Dating App Bumble Just Revealed This in a Regulatory Filing for an IPO

With how strong the IPO market has been, it is no surprise that dating app Bumble wants a piece of the action.

The company, which is backed by private equity firm Blackstone Group, made a regulatory
filing public last week that showed steady revenue growth and higher operating costs that resulted in a loss.

Bumble has identified a material weakness in its internal controls over financial reporting with the filing reading, “The deficiency we identified relates to a lack of defined processes and controls over information technology.”

The company said it is taking steps to fix the problem and is looking to hire an external adviser and strengthen its compliance and accounting functions with new hires.

Bumble says it has 42 million monthly active users as of the third quarter of 2020, and 2.4 million paying users in the nine months ended September.

For the period from Jan. 29 to Sept. 30, the company’s revenue came in at $376.6 million. It reported revenue of $362.6 million for the first nine months of 2019.

The company reported a net loss of $84.1 million during the January-September period of 2020 and reported a net profit of $68.6 million during the first nine months of 2019.

Bumble filed for an IPO of up to $100 million and plans to float its shares on the Nasdaq under the symbol “BMBL”.

Goldman Sachs and Citigroup are the lead underwriters of the offering.

Disclaimer: We have no position in any of the companies mentioned and have not been compensated for this article.