10-K: Match Group 2025 Annual Report: Hinge Soars, Tinder Declines, Azar Removed

Match Group's 2025 annual report reveals strong growth for Hinge, a continued decline for Tinder, and the significant removal of the Azar app from the Apple App Store, impacting MG Asia revenue.

Summary

• Total Revenue increased slightly by 0.2% to $3.487 billion in 2025 from $3.479 billion in 2024.
• Direct Revenue was flat at $3.415 billion in 2025, down from $3.418 billion in 2024.
• Indirect Revenue increased by 18% to $72.3 million in 2025 from $61.4 million in 2024.
• Tinder Direct Revenue declined 4% to $1.863 billion, driven by a 7% decrease in Payers, partially offset by a 3% increase in Revenue Per Payer (RPP).
• Hinge Direct Revenue grew 26% to $690.9 million, with Payers up 18% and RPP up 7%.
• Evergreen & Emerging (E&E) Direct Revenue declined 8% to $593.8 million, due to a 14% decrease in Payers, partially offset by an 8% increase in RPP.
• Match Group Asia (MG Asia) Direct Revenue declined 6% to $267.3 million, impacted by the shutdown of the Hakuna app in 2024 and the strength of the U.S. dollar against the Turkish Lira.
• Net income attributable to Match Group, Inc. shareholders increased 11% to $613.4 million in 2025 from $551.3 million in 2024.
• Adjusted EBITDA decreased 1% to $1.236 billion in 2025 from $1.252 billion in 2024.
• The Azar app was removed from the Apple App Store on February 22, 2026, following an update to Apple's App Review Guidelines, which is expected to negatively impact Azar's revenue and Adjusted EBITDA in 2026. Azar Direct Revenue was $155.8 million in 2025, with 76% from Apple's App Store.
• The company settled a legal case regarding Tinder's age-tiered pricing for $60.5 million in September 2025.
• A settlement with the FTC for $14.0 million related to certain E&E applications was made in Q3 2025.
• Employee headcount decreased by approximately 12% year-over-year due to an enterprise-wide initiative to leverage the portfolio approach and decrease operating costs.
• Cash and cash equivalents increased to $1.028 billion at December 31, 2025, from $966.0 million at December 31, 2024.
• Total long-term debt increased to $3.999 billion at December 31, 2025, from $3.875 billion at December 31, 2024.
• Repurchased 24.7 million shares for $788.8 million in 2025 under share repurchase programs.
• Declared a quarterly cash dividend of $0.19 per share in January 2025, totaling $186.3 million in 2025. A dividend of $0.20 per share was declared on February 3, 2026, payable April 21, 2026.

Sentiment

Score: 4

Explanation: StockSavvy.ai views this as a mixed filing with significant headwinds. While Hinge shows strong growth and the company is making strategic investments in AI and cost reduction, the continued decline of Tinder and the material impact of the Azar app removal from the Apple App Store present substantial challenges to overall revenue and profitability.

Positives

• Hinge demonstrated strong growth with Direct Revenue up 26% to $690.9 million, Payers increasing 18%, and RPP up 7%.
• Net income attributable to shareholders increased 11% year-over-year to $613.4 million.
• Indirect Revenue, primarily from advertising, increased by 18% to $72.3 million.
• The company realized savings in in-app purchase fees in 2025 compared to 2024, with significant further savings expected in 2026.
• Successful launch of Face Check, a facial verification feature, at Tinder in 2025, with plans for expansion to other brands.
• The $425 million Term Loan was repaid in full in January 2025, utilizing cash on hand.
• The U.S. government's 'One Big Beautiful Bill Act' resulted in a reduction of 2025 cash tax payments, with further reductions expected in 2026.
• Cash and cash equivalents increased by $61.8 million to $1.028 billion at year-end 2025.

