Match Group — Feb 4, 2025 release

shareholders’ equity (63,659) (19,548) Noncontrolling interests 2  475  Total shareholders’ equity (63,657) (19,073) TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY $ 4,465,771  $ 4,507,886  10 Consolidated Statement of Cash Flows   Years Ended December 31,   2024 2023   (In thousands) Cash flows from operating activities: Net earnings $ 551,313  $ 651,472  Adjustments to reconcile net earnings to net cash provided by operating activities: Stock-based compensation expense 267,381  232,099  Depreciation 87,499  61,807  Impairments and amortization of intangibles 74,175  47,731  Deferred income taxes (14,952) 26,612  Other adjustments, net 2,019  9,932  Changes in assets and liabilities Accounts receivable (29,788) (107,412) Other assets 25,337  25,055  Accounts payable and other liabilities (9,395) (5,961) Income taxes payable and receivable 22,213  (3,337) Deferred revenue (43,083) (41,207) Net cash provided by operating activities 932,719  896,791  Cash flows from investing activities:     Capital expenditures (50,578) (67,412) Other, net (7,960) (9,169) Net cash used in investing activities (58,538) (76,581) Cash flows from financing activities:     Proceeds from issuance of common stock pursuant to stock-based awards 13,584  19,916  Withholding taxes paid on behalf of employees on net settled stock-based awards (11,441) (5,933) Purchase of treasury stock (752,674) (546,198) Purchase of noncontrolling interests (1,291) (1,872) Other, net (6,482) 19  Net cash used in financing activities (758,304) (534,068) Total cash provided 115,877  286,142  Effect of exchange rate changes on cash, cash equivalents, and restricted cash (12,324) 3,782  Net increase in cash, cash equivalents, and restricted cash 103,553  289,924  Cash, cash equivalents, and restricted cash at beginning of period 862,440  572,516  Cash, cash equivalents, and restricted cash at end of period $ 965,993  $ 862,440  11 Reconciliations of GAAP to Non-GAAP Measures Reconciliation of Operating Income (Loss) to Adjusted Operating Income Three Months Ended December 31, 2024 Tinder Hinge E&E MG Asia Corporate & unallocated costs Eliminations Total Match Group (Dollars in thousands) Operating Income (Loss) $ 226,346  $ 30,556  $ 26,021  $ (418) $ (59,117) $ —  $ 223,388  Stock-based compensation expense 23,584  12,695  12,944  5,135  14,848  —  69,206  Depreciation 9,235  621  5,822  3,877  1,029  —  20,584  Amortization of intangibles —  —  3,471  7,295  —  —  10,766  Adjusted Operating Income (Loss) $ 259,165  $ 43,872  $ 48,258  $ 15,889  $ (43,240) $ —  $ 323,944  Revenue $ 488,341  $ 147,688  $ 158,094  $ 66,754  $ —  $ (701) $ 860,176  Operating Income (Loss) Margin 46  % 21  % 16  % (1) % NA NA 26  % Adjusted Operating Income Margin 53  % 30  % 31  % 24  % NA NA 38  % Three Months Ended December 31, 2023 Tinder Hinge E&E MG Asia Corporate & unallocated costs Eliminations Total Match Group (Dollars in thousands) Operating Income (Loss) $ 238,476  $ 26,855  $ 12,599  $ (6,539) $ (11,139) $ —  $ 260,252  Stock-based compensation expense 17,865  12,440  14,055  7,280  16,514  —  68,154  Depreciation 8,750  521  5,238  3,763  1,108  —  19,380  Amortization of intangibles —  —  5,457  8,353  —  —  13,810  Adjusted Operating Income $ 265,091  $ 39,816  $ 37,349  $ 12,857  $ 6,483  $ —  $ 361,596  Revenue $ 505,721  $ 116,136  $ 170,567  $ 73,804  $ —  $ —  $ 866,228  Operating Income (Loss) Margin 47  % 23  % 7  % (9) % NA NA 30  % Adjusted Operating Income Margin 52  % 34  % 22  % 17  % NA NA 42  % 12 Reconciliation of Operating Income (Loss) to Adjusted Operating Income (Continued) Year Ended December 31, 2024 Tinder Hinge E&E MG