Slide 1: Shareholder Letter Third Quarter 2023
Shareholder Letter Third Quarter 2023 November 13, 2023
Slide 2: Dear Shareholders
Dear Shareholders, I am very proud of our exceptional results in Q3’23. As we’ve shared these past several quarters, our focus has been on improving the user experience and driving monetization through greater conversion with new paid offerings. We will continue to deliver on both fronts while setti
Slide 3: Return to office, headcount and new leaders
Returning to the office on a hybrid basis was crucial to this change. I wrote recently about the significant benefits that can be achieved when a team works together in person. In Q2 our leadership team decided Grindr would move to a hybrid work model, involving a return to in-office work, and in Au
Slide 4: Q3 Accomplishments + Strategic Progress
Q3 Accomplishments + Strategic Progress In Q3’23 Grindr delivered strong progress on each of its 2023 strategic priorities, particularly driving monetization and planning for future growth. Please see updates below. Improving the User Experience The Grindr app continues to improve as we invest in a
Slide 5: Planning for Future Growth
Planning for Future Growth Grindr’s innovative combination of social networking with geolocation offers significant untapped upside in product development, and we have spent the past several quarters developing new ideas to help our users connect across the world. One such new feature we have tested
Slide 6: Q3 Financial + Operating Performance
Q3 Financial + Operating Performance We had a remarkable quarter financially and in key user metric trends, driven by continued Q3 2023 Highlights momentum in our subscription offerings, especially our Weekly 962k avg. paying users subscription, and our enhanced +18% YoY growth Boost a la carte offe
Slide 7: Revenue, Operating Expenses, Operating Income
Revenue Q3 revenue of $70.3 million was up 39% year-over-year from $50.4 million, driven by strong sales of our subscription and a la carte products. Direct Revenue increased by 43% year-over- year to $61.6 million. Indirect Revenue was up 21% year-over-year to $8.7 million. Operating Expenses Opera
Slide 8: Performance Metrics and 2023 Guidance
Performance Metrics Q3 2023 Average Paying Users 962k Average Paying User Penetration 7.1% Average MAU 13.5m ARPPU $21.33 Guidance 2023 Full Year 31%+ revenue growth 41%+ adjusted EBITDA margin up from 28%+ Conference Call Grindr will host a conference call to discuss these results at 2:00 p.m. Paci
Slide 9: Condensed Consolidated Balance Sheets (unaudited)
Condensed Consolidated Balance Sheets Table of Contents (unaudited) Grindr Inc. and subsidiaries Condensed Consolidated Balance Sheets (unaudited) (in (in thousands, exceptshare thousands, except sharedata) data) September 30, December 31, 2023 2022 Assets Current Assets Cash and cash equivalents...
Slide 10: Consolidated Statements of Operations and Comprehensive Loss
Consolidated Statements of Operations and Table of Contents Comprehensive (Loss) Income (unaudited) Grindr Inc. and Subsidiaries Consolidated Statements of Operations and Comprehensive Loss (unaudited) (in thousands, (in exceptper thousands, except pershare shareand data) share data) Three Months En
Slide 11: Consolidated Statements of Cash Flows (unaudited)
Table of Contents Consolidated Statements of Cash Flows Grindr Inc. and subsidiaries (unaudited) Condensed Consolidated Statements of Cash Flows (unaudited) (in thousands) (in thousands) Nine Months Ended September 30, 2023 2022 Operating activities Net loss .........................................
Slide 12: Reconciliation of Net Loss to Adjusted EBITDA
Table of Contents Reconciliation Grindr Inc. and subsidiaries of Net Income to Adjusted EBITDA (unaudited) Reconciliation of net loss to adjusted EBITDA (unaudited) (in thousands) Three Months Ended Nine Months Ended September 30, September 30, ($ in thousands) 2023 2022 2023 2022 Reconciliation of
Slide 13: Forward Looking Statements
Forward Looking Statements This letter contains “forward looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995 regarding Grindr’s current views with respect to our industry, operations and future business plans an
Slide 14: About Non-GAAP / About Grindr
About Non-GAAP Grindr uses Adjusted EBITDA and Adjusted EBITDA margin, which are non-GAAP measures, to understand and evaluate our core operating performance. These non-GAAP financial measures, which may differ from similarly titled measures used by other companies, are presented to enhance investor
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