Bumble Inc.

Second quarter total revenue was $211 million versus $248 million a year ago; Bumble app revenue was $172 million versus $21 million a year ago; and new app and other revenue was $39 million versus $47 million a year ago. Adjusted EBITDA was $73 million, or 35% margin, compared with $95 million and 38% a year ago. Gross margin expanded roughly 380 basis points year over year, with cost of revenue at 26% of revenue versus 29%. GAAP net loss was $128 million, including a noncash impairment charge of $169 million. Cash flow remained strong, with $54 million of operating cash flow and $51 million of free cash flow in the quarter; year to date, operating cash flow was $131 million and free cash flow was $125 million; the company ended the quarter with $154 million of cash and equivalents. For Q3, Bumble expects total revenue of $205 million to $213 million, Bumble app revenue of $167 million to $173 million, and adjusted EBITDA of $56 million to $60 million, about 28% margin at the midpoint.

Whitney Wolfe Herd framed the quarter as part of a broader transformation, saying Bumble is rebuilding on a stronger foundation after improving member quality and that the path back to growth is now “in clear sight.” Her key strategic message was that growth will come from two levers: product innovation and brand/marketing investment, with a stronger free experience, simpler subscriptions, and more real-life and group-based social features. She sounded confident but acknowledged frustration with the slower-than-expected data migration, saying the company delayed by a couple of months to get it right and that the next interaction model is now expected to begin rolling out in very early 2027.

Kevin Cook said Q2 came in in the upper half of guidance for revenue and above the high end for adjusted EBITDA, and described the member base as stabilizing after the quality reset. He highlighted 35% adjusted EBITDA margin, 380 bps of gross margin expansion, and strong cash generation, including $54 million of operating cash flow, $51 million of free cash flow, and $154 million of cash and cash equivalents at quarter-end. He also said margins should normalize over the second half of 2026 as Bumble increases investment in technology, talent, and brand marketing, with Q3 adjusted EBITDA guided to $56 million to $60 million.

Analysts focused on two issues: what caused the tech stack delay and how much margin pressure will come from renewed marketing spend. Whitney said the delay was mainly due to the complexity and volume of data migration and stressed that the company would rather be late than rush a critical infrastructure change; she said the payoff will be much faster product shipping and better recommendations once the migration is complete. On margins, she said most of the step-down will come from strategic marketing tied to recapturing culture and younger users, while the company will still be careful not to spend just to spend. She also addressed the enhanced free offering question by saying Bumble is using strict guardrails on ARPU, revenue, and payer penetration, and early tests suggest more users exposed to premium-like features can increase willingness to pay later.