Hinge and Tinder's parent firm cuts workforce by 13%
What's the story
Match Group, the parent company of popular dating apps such as Tinder and Hinge, has announced plans to lay off 13% of its workforce.
The decision comes as part of a larger restructuring effort to cut costs and streamline operations.
The move is expected to impact around 325 employees, according to the company's annual filing as of December 2024, which reported a total staff count of around 2,500.
Leadership vision
CEO emphasizes unified company approach
Spencer Rascoff, who took over as CEO in February, said the restructuring is aimed at helping Match function as a single company and not as a group of independently managed brands.
This move suggests the company's focus on promoting unity and collaboration among its platforms.
The restructuring will also include closing open positions in the company.
Operational overhaul
Restructuring to centralize key functions
As part of the restructuring plan, the company will reduce management layers and centralize key functions like technology and data services, customer care, content moderation, media buying, and international go-to-market functions.
This is expected to streamline operations within the company.
Rascoff further said that these cost-cutting measures would help Match save over $100 million annually and about $45 million in 2025.
Financial performance
Match Group's Q1 revenue and user subscription drop
Along with the layoffs, Match also reported a 3% decline in first-quarter revenue to $831.2 million from the previous year.
The company attributed the decline to a 5% drop in the number of users who paid for a service or subscription.
Meanwhile, net profit also saw a year-on-year decline of 4.6%, amounting to $117.6 million for the same period.