook, reach factor to provide clearly we're assuming higher of is or And a at now but so would happened. right love of in a ends least that summer outlook huge not the ability the outlook, the in upside swing our if our

big wait behave, ability really people not people head-faked long to now, moment like and we summer sober and and and on what the forecast time, there's of kind that are effects but because as a on been feel possible. great some pandemic our be is as brings I that see. wave, have what entirely evidence how we'll going more we of months, a it's we've soon but to to had see the think the that over, one's real times, predict to for we're a are. lot a Right get is to few I this at forecasting those until know we're been going going and no it's a warm

included of we impact early also on included on half, than to for 'XX Hinge accelerate to a are some or see virtual risk goods to just So they a of out new second also swing a we're be are optimistic the example. we be feel I once remain really seen. that's we could they're say our date clearly the those but and how on happens in numbers than and yet. the it the are in very that We We're have But want forecasting, bigger And we not that factor more don't gotten XXXX. minds to our going that lot key to -- hoping significant anticipating, summer initiatives go International able forecast is those have we of have summer remains for kind that. because would and currently our spring extent kind in to overall Tinder to down amount months, people items XXXX. and on we're that don't months, our do as an but socialize big ready that Tinder

some the We're much Japan So those cost puts to there. and are takes trying of us. quantify how has

As I said, got we've #X #X, apps. the

that significant we have has great Tinder impact Our would a don't Pairs $XX of it of have surprise operating XXXX felt it's felt I seen million estimate, revenue on normally. Japan that some. but has more wouldn't $XX if a our had me app been impact. amount million,

us. really we big think if meaningful. It's get that in And a first recovery it So a contributor, the we're We'll the is this see of is in half year. half. and going second for get it impact the I market big pretty to don't

Operator

Wedbush Arounian Securities. of next from comes Ygal The question

Ygal Arounian

we your as bit and end is a are expectation jurisdictions that Gary, and year? Google. Apple then -- And what's Apple's like kind little some and the that right? expectations changes And process currently fees, of they get do to the And how then what you some about on savings fees, on the any you're at? Can more and for sounds to if or don't what XX% we move It through not little seeing? whatever any that maybe a agreement about of the structure change to building up you there bit and they're you're think might in talked would on fairness. reinvesting create with about why you you change up talk the Google, of app workarounds for that the there be expand just those the taking fees, to

Gary Swidler

of little on there a let take I feedback of bit am not sure it. we question a of the at caught kind line. because that shot me all was But

First of make. look we're if wouldn't to about we've get say Store, so But talked how the any it's to Google generally going Google. I we specific all, they changes to obviously, savings, App deploy at on just this

We customers ability of to return that to to discounting have of the the in form them. some

less on we'll We our paying spend the because also Stores. higher will have return to marketing be

more able should to spend growth. into be we'll so marketing, enhance which our And

some remain that achieve slow front. of is we that a regulatory the things App said, process from this a over number any there's we optimistic So at can And with do that's coming, but on of the Stores we we like savings time.

any not further for in And made now, have assumptions our around so numbers that right XXXX. we

Shar Dubey

add can I more.

you around think the what I legislations the about of key questions are had sort world.

So these been generals Store importantly, policies, deemed just week Also have despite per including an in to X now More Open week, there position and has Act filed opined that, and recently, support Apple's decision illegal Dutch in this expected EUR in attorney and was response which the issue. Brief the is in seems bipartisan the momentum million of It XX move to of consequentially, Netherlands. that South Amicus Senate, week, DOJ App end under in and the Markets both this subject U.S., Epic's wrongly IAP, here out a on addresses the state supporting Korea to more that decided. Netherlands been App of to EU committee, surprising week. hopefully, in countries noncompliance lot more see law. this IAP has fine they of Mandatory now are is last

are be. So days. there's support has this of little policies that fact these and both sides bipartisan that agree shows some to these unfair deemed to The how such inequitable

et They're million change we $XXX single as increase to It is there's year. So are obviously, addition all that of remain expansion, the us in timing that changes the the Gary of for optimistic meaningfully last going of reinvestment, and And hard this lot with can to expense we the And single are at predict. the App fees cetera. Store legislative They do coming. year. line a this is exceeded regulation moment. good to margin said, -- biggest

Gary Swidler

defies got policy countries would me said, very cetera. acceptable. seems the It's in jurisdictions change, IAP the make, on see to potential not other only just and make what of sense illegal March thing this Shar make kind is That's to in of mandatory then change all add decision Google on It kind they'll The in all global that that make surprising is these they saying, reaction you've Korea, IAP to a Yes. and et its and of that. me. to I face we'll But have makes and mandatory that, Google would have kind logic XX. of to

bill that's handicap just where subcommittee the around are as very, how use sort which people bill up blowing, in it very are payment a to seems how how over would U.S. very to But believe that up given It I next clear, plays this couple system we'll around see or has they out see plays -- just is trends said. taken out. of we'll well. taking the that a The So But hard require me Shar as Senate of environment. that for their months.

