Bumble Inc.

Thank you for standing by. Welcome to the Bumble second quarter 2021 financial results. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during today's session, you will need to press star 1 on your telephone. If you require any further assistance, please press star 0. I will now let the hand of conference over to your speaker today, Brynlee Johnson. Please go ahead.

Thank you for joining us to discuss Bumble's second quarter 2021 financial results. With me today is Whitney Wolf-Herd, founder and CEO, Tarek Shauket, president, and Anu Subramanian, CFO of Bumble. Before we begin, I'd like to remind everyone that certain statements may be made on this call today that are forward-looking statements. These forward-looking statements are subject to various risks and uncertainties and reflect our current expectations based on our beliefs, assumptions, and information currently available to us. Although we believe these expectations are reasonable, we undertake no obligation to revise any statements to reflect changes that occur after this call. Descriptions of these factors and other risks that could cause actual results to occur materially from these forward-looking statements are discussed in more detail in our filings with the SEC, including our annual report on Form 10-K for the year ended December 31, 2020, and our subsequent periodic filings. During the call, we also refer to certain non-GAAP financial measures, These non-GAAP measures should be considered in addition to and not as a substitute for or annihilation from our GAAP results. Reconciliations to the most comparable GAAP measures are available in today's earnings press release, which is available on our investor relations section for our website at ir.bumble.com. With that, I'll turn it over to Whitney.

