Slide 1: Safe Harbor Disclosure and Definitions
Safe Harbor Disclosure and Definitions 2 This presentation contains forward-looking statements. The use of words such as "anticipates," "estimates," "expects," "plans" and "believes," among others, generally identify forward-looking statements. These statements may include, among others, statements
Slide 2: Q1 2016 Results
Q1 2016 Results 3 Dating +78% Adjusted EBITDA ($M) 94% Growth Adjusted EBITDA Margin +9 pts. Dating at 26%; +8pts. Revenue ($M) 21% Growth Dating +24% 14% 23% Q1'15 Q1'16 $33.3 $64.6 Q1'15 Q1'16 $210.1 $260.4 $24.9 $24.9 $235.1 $285.3 Q1'15 Q1'16 Dating Non-Dating
Slide 3: Q1 2016 Results Pro Forma for PlentyOfFish Acquisition
Q1 2016 Results Pro Forma for PlentyOfFish Acquisition1 4 Dating +42% Adjusted EBITDA ($M) 51% Growth Adjusted EBITDA Margin +6 pts. Dating at 27%; +5pts. Revenue ($M) 14% Growth Dating +16% Derived from the historical unaudited financials for Match Group and PlentyOfFish 18% 24% Q1'15 Q1'16 $45.3 $
Slide 4: Average PMC Trends
Average PMC Trends 5 “Non-strategic brands” is comprised of the totals for Chemistry, Date Hookup, HowAboutWe, and Speed Date Strong PMC growth at Tinder and POF Match US slightly better, and Match Affinity and OkCupid slightly weaker, than expected Non-strategic brands1 declined by 38k Average PMC
Slide 5: Continued Global Growth and Monetization Success at Tinder
Continued Global Growth and Monetization Success at Tinder 6 Solid MAU growth in both N.A. and International Passed 1M PMC in Q1 -- on pace to double PMC in 2016 Continued strength in user engagement Successfully rolled out first “a la carte” paid feature Robust product pipeline Expanded leadership
Slide 6: Multi-year Mobile Impact on Formerly "Desktop" Brands (N.A.)
Multi-year Mobile Impact on Formerly “Desktop” Brands (N.A.) 7 “Brand Registrations” are registrations not attributable to any specific marketing channel Includes Match US, Match Affinity, OkC and POF. “Mobile” includes Mobile Web, Android app, and iPhone app Based on Q1 ’16 30-day conversion of bra
Slide 7: Meetic Turnaround Case Study being replicated at N. America business
Meetic Turnaround Case Study 8 being replicated at N. America business Faced execution challenges in 2015 including senior management turnover and distraction of platform rebuild Management solidified, technology project largely behind us NA Y-o-Y Net Adds turned corner in Q3 2015 (similar to Meetic
Slide 8: Key Metric Trends by Age Segments
% of Regs Under 35 % of PMC Under 35 FY 2013 Q1’16 FY 2013 Q1’16 Match 45% 45% 41% 38% Match Affinity 18% 22% 8% 9% OKCupid* 79% 75% 69% 60% POF (Pro Forma) 62% 62% 43% 42% Total 55% 51% 36% 35% Key Metric Trends by Age Segments 9 Includes North America results for Match, Match Affinity, OkCupid, Ti
Slide 9: ARPPU and Contribution Dynamics
Regional ARPPU Trends Brand ARPPU Trends ARPPU 55% Acquisition Cost Per Paid Member 26% Lifetime Contribution Per Paid Member 89% ARPPU and Contribution Dynamics 10 Match NA, Match Affinity, and Meetic (Meetic figures presented on a constant currency basis) Tinder, PlentyOfFish (Pro Forma), and OkCu
Slide 10: Princeton Review
Q1 Revenue impacted by 42% decline in SAT revenue, driven by continuing effect of new test format (revenue increased 11% ex-SAT) EBITDA improvement driven by shift to higher margin services and G&A reduction Long-Term Strategy Transform cost structure as test prep business migrates online, allowing
Slide 11: Outlook
Outlook 12 Forecast Updates Slower Indirect Revenue ramp, primarily at Tinder, as new ad leadership resets schedule for roll out of new formats, tech, targeting and analytics Higher headcount investment at Tinder Stronger Direct Revenue performance driven by Tinder a la carte and Match US performanc
Slide 12: Outlook
Outlook = Forecast Updates Slower Indirect Revenue ramp, primarily at Tinder, as new ad leadership resets schedule for roll out of new formats, tech, targeting and analytics Higher headcount investment at Tinder Stronger Direct Revenue performance driven by Tinder a la carte and Match US performance
Slide 13: Q1 2016 Operating Income to Adjusted EBITDA Walk
14 Q1 2016 Operating Income to Adjusted EBITDA Walk $29.2M $64.6M $3.2M $8.3M $6.5M $17.5M $0.0M $10.0M $20.0M $30.0M $40.0M $50.0M $60.0M $70.0M GAAP Measure - Operating Income Acquisition-related fair value adjustment Amortization of intangibles Depreciation Stock-based compensation Adjusted EBITD
Slide 14: Q1 2016 Operating Income to Adjusted EBITDA Walk
Q1 2016 Operating Income to Adjusted EBITDA Walk $70.0M oo souem ssoam - El _ $30.0M_ —$3.2M 200m s1o0m soam GAAP Measure- —_Acquisition-related Amortization of Depreciation ‘Stock-based Adjusted EBITDA Operating Income fair value adjustment intangibles compensation or 7 I Cretan imataraue MAEM ovor