Negatives

• Tinder, the largest revenue contributor, experienced a 4% decline in Direct Revenue to $1.863 billion and a 7% decrease in Payers.
• The Azar app, which contributed approximately 4% of consolidated revenue in 2025 (76% from Apple App Store), was removed from the Apple App Store on February 22, 2026, with an expected negative impact on 2026 revenue and Adjusted EBITDA for MG Asia.
• Adjusted EBITDA, a key profitability metric, declined by 1% year-over-year to $1.236 billion.
• General and administrative expenses increased significantly by 11% to $485.6 million, primarily due to legal settlements and severance.
• The company expects Tinder's revenue to continue decreasing in 2026 at a similar rate to 2025.
• Evergreen & Emerging Direct Revenue declined 8% to $593.8 million, with a 14% decrease in Payers.
• MG Asia Direct Revenue declined 6% to $267.3 million.
• A legal settlement of $60.5 million was incurred for Tinder's age-tiered pricing class action.
• A settlement of $14.0 million was made with the FTC related to certain E&E applications.
• Employee headcount decreased by approximately 12% year-over-year due to restructuring and cost reduction initiatives.
• Foreign currency exchange rate fluctuations negatively impacted revenue by $23.8 million in 2025.
• Expected decline in revenue from Emerging Brands as the product experience pivots away from a Swipe-based interface for affinity-based brands.

Risks

• Failure to retain existing users or add new users, or convert users to paying users, could significantly harm revenue, financial results, and business.
• The social connection app industry is highly competitive, with low switching costs and a consistent stream of new services and entrants, and innovation by competitors may disrupt the business.
• Restructuring and reorganization activities may be disruptive to operations and harm the business, and investments made with savings may not achieve intended results.
• Growth and profitability rely, in part, on the ability to attract and retain users through cost-effective marketing efforts, and failure in these efforts could adversely affect the business.
• Distribution and marketing of, and access to, services rely significantly on third-party platforms, particularly mobile app stores, which may limit features, change policies, or increase fees.
• Inappropriate actions by certain users could be attributed to the company or not adequately prevented, damaging brand reputations.
• Dependence on key personnel, with intense competition for well-qualified employees, particularly in senior leadership and technology roles.
• Operations are subject to volatile global economic conditions, especially those adversely impacting consumer confidence and spending behavior.
• Operational and financial risks in connection with acquisitions, including potential impairment charges related to goodwill and other intangible assets.
• Foreign currency exchange rate fluctuations have adversely affected and may in the future adversely affect results of operations.
• User metrics and other estimates are subject to inherent challenges in measurement, and real or perceived inaccuracies may adversely affect the business and reputation.
• The limited operating history of newer brands and services makes it difficult to evaluate current business and future prospects.
• Climate change may have a long-term adverse impact on the business, including infrastructure and political stability.
• Success depends, in part, on the integrity of internal and third-party systems and infrastructures, and the ability to enhance, expand, and adapt them in a timely and cost-effective manner.
• Systems and infrastructure may not be protected from cyberattacks, and cyberattacks experienced by third parties could adversely affect the company.
• Success of services depends, in part, on the ability to access, collect, and use personal data about users and subscribers.
• Breaches or unauthorized access of personal and confidential or sensitive user information may be costly to mitigate and harm reputation.
• Challenges with properly managing the use of AI could result in reputational harm, competitive harm, and legal liability.
• Risks related to credit card payments, including data security breaches and fraud.
• Use of open source software could subject proprietary software to general release, adversely affect ability to sell services, and lead to litigation.
• Business is subject to complex and evolving U.S., foreign, and international laws and regulations, including with respect to data privacy, platform liability, and AI.
• Failure to adequately protect intellectual property rights or accusations of infringing third-party intellectual property rights.
• Adverse outcomes in litigation to which the company is subject.
• Taxation related risks in multiple jurisdictions, including potential changes to tax laws and the Pillar Two minimum tax regime.
• Indebtedness may affect the ability to operate the business and incur additional indebtedness.
• Inability to generate sufficient cash to service all indebtedness may force other actions that may not be successful.
• Exchange of outstanding exchangeable notes may dilute ownership interests of existing stockholders or depress common stock price.
• Stockholders may experience dilution due to the issuance of additional securities in the future.
• Share repurchase programs may not be fully consummated or enhance long-term stockholder value, and stock price is subject to volatility.
• No assurance that cash dividends will continue to be declared.
• Provisions in the certificate of incorporation and bylaws or Delaware law may discourage, delay, or prevent a change of control or changes in management.

