Bumble Inc (NASDAQ:BMBL) shed almost a third of its value overnight after slashing revenue forecasts and stoking fears that an overhaul of the dating app had failed to prompt growth.
Shares fell 30.5% to US$5.60 in extended trading after the update in second-quarter results.
This saw expectations for annual revenue growth cut to between 1% and 2%, against 8% to 11% previously.
“It’s evident that to reignite the user growth engine for Bumble in the long term, we need to take a firm stance towards delivering customer value that goes beyond this launch,” chief executive Lidiane Jones commented.
The Bumble update had seen new features introduced, including an “opening moves” tool allowing women to list questions for potential matches to reply to.
Jones noted the refresh had led to “better women’s experiences and improved engagement,” though the assurance was not enough to convince investors as second-quarter figures also missed expectations.
Revenue climbed 3.4% to US$268.6 million over the three months to June, below consensus expectations for US$273 million.
Guidance for third-quarter revenue sat below expectations too, at between US$269 million and US$275 million, against analysts' US$296.1 million.