Bumble said Friday that founder Whitney Wolfe Herd will return as CEO in March, and the struggling dating app operator is on track to beat fourth-quarter revenue estimates. said.
Wolf Herd, Bumble's executive chairman, will take over from Lydiaan Jones, who is stepping down after about a year in office, with the company's stock plummeting nearly 50%.
After a post-pandemic boom, persistently high inflation and a lack of major new features are hurting the growth of dating app operators, including larger rival Tinder owner Match Group, as executives shake up their ranks. It led to
Last month, Bumble announced the departure of finance chief Anu Subramanian and marketing chief Selby Drummond, who played key roles in the company's 2021 initial public offering.
The company announced further changes on Friday, including appointing lead director Anne Mather as chair of the Bumble board.
The company also said fourth-quarter adjusted core earnings would be within the range previously disclosed.
The company's shares closed 1.6% lower at $7.70.
The company in November expected fourth-quarter sales of $256 million to $262 million and adjusted core earnings of $70 million to $73 million.
The outlook comes after quarterly sales fell for the first time since going public in 2021, warning that the company will need more time to boost its sluggish growth rate.
Bumble released a revamped Bumble app and new features last year, but the initiative has yet to gain traction, especially among Gen Z, a group important to advertisers.
