Bumble Inc (NASDAQ:BMBL) shares rose more than 36% to just shy of $4 in post-earnings trading after the dating-app company reported quarterly revenue results that topped analyst expectations and pointed to early signs of stabilization in its user base.
Bumble reported Q4 revenue of $224.2 million, slightly ahead of analysts’ estimates of $221.3 million.
However, the company reported a loss per share of $4.06, significantly missing analyst expectations of earnings per share of $0.23 by $4.29.
The company also generated higher spending from subscribers, with average revenue per paying user rising 7.9% year over year to $22.20.
At the same time, Bumble sharply reduced its advertising costs. Performance-marketing spending fell more than 80% compared with the same quarter a year earlier, reflecting a significant pullback in paid user-acquisition efforts.
Analysts at Jefferies described the quarter as broadly solid, noting that revenue, paying users and EBITDA all exceeded expectations. In a research note, the firm said the results showed “signs of payer declines improving.”
Jefferies said Bumble’s revenue fell about 15% year-over-year, which was slightly better than the roughly 16% decline expected by Wall Street, while net payer losses of about 160,000 quarter over quarter were smaller than the roughly 170,000 decline analysts had forecast.
The analysts also highlighted stronger-than-expected guidance for the current quarter. Bumble projected first-quarter EBITDA of $76 million to $80 million, well above the roughly $56 million analysts had expected. Jefferies sees the outlook as constructive even though management indicated margins could be temporarily elevated before marketing spending increases again later in the year.
Management also noted that app registrations and active-user trends have stabilized after a deliberate reset in 2025 aimed at improving the quality of the platform’s user base. Jefferies wrote that this stabilization occurred “while cutting marketing budget and without meaningful product launches,” suggesting payer trends could improve further once marketing and product initiatives pick up.
Despite the stronger results, Jefferies maintained a cautious stance. The firm reiterated a ‘Hold’ rating on Bumble and lowered its price target to $3.60 from $4.
“While early signs of stabilization are encouraging, we need to see a more sustained improvement to turn constructive,” the analysts wrote, adding that the online-dating sector continues to face structural industry headwinds.
Jefferies also said it is watching Bumble’s effort to rebuild its legacy technology stack, which the company expects will enable faster product development beginning later this year, potentially helping drive innovation in a category that has seen limited change since swipe-based dating apps became standard.