Grindr (NYSE:GRND) reported what executives called an “exceptional year” in 2025, highlighted by 28% revenue growth to $440 million and roughly $196 million of Adjusted EBITDA, according to management’s fourth-quarter earnings call. CEO George Arison said the company advanced product engagement, expanded monetization, and pushed deeper into AI-enabled development and operations, while CFO John North pointed to strong margins, free cash flow generation, and an expanded share repurchase authorization.
2025 results: revenue up 28% and Adjusted EBITDA margin of 44%
North said full-year revenue increased 28% year-over-year to $440 million, while Adjusted EBITDA reached $196 million, representing a 44% margin. Net income totaled $103 million, which North contrasted with a 2024 loss that he said reflected a non-cash warrant liability revaluation.
North said revenue exceeded the company’s increased full-year guidance issued in November, citing continued strength in subscriptions and add-ons and “strong performance” in the company’s TPA business, which he said benefited from demand from partners and growing international markets.
Operating leverage, cash flow, and a larger buyback authorization
North highlighted operating leverage in the quarter, noting operating expenses excluding cost of revenue were $63 million, or 50% of revenue, down from 54% a year earlier. Operating income for the quarter was $31 million, or 25% of revenue. For the full year, operating expenses excluding cost of revenue were $201 million, or 46% of revenue, compared with 48% in 2024, with operating income of $126 million (29% of revenue).
On liquidity, North said the company ended the year with approximately $87 million of cash and cash equivalents and roughly $396 million in total gross debt. He reported 2025 free cash flow of $133 million, which he said supported investment and growth initiatives as well as share repurchases.
Management also announced a three-year, $400 million expansion of its share repurchase authorization and extended the program to March 2029. North said the company repurchased 25.1 million shares under the original $500 million authorization for about $450 million in 2025, with the remaining approximately $50 million rolling into the expanded program, bringing total repurchase availability to up to $450 million. He described the initial authorization as intended to offset expected dilution from the cash exercise of post-de-SPAC warrants, and said the company “cleared the warrant overhang” without increasing aggregate debt. Going forward, he said the pace of buybacks is expected to be “materially more measured.”
Product and monetization: pricing rollout, ads enhancements, and “raise the baseline” in 2026
Arison said 2025 performance was driven by a strong core business, including “the global expansion of Right Now” and launches such as For You, Chat Summaries, and A-List. He also cited work to strengthen XTRA and Unlimited, and ad monetization improvements including Rewarded Video.
Arison said Grindr began rolling out new pricing for XTRA and Unlimited in August after adding “a lot of new value” to both tiers over the past several years. In Q&A, he said the user base “accepted the price changes very well,” and that the company does not expect significant impact on conversion. He added that pricing changes are live for many users but not 100% globally, with rollout expected through the first half of 2026.
Looking ahead, Arison framed 2026 as a year to “raise the baseline,” aiming to make the company’s best execution periods in 2025 the default operating mode. He said the company will concentrate on four priorities:
- Premium AI experiences in EDGE, an AI-native premium tier for power users, with continued refinement and price testing.
- Durable core growth, including improvements to onboarding, translation, localization, personalization, intent clarity through AI, and strengthening the experience in lower-density and international markets.
- Operational rigor via “Grindr Mode”, clearer ownership, faster decisions, and AI embedded into everyday workflows across functions.
- Deliberate investment in team, platform foundations, ecosystem health, Grindr Health (anchored by Woodwork), and ads (with more focus on direct advertising and brand partnerships).
AI as an “operating advantage” and EDGE testing details
Arison emphasized AI as a structural advantage rather than a standalone feature. He said that in the fourth quarter, AI agents wrote between 60% and 70% of new code and that engineers reported roughly a 1.5x productivity improvement per person. In a later answer, he said the proportion of code written by AI was higher in January and expected to continue increasing.
On EDGE, Arison said the tier went live in the fourth quarter in Australia and received “extremely positive” feedback, with demand higher than expected. He said Grindr is conducting additional tests in certain U.S. and other global markets to determine pricing, with testing expected through the first half of 2026 and possibly into the third quarter.
North and Arison both said EDGE is not assumed in 2026 guidance; Arison characterized it as a foundation of growth in 2027, adding that any broader 2026 rollout beyond testing would be upside.
In describing the value users are seeing in EDGE, Arison pointed to features intended to help power users manage high message volume and improve discovery. He described A-List as using chat history to surface summaries of “the richest and the best conversations” and provide key details from prior chats and shared photos. He also described AI-driven insights designed to help EDGE subscribers decide whether to reach out to other users, as well as a Discover capability that he said can surface potential matches beyond immediate geography.
Metrics, 2026 outlook, and other initiatives
North said average MAU for 2025 was 15 million, average paying users were approximately 1.26 million, and ARPU was $24.25. He reiterated that the company will provide average MAU annually rather than quarterly going forward, while continuing to provide quarterly visibility on leading engagement indicators.
For 2026, North guided to revenue of greater than $528 million and Adjusted EBITDA of greater than $217 million, stating the company guides to what it has “clear line of sight to.” He added that early initiatives like EDGE and Woodwork are not included in the revenue outlook because the pace of growth is not yet predictable, though related investments and expenses are factored into Adjusted EBITDA. He also said the company expects first-quarter revenue growth and Adjusted EBITDA margin to pace ahead of full-year results due to early-year revenue momentum and the timing of planned investments.
On advertising, North said the advertising business was up 37% last year, and management discussed further enhancements including rewarded ads and more direct advertising. Arison also discussed marketing efforts aimed at increasing “love for Grindr,” and said the company sees opportunity to build brand awareness internationally.
Asked about Woodwork, Arison said it is treated as a startup inside Grindr and is not included in 2026 revenue guidance, though costs are included and he described them as modest. He said Woodwork launched in spring 2025, has served “thousands” of users and patients, began with ED and expanded beyond ED medications, and could add treatments over time. He also said the company is seeing synergy when offering Grindr subscriptions alongside Woodwork offerings.
Arison also addressed governance topics, saying the board views the matter as important, and that there is alignment among major stakeholders that remaining a public company is the best path. He said J. Michael Gearon, Jr. stepped into the Lead Independent Director role, and that the company added Chad Cohen as a director in May and is interviewing board candidates with support from two search firms ahead of a summer shareholder meeting.
About Grindr (NYSE:GRND)
Grindr, trading on the NYSE under the ticker symbol GRND, operates a global social networking and dating platform designed primarily for gay, bisexual, transgender and queer (GBTQ) individuals. The company’s core offering is a location-based mobile application that enables users to connect, chat and share content with others in their vicinity. Through its free tier and premium subscription services—known as Grindr XTRA and Grindr Unlimited—Grindr provides enhanced features such as ad-free browsing, advanced filters and unlimited profile views, catering to a broad spectrum of user needs.
Originally launched in 2009 by entrepreneur Joel Simkhai, Grindr was one of the first mobile apps to leverage geolocation technology for social networking.