Thank you, Brinley, and thank you all for joining us. I hope everyone tuning in today is staying healthy and well. Q2 was another excellent quarter for us. At the group level for Bumble Inc., we delivered strong results with total revenue of $186 million, up 38% year-over-year, and adjusted EBITDA of $52 million, representing a 28% margin. Bumble app revenue grew 55% year-over-year to $127 million, and Badoo app and other revenue grew 11% to $59 million. Our average paying users in Q2 increased 20% year over year to 2.9 million. Our excellent performance demonstrates that the need for love and relationships is more important than ever before. After a year and a half of the pandemic, more people than ever before now recognize the benefits, safety, and access that online dating provides. When COVID accelerates and loneliness climbs, people turn to us for connections And when markets reopen and the desire to meet new people in real life surges, Bumble Inc. helps people find new relationships quickly and safely. Despite the challenges that the world is facing with the Delta variant, we are continuing to see positive trends across our platforms, even in some of the most affected markets. For example, in Q2, we saw increasing engagement and activity, even with the spread of the Delta variant in India. And Bumble app monthly active users grew at over 60% year-over-year in that market. According to third-party sources, we have gained or maintained download share in most of our major markets for both Bumble app and the Do app in 2021. And in Q2, including download share gain in the U.S. for Bumble app. Our results in Q2 and the traction we are seeing in Q3 show that we are able to serve our users effectively as the world faces pandemic curves and also as markets reopen. While we continue to actively monitor the COVID situation in all of our markets around the world, we are confident in our performance for the rest of 2021, and I am pleased to say that we are increasing our full-year revenue guidance to 752 to 762 million, up from our previous high-end guide of 734 million, representing a year-on-year growth rate of 30% at the midpoint. This performance is driven by strong execution against the strategic priorities we outlined earlier this year, including our ongoing monetization efforts, rapid international expansion, re-engagement of users in our core markets, and retention and engagement improvements driven by product innovation and data science efforts. We are continuing to expand these efforts, including acceleration of Bumble app's global expansion, investment in the next generation of our friend-signing service, Bumble BFF, and rollout of two-tier pricing for the first time on Bidu, starting in Q3. Let me give you some details on performance by app. Starting with BumbleApp, BumbleApp had a very strong quarter, with revenue growing 55%, with growth coming both from paying users and our people. On a global basis in Q2, registrations and monthly active users on BumbleApp grew at the fastest year-over-year rate since the beginning of the pandemic. We also saw a 26% increase in re-engaged users and achieved record levels of daily active users in Q2. fueled by registration growth, customer reactivation, and material improvements in customer engagement and retention. Our teams continue to innovate to ensure that we are serving our users in the most forward-thinking, safe, and effective way possible. During the pandemic, women searching for serious relationships was at an all-time high, so we updated our onboarding process for those looking for more serious relationships, prompting members to create robust and more in-depth profiles to really increase the compatibility between two customers. We also partnered with Snap to bring augmented reality features into our video chat. And we extended our night-in trivia experience to India with high levels of engagement. The average time spent on the Bumble app increased by 10% in Q2, with time on the platform for women 24% higher than that for men, demonstrating the power of our woman-first model. It really leads to healthier and more balanced ecosystems for all users. Global expansion continues to be a major driver of Bumble apps growth. As the UK and Ireland started to reopen in Q2, we saw very rapid growth with user revenue growth of over 70% year-over-year, supported by our targeted local marketing efforts. the DOC region continues to be a major driver of growth, growing monthly active users by over 100%, and now representing our fourth highest revenue market, with revenue growing at over 200% year on year. Other parts of Western Europe, including France and the Benelux region, also continue to grow at a very rapid rate, as does our presence in Southeast Asia and India. We continue to be pleased with the progress we are seeing in our social discovery and friend-binding platform, BFF. Despite still being a V1 product, as of Q2, 10% of our Bumble apps' monthly active users are using BFF. Our teams are hard at work building the next generation BFF platform, and we expect our new product features to start rolling out over the next several months. The early results of our tests are encouraging and suggest strong user appetite for these new features that are under development. For example, on the first day of beta testing, our new interest feature on BFF, we saw an over 500% increase in users adding interest to their profile. We really look forward to providing more updates as we continue to advance our launch. So now let's turn to Badoo app and other revenue, which grew 11% year on year in Q2. Badoo app is a global scaled player operating in a large number of markets. including Eastern and Western Europe and Latin America. The pandemic is still a significant challenge to the broader population in many of these areas, and in particular to the Bidu user community, which is predominantly in the urban middle class and has faced economic pressures from COVID. While according to third-party sources, Bidu has maintained or gained download share in most of its major markets in Q2, and user growth, especially on our legacy web platforms, has been challenged under these conditions. However, we're pleased to report on many successes at Bidoo this quarter that fueled our double-digit growth. The Bidoo team has focused on improving monetization and user engagement, and many of our user engagement metrics are at their highest levels in over two years. Day one and week one retention and one of our core measures of user success, which we call good chats, have all increased in Q2. We've remained very focused on improving monetization and engagement and are seeing evidence of our efforts taking hold. Pair penetration is growing at healthy rates in many of our major markets, including a 40% increase in Brazil and a 34% increase in the United States. And we are starting to see user growth on iOS. For the second half of the year, we are focused on reintroducing Bidu to users as COVID conditions improve and on launching a range of new features and experiences tailored towards the changes in user behavior that have emerged during this pandemic. We look forward to continued improvement in Bidu as markets and economies recover from the pandemic conditions. Coming back up to the Bumble Inc. level, one of the key elements that makes us who we are is our focus on safety and accountability. This is not just a one-time investment or an initiative run out of a special silo. It is embedded in every aspect of our business. Last week, we announced an industry first, a partnership with Chan and Bloom to be the first dating app to provide trauma support to survivors of sexual assault. I cannot tell you how important this is to me and to our entire team, and it is something we hope that the entire dating industry will follow. We have been continuing to deploy our machine learning expertise to make the experience on our apps even better, even if faced with bad actors. In Q2, we made a major push with a new set of data analytics and machine learning models to improve the moderation of chats on Bidu, and we are very pleased with the results. We now catch more bad actors before a user experiences an issue, improving the quality of our experiences and reducing potential abuse. This is a continuing focus of ours across all of our brands. As we think about the future of Bumble Inc., our team remains focused on executing against our strategic priorities and long-term growth plan. Our group today consists of Bumble Apps, the woman's first app where women always make the first move, and Badoo Apps, where users can quickly and easily make real connections without pressure. Both are built on our foundation of engineering excellence and safety, accountability and kindness. We are looking to grow organically by leveraging our shared technology platform to build safe, kind, and accountable technology for new communities. We also see opportunities to acquire businesses consistent with our mission and values that can help us expand our presence, reaching new geographies and customer demographics. Bumble Inc.' 's mission of helping communities across the globe find healthy and equitable relationships through all stages of their lives supports a tremendous, very long-term opportunity, one we believe our brand can own. And with that, I want to say thank you so much for your time today, and I will now hand it over to our CFO, Anu.