Operator

of Steiger Goldman from comes Alexandra question Sachs. next The

Alexandra Steiger

I have on Hyperconnect. X

Hyperconnect's any maybe at team, the all, Hyperconnect, the to also from of lastly, both it's across think through leverage learnings portfolio in what investments perspective, And here? perspective? technology. us see Can first So example, from a and an necessary strategies or then monetization where from maybe also that additional we several your apps, And do of like integrating Hyperconnect's to should you savings walk degree engagement for can terms especially how but And sit have great then Tinder? begun brands about cost impact seen company? we of you've the leveraging you

Gary Swidler

Sure.

Let Shar shot me take a certainly that, can and at add.

great of with progress Hyperconnect. make First to all, we continue great, working

We innovation. have confidence lot of the their a in and team

Our They're teams learning from really We're them. globally. learning are collaborating well from us.

well on move innovative. very it's going They we are really standpoint. from product. So quick fast. they They're think that And

great all our that's from So perspective.

of we investment, at continue terms In look to that.

of of And some and kind in numbers people that are apps. year. baked our And them our investing that into the of to help the to We all I build plug is across going hopefully is of adding things there to want for as all Hyperconnect from to that so on see investment their we'll included, on be margins with investment even improve get breakeven the leverage operating continue and the said better capabilities. we than we

of technology far, kind thus what's rolled one-to-one chat of you give terms apps, so far. happened and just we video to X and of concrete and their onto audio examples, In Match using video our rooms some Meetic,

are Usage to feedback with the Meetic, been well continues cafe of has product. the If you European features received the really what video, we user with as call the use by is their very live engage grow. audio and returning to People the business, The base. example, positive.

technology a Day. the in planning so we're major Valentine's we're that's live going. And fact, excited how Meetic at for all on very event And about

So and to that's that of the uses an another up example technology good be coming current. that's event

kind continuing example that's engagement out and Meetic and build in So working Hyperconnect hand to going, are of how glove. an and that's capabilities and and features of

as use an well if technology Match, you third-party did a great that it's vendor's with we At video but want replace so not also Hyperconnect. on from And to collaborative base, going example, the standpoint. the a side only for user

make to cost better changes and things to responsiveness overall we much lead much try. not but so savings some We we to it also the is that And want means Hyperconnect. for only using want us, did think to have we more product

in-house that only but you quality excited the about, not asked also terms in having so that has we're led And overall of which cost about. savings, to benefits

happened that's Match and what's we're on to Hyperconnect confidence our when to far, And out roll of apps. is extremely at doing what look So at Meetic it's technology more you encouraged. that both us thus with more leading have

the into Plenty to And out a of Pairs planning and app bring so it of into coming Fish over our part app time. that our we're

And And do the so we'll continue are about might to we alluded roll what it portfolio. you Tinder. at thinking out across to, as we

looking a And at great so that. there obviously, Tinder Explore those platform, there's things we more some some potential we topic. provides technologies. and to But can place on We the find to from that into to if come are Hyperconnect of try and leverage features great think

are more according as collaborative not plan, standpoint much to using-their-technology it, as and our well going to if standpoint, of ahead from apps, think I a it's we really have maybe tracking could across a much, expected. things from come, So but

Operator

next ISI. Khajuria The comes question from Shweta of Evercore

Shweta Khajuria

frame of coin? this Tinder XXXX just be expect on follow-up Tinder. call, think age-based you and your And you your like, on could the available. a you you you that or said future could would maybe look quick a And if impact talk for that don't So letter comments please you on markets kind talked what this can contribution pricing what then on great. about beyond, do expect detail Could comment about meaningful perhaps more also, is year. provide or XX earlier you in But

the how that, we payer So and impact think on should about revenue it's neutral? growth understood even

