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Grindr Inc. (GRND0.00%) has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing reports revenue of $89.3 million for the quarter, an increase from $70.3 million in the same period the previous year. This growth is attributed to an increase in both direct and indirect revenues.
Direct revenue, primarily from subscriptions and premium add-ons, was $76.9 million, up from $61.6 million in the prior year period. Indirect revenue, including advertising, increased to $12.4 million from $8.7 million.
Cost of revenue increased to $22.9 million from $18.2 million, primarily due to higher app store distribution fees and infrastructure costs.
Selling, general, and administrative expenses rose to $25.0 million from $16.4 million, driven by higher personnel-related costs, including stock-based compensation and marketing expenses.
Product development expenses decreased to $8.8 million from $13.3 million, largely due to reduced personnel expenses following a severance expense in the prior year.
Grindr reported a net income of $24.7 million for the quarter, compared to a net loss of $0.4 million in the previous year. This improvement is largely due to increased revenue and a gain in the fair value of warrant liabilities.
The company recorded an income tax provision of $5.6 million, up from $1.3 million, reflecting changes in income and tax rate computations.
Adjusted EBITDA for the quarter was $40.1 million, up from $32.6 million, resulting in an Adjusted EBITDA margin of 44.9%.
Cash provided by operating activities was $29.1 million, and free cash flow was $27.9 million, reflecting strong operational performance.
The filing also discusses ongoing legal proceedings, including a Norwegian Data Protection Authority matter and a class action in Israel, which are not expected to have a material adverse effect on the company.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Grindr Inc. quarterly 10-Q report dated November 8, 2024. To report an error, please email earnings@qz.com.