MTCH: More of the Same

(NASDAQ:MTCH) Match Group Presents Q4 FY23 Results

Match Group Inc

Weighting as of writing: 2%

25th February 2024 - FY23 Results

On January 30th, Match Group released earnings for the fiscal year 2023. There were bright spots to pick out from this mediocre report but ultimately felt like more of the same. Sentiment is especially poor. Post-pandemic, performance has been lethargic. As the company migrates through unfavourable KPI trends (notably, a significant decline in payers) the share price has sulked. Since 2023, the S&P 500, which MTCH is a constituent of, has hit new highs and returned 35% compared to a decline of 11% for MatchGroup.

Key points from the report:

• Revenue for FY23 of $3.36 billion (+5.5%) decelerates but is achieved on the back of an 8.5% decline in operating expenses ($2.45 billion).

• Payers continue to decline, down 5.5% in 2023, to 15.12 million.

  • Guidance implies Tinder payers may revert in H2.

• Record operating income ($916.9 million) grew by 78% YoY, or 7.6% vs 2021 levels.

  • Over 1,000 bps of margin expansion in FY23, how…