Shar Dubey

of engagement some Tinder monetization both jump And QX. testing currently products. a bunch Gary QX to Shweta, experiences. actions accelerate can and And start I'll and various existing sort and The to retention access going incentives. in. And the by coins testing is increased there's in Tinder Maybe revenue on globally we these the be use incentivizing XX increasing the out the seeing of rollout markets. are from with for are in core on, and plan cases also coins, certain is then

revenue, such power hoping economies we year, And meaningful it's as any contribution. that of the However, value of is its and able in hence, coins to to are to more is of goods. back virtual the contribution XXXX biggest that new to the half on to new the whole sort a ability a be not construct us XXXX-and-beyond test we're revenue counting

Gary Swidler

eliminated. In changing done been of large terms the first of has that in certain the all, is that like age-based and discount, markets that U.S., pricing for us

So big the now the in U.K. that's one QX in is happening

And pronounced And well. to have on from impact I changes. as of so markets a there's And are one. another through see. Zealand Asia And European to those that where then a you're there payers will make going is couple couple other be we in we a going U.K. QX that New change in to think move the that in

So handful. there's a

sure. notable that part will the we'll will of way for neutral, like that effect have said, revenue largely beginning be some it manage on QX, I but payers some in it a smaller, kind But outside into are at probably in be are larger. pronounced of QX. noticeable and impact Tinder of going But coming the U.S. payers continue is Some will on there a it we think year, in the to

Operator

next of question from The Mario Barclays. comes Lu

Mario Lu

and consider prompt, elaborate like made the chats. regards similarly, would have metaverse within more could to if I that inning particular? advances with And within what was live wondering, just looks dating Hinge's the in been smartphone, on video features hoping is technological voice phone the the dating? you like So what in you

Shar Dubey

shot take can I Yes. a that. at

not So the Right on metaverse the the any experiences. relates now, as focused experience you're it right. and on to hardware-enabled we're smartphone other

clarify. So that's to

that one us and today. experiences akin is shared to the in to profile-sorting way versus online where create that meet more experiences that can to each Now experience they exists how each in serendipitously through is life the more real our world real other, discover people time the that technology relevant a other, is allows would do

why a in so Metaverse same your to in music. virtual different others to sort us And Imagine our club we self that’s that's think of where They check walk the rooms. allows app and digital do the of sort around, live, relevant out listening can meet what world.

conversation You can strike a someone. up with

out You can check full tap profile. and their

You like them, message can them later.

envision -- in And so our the that's sort how of Metaverse context the leading and experience experience dating dating the we app. the to

on live, underlying of what on, right? the there have, that just additional to team technology, audio innovating low-latency the types locations these are the elements, a the -- the for the location of technology experiences, based on on. from is video what's pieces of virtual terms on in audio they been that's fraud so video, that technology Beyond instance, Hyperconnect and enable live needed everything are and based connection real-time human connections technology, technology also map, has Now -- this virtual

So hopefully that world. on clarity some you gives how thinking about Metaverse we're the

Operator

from Our Cory last JPMorgan. Carpenter question will of come

Cory Carpenter

I XXXX? how just Azar Hyperconnect. just stability about you're Could the December back a sustainability across in you thinking that bit And what drove through the to of to want circle the and talk apps? Live about more Hakuna

Gary Swidler

headwinds improvement on Yes. real in certainly said, versus October like despite get think FX mean, I we performance, it an some we their December, that I the November and did there. fact better saw

seeing we're being Hyperconnect Asian one. than Korea, Despite out more the Middle Azar was as show traction, COVID, a have that started where better markets. Asian Japan markets said, some think focusing things for Eastern some on of some the streaming better And rolling So on few of been performance. live that I of I've to markets, some we're the

that had adjusting the So on few we're now little while. starting we've both be for pay to product teams and off, focus. in We're side. on them the And this fronts, a as side on a helping well as focused to marketing seems

And product so they've to some with working. And features. seem be we're seeing That innovated improvement. new

of see QX and and back for now, QX come, fruit, side. stuff meaningful growth work in us start bear reacceleration initiatives the which So Right as going think for portfolio, doing start to QX across the as half And the a QX of Hyperconnect optimism still into some is and giving the we'll of they're is where all more do. that's we us that, course, relatively to into -- the performance on doesn't to outlook to And these more XXXX, flat year. our a in well. include great

feel very we to work more Hyperconnect's So focused it great And point. we and about this on scaling. at know how do, we're there's

Gary Swidler

I getting the we're close of think the bottom that to it, that's that hour. given

warm So spring out talking months forward great and summer. in really appreciate we'll everybody May, hope everyone forward joining in for this call. Thanks be a where to I much. to and looking stays well there, we you safe to very look the

Operator

The for now conference presentation, attending and disconnect. may Thank has concluded. you you today's now

Match (MTCH) 2 Feb 222021 Q4 Earnings call transcript