Grindr (NYSE:GRND) Issues Quarterly Earnings Results

Key Points

• Grindr’s third-quarter revenue rose 22% to $141.38 million, beating estimates, but EPS of $0.12 missed the $0.18 consensus.
• The company raised its 2026 outlook to at least $560 million in revenue and gave initial 2027 guidance of at least $705 million in revenue.
• Grindr’s AI-powered Edge tier launches globally November 17; nearly 400,000 users registered for early access in 72 hours, though management expects adoption to build gradually.

Grindr (NYSE:GRND - Get Free Report) issued its earnings results on Thursday. The company reported $0.12 earnings per share for the quarter, missing analysts' consensus estimates of $0.18 by ($0.06), FiscalAI reports. Grindr had a return on equity of 357.13% and a net margin of 18.75%. The business had revenue of $141.38 million for the quarter, compared to analyst estimates of $135.77 million.

Here are the key takeaways from Grindr's conference call:

• Q3 revenue rose 22% to $141 million, with Adjusted EBITDA of $62 million and a 44% margin. Grindr raised 2026 guidance to at least $560 million in revenue and $236 million in Adjusted EBITDA, and projected 2027 revenue of at least $705 million and Adjusted EBITDA of at least $275 million.
• Grindr’s AI-powered Edge tier launches globally November 17 at an introductory $120 per month; nearly 400,000 users registered for early access within 72 hours. Management sees a long-term $100 million–$150 million revenue opportunity, while emphasizing that adoption will be gradual and membership will initially be capped.
• Following its acquisition of PurposeMed, Grindr plans to integrate Freddie and expand its U.S. pharmacy capacity before accelerating patient growth. Management expects about 12,000 U.S. patients by year-end and estimates that 50,000 patients could eventually generate roughly $240 million in annual revenue and nearly $100 million in Adjusted EBITDA, but said reaching that scale will take time.
• Management expects advertising growth to moderate in 2027, with ads returning toward 15%–16% of total revenue from the current 18%–19% range. The acquisition also removes about $10 million of telehealth advertising revenue that Grindr generated this year.

Grindr Stock Down 0.3%

NYSE:GRND traded down $0.04 during trading hours on Friday, hitting $13.60. 3,739,068 shares of the stock traded hands, compared to its average volume of 1,842,335. The firm has a market cap of $2.36 billion, a price-to-earnings ratio of 27.21 and a beta of 0.23. Grindr has a fifty-two week low of $9.73 and a fifty-two week high of $18.50. The company has a current ratio of 1.10, a quick ratio of 1.10 and a debt-to-equity ratio of 442.30. The firm has a 50 day moving average price of $14.67 and a 200 day moving average price of $13.65.

Insider Buying and Selling

In other Grindr news, insider Zachary Katz sold 15,227 shares of Grindr stock in a transaction dated Wednesday, October 14th. The stock was sold at an average price of $15.23, for a total transaction of $231,907.21. Following the transaction, the insider owned 618,000 shares of the company's stock, valued at $9,412,140. The trade was a 2.40% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Daniel Baer sold 3,500 shares of the company's stock in a transaction dated Wednesday, August 19th. The shares were sold at an average price of $15.65, for a total value of $54,775.00. Following the completion of the transaction, the director owned 47,912 shares in the company, valued at $749,822.80. This represents a 6.81% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 1,518,727 shares of company stock valued at $22,055,758. Corporate insiders own 60.90% of the company's stock.

Grindr News Roundup

Here are the key news stories impacting Grindr this week:

• Positive Sentiment: Q3 revenue rose 22% year over year to $141.4 million, beating the roughly $135.8 million consensus estimate. Grindr also raised its 2026 revenue outlook to at least $560 million, above the approximately $542.7 million consensus. Grindr Q3 results and outlook
• Positive Sentiment: The company’s initial 2027 outlook calls for at least $705 million in revenue, with growth initiatives including its Edge and Freddie offerings. Edge early-access registration reportedly reached 400,000 users in 72 hours, suggesting meaningful initial interest. Grindr 2027 outlook Long-term investor takeaways
• Neutral Sentiment: CEO involvement in a Reddit AMA drew substantial attention, including a question about a data breach. The article highlights the question but does not establish that a breach occurred. Grindr CEO Reddit AMA
• Negative Sentiment: Q3 EPS was $0.12, below the $0.18 analyst consensus. The earnings miss could temper the otherwise favorable reaction to revenue growth and raised guidance. Grindr earnings report

Wall Street Analyst Weigh In

Several equities analysts have recently commented on the stock. Weiss Ratings restated a "hold (c)" rating on shares of Grindr in a research report on Wednesday. Raymond James Financial reiterated an "outperform" rating on shares of Grindr in a report on Friday, August 7th. Wall Street Zen lowered shares of Grindr from a "buy" rating to a "hold" rating in a research note on Saturday, August 1st. Morgan Stanley restated an "overweight" rating on shares of Grindr in a report on Tuesday, September 8th. Finally, The Goldman Sachs Group restated a "buy" rating and issued a $20.00 price target on shares of Grindr in a research report on Friday. Six research analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $20.20.

Grindr Company Profile

Grindr Inc NYSE: GRND operates a social networking and dating platform designed primarily for the LGBTQ+ community. Its mobile application helps users discover and connect with people nearby, communicate through messaging, and build social and dating relationships.

The company offers a free, advertising-supported version of its app along with subscription services that provide additional features, including expanded browsing and communication capabilities. Grindr also provides related digital products and services intended to support user interaction and engagement on its platform.

Founded in 2009, Grindr serves users in markets around the world and has developed one of the largest global LGBTQ+ social networking communities.

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