Future Outlook

Tinder expects revenue to decrease in 2026 at a similar rate to 2025. Hinge anticipates further geographic expansion in South America and India in 2026, accompanied by continued investments in product development and marketing. Match Group Asia (MG Asia) Direct Revenue is projected to decline year-over-year in the high-single-digits on a percentage basis in 2026, with Azar Direct Revenue declining at a similar rate and Azar Adjusted EBITDA margin in the low-to-mid 20%s, primarily due to the Azar app removal. The company expects to realize significant in-app purchase fee savings in 2026 compared to 2025. Recruiting efforts in 2026 will focus on critical technical functions like software and product, and specialized talent for innovation and AI initiatives. Cash capital expenditures for 2026 are expected to be between $55 million and $65 million, flat to 2025. A reduction in cash tax payments is also expected for 2026 due to the One Big Beautiful Bill Act. The company intends to continue paying a quarterly cash dividend, subject to board discretion.

Management Comments

• Our goal is to spark meaningful connections for every single person worldwide.
• We believe that technologies that bring people together serve as a natural extension of the traditional means of meeting people and provide a number of benefits for users.
• We believe an effective portfolio strategy begins with an understanding of the challenges individuals face when seeking connection today.
• We strive to empower individual leaders to grow their respective brands. Our brands compete with each other and with third-party businesses on brand characteristics, service features, and business models. However, we also work to apply a centralized discipline and share best practices across our brands in order to quickly introduce new services and features, optimize marketing, increase growth, reduce costs, improve user safety, and maximize profitability—an approach we call One MG.
• We believe that our approach to talent has been instrumental in our growth and has made Match Group a desirable destination for current and future employees.
• We believe we have strong defenses to these claims and will defend vigorously against them.

Industry Context

StockSavvy.ai notes that the social connection app market remains fragmented, with no single dominant global brand, reflecting diverse consumer preferences influenced by demographics, geography, culture, religion, and intent. The increasing integration of technology into daily life continues to erode stigmas associated with digital connections, expanding the addressable market. The industry faces intense competition from other online dating platforms, social media giants (Meta, Snap, TikTok), and traditional meeting methods, necessitating continuous innovation in features, safety, and monetization strategies. The reliance on mobile app stores (Apple, Google) for distribution and monetization presents ongoing regulatory and fee-related challenges, as evidenced by the Digital Markets Act in the EU and legislative actions in other jurisdictions. The rapid evolution of AI technologies is both an opportunity for enhanced user experience and a risk due to potential misuse and evolving regulatory landscapes.

Comparison to Industry Standards

• StockSavvy.ai observes that Match Group's portfolio strategy, encompassing brands from 'Fun' (Tinder) to 'Focus' (Hinge) and 'Familiarity' (affinity-based apps), aims to address the fragmented market for social connection apps. This contrasts with single-brand competitors or broader social media platforms like Facebook Dating, which leverage existing massive user bases.
• Hinge's 26% direct revenue growth and 18% payer increase in 2025 demonstrate strong performance, potentially outperforming some industry peers focused on more casual dating, by targeting 'intentioned daters.'
• Tinder's 4% direct revenue decline and 7% payer decrease indicate ongoing challenges in a highly competitive segment, where other apps or new features from social media platforms might be gaining traction among younger demographics.
• The removal of Azar from the Apple App Store highlights the significant platform risk faced by app developers, a common industry challenge, and could lead to a substantial revenue impact for the affected brand, similar to how other apps have been impacted by platform policy changes.
• The company's investment in AI for user relevance, matching, and safety features like Face Check aligns with broader industry trends of leveraging advanced technology to enhance user experience and trust, a critical differentiator in the dating app space.

Management Changes

Corporate Governance

Legal Proceedings

• Tinder Age-Tiered Pricing Class Action: A state-wide class action in California alleging violation of Unruh Civil Rights Act by charging users over age 29 higher prices for Tinder Plus/Gold. Settled for $60.5 million in September 2025, preliminarily approved January 13, 2026.
• Irish Data Protection Commission (DPC) Inquiry: DPC inquiry into Tinder's GDPR compliance regarding access/deletion requests and data retention policies. Preliminary draft decision in January 2024 alleged violations. Company believes it has strong defenses; potential exposure between nominal amount and $60 million.
• FTC Investigation of Subsidiary Data Privacy: FTC issued CID in March 2020 regarding OkCupid's alleged wrongful conduct in 2014 and public statements in 2019. Settled for $14.0 million in Q3 2025.
• Meslage Securities Class Action: Filed November 2024, alleging Match Group understated Tinder challenges. Voluntarily dismissed without prejudice in September 2025.
• Related Derivative Actions: Multiple derivative complaints filed in December 2024 and August 2025, alleging federal securities law violations and breach of fiduciary duty related to the Meslage class action. One dismissed with prejudice in September 2025; company believes it has strong defenses for the others.
• Netherlands Privacy Class Action: Filed December 2024 against MTCH Technologies Services Limited and Match Group, Inc., alleging unlawful collection, processing, and sharing of Dutch Tinder users' personal data in violation of GDPR and Dutch consumer protection laws. Company filed motion contesting jurisdiction in May 2025 and believes it has strong defenses.

Stakeholder Impact

• Shareholders: Impacted by stock price volatility, share repurchase programs, dividend payments, potential dilution from exchangeable notes, and outcomes of legal proceedings.
• Employees: Affected by headcount reductions (12% decrease), restructuring, and changes in work environments. Benefit from competitive compensation, stock-based awards, and career development programs.
• Customers (Users): Impacted by changes in app features, trust and safety initiatives (e.g., Face Check), pricing strategies, and the availability of services (e.g., Azar app removal).
• Regulatory Authorities: Engaged in ongoing inquiries and investigations (e.g., Irish DPC, FTC), influencing business practices and potentially leading to fines or settlements.
• Third-Party Platforms (Apple, Google): Their policies and fee structures significantly impact Match Group's distribution, monetization, and access to user data.

Next Steps

• Evaluate potential modifications to the Azar app to gain reinstatement to the Apple App Store.
• Continue to monitor future developments regarding the Azar app's operation and potential changes to the service.
• Evaluate the need for asset impairment charges related to Azar's intangible assets, capitalized software, and goodwill during Q1 2026.
• Focus recruiting on critical technical functions (software, product) and specialized talent to support innovation and AI initiatives in 2026.
• Continue to make investments in Hinge's business to support its growth, including product development and marketing, with further geographic expansion in South America and India expected in 2026.
• Continue to optimize monetization strategies while maintaining positive user experiences.
• Monitor future developments regarding the OECD's Pillar Two minimum tax regime and the newly-introduced side-by-side safe harbor.
• Continue to monitor interpretive guidance related to the One Big Beautiful Bill Act.
• Continue to pay a quarterly cash dividend, subject to board discretion.
• The partnership with Google is set to expire in Q1 2027, requiring future negotiations or adjustments to fees.
• The Board of Directors will cease to be classified after the 2028 annual meeting of stockholders.

Key Dates

Recommendation

Match Group presents a mixed financial picture. While Hinge demonstrates impressive growth and the company is actively managing costs and investing in AI, the persistent decline in Tinder's user base and revenue, coupled with the significant and immediate impact of the Azar app's removal from the Apple App Store, create substantial near-term uncertainty. The legal settlements, though resolved, highlight ongoing regulatory scrutiny. The strategic pivot and investments in user safety and AI are positive long-term initiatives, but their impact on overall growth and profitability remains to be seen. Given the strong performance of Hinge offset by the challenges in Tinder and MG Asia, a 'Hold' recommendation is appropriate, suggesting investors monitor the execution of the company's strategy and the performance of its key brands.

Keywords

Dating apps, Social connection, Tinder, Hinge, Match Group, Online dating, Freemium model, Subscriptions, In-app purchases, Artificial intelligence, User growth, Revenue, Adjusted EBITDA, SEC filing, 10-K, Financial results, Corporate governance, Risk management, Cybersecurity, Legal proceedings, Share repurchase, Dividends, Capital structure, Azar app, Apple App Store, Google Play Store