Asia Corporate & unallocated costs Eliminations Total Match Group (Dollars in thousands) Operating Income (Loss) $ 889,222  $ 121,482  $ 66,088  $ (32,345) $ (221,135) $ —  $ 823,312  Stock-based compensation expense 90,141  42,673  54,922  25,818  53,827  —  267,381  Depreciation 37,660  2,323  21,732  20,834  4,950  —  87,499  Impairments and amortization of intangibles —  —  27,676  46,499  —  —  74,175  Adjusted Operating Income (Loss) $ 1,017,023  $ 166,478  $ 170,418  $ 60,806  $ (162,358) $ —  $ 1,252,367  Revenue $ 1,991,137  $ 550,435  $ 654,168  $ 284,522  $ —  $ (889) $ 3,479,373  Operating Income (Loss) Margin 45  % 22  % 10  % (11) % NA NA 24  % Adjusted Operating Income Margin 51  % 30  % 26  % 21  % NA NA 36  % Year Ended December 31, 2023 Tinder Hinge E&E MG Asia Corporate & unallocated costs Eliminations Total Match Group (Dollars in thousands) Operating Income (Loss) $ 955,519  $ 74,261  $ 82,460  $ (8,675) $ (186,669) $ —  $ 916,896  Stock-based compensation expense 68,644  31,459  50,268  23,399  58,329  —  232,099  Depreciation 25,197  1,926  18,732  11,671  4,281  —  61,807  Impairments and amortization of intangibles —  —  12,336  35,395  —  —  47,731  Adjusted Operating Income (Loss) $ 1,049,360  $ 107,646  $ 163,796  $ 61,790  $ (124,059) $ —  $ 1,258,533  Revenue $ 1,963,610  $ 396,485  $ 700,925  $ 303,484  $ —  $ —  $ 3,364,504  Operating Income (Loss) Margin 49  % 19  % 12  % (3) % NA NA 27  % Adjusted Operating Income Margin 53  % 27  % 23  % 20  % NA NA 37  % 13 Reconciliation of Operating Income to Adjusted Operating Income used in Leverage Ratios Twelve months ended 12/31/2024 (In thousands) Operating Income 823,312  Stock-based compensation expense 267,381  Depreciation 87,499  Impairments and amortization of intangibles 74,175  Adjusted Operating Income $ 1,252,367  Reconciliation of Operating Cash Flow to Free Cash Flow Years Ended December 31, 2024 2023 (In thousands) Net cash provided by operating activities $ 932,719  $ 896,791  Capital expenditures (50,578) (67,412) Free Cash Flow $ 882,141  $ 829,379  Reconciliation of Forecasted Operating Income to Forecasted Adjusted Operating Income Three Months Ended March 31, 2025 Year Ended December 31, 2025 (In millions) Operating Income $155 to $160 $802 to $828 Stock-based compensation expense 70 305 to 315 Depreciation and impairments and amortization of intangibles 35 125 to 135 Adjusted Operating Income $260 to $265 $1,232 to $1,278 Revenue $820 to $830 $3,375 to $3,500 Operating Income Margin (at the mid-point of the ranges) 19  % 24  % Adjusted Operating Income Margin (at the mid-point of the ranges) 32  % 36.5  % Reconciliation of Forecasted Cash Provided by Operating Activities to Forecasted Free Cash Flow Year Ended December 31, 2025 (In millions) Net cash provided by operating activities $1,055 to $1,075 Capital expenditures 45-55 Free Cash Flow $1,000 to $1,030 14 Reconciliation of GAAP Revenue to Non-GAAP Revenue, Excluding Foreign Exchange Effects   Three Months Ended December 31, Years Ended December 31,   2024 $ Change % Change 2023 2024 $ Change % Change 2023   (Dollars in millions, rounding differences may occur) Total Revenue, as reported $ 860.2  $ (6.1) (1) % $ 866.2  $ 3,479.4  $ 114.9  3  % $ 3,364.5  Foreign exchange effects 14.8  73.8  Total Revenue, excluding foreign exchange effects $ 875.0  $ 8.8  1  % $ 866.2  $ 3,553.1  $ 188.6  6  % $ 3,364.5  Total Revenue, excluding Hakuna and other of our live streaming services, as reported $ 860.1  $ 8.6  1  % $ 851.5  $ 3,453.2  $ 154.8  5  % $ 3,298.5  Foreign exchange effects 14.9  72.7  Total Revenue, excluding Hakuna and other of our live streaming services, excluding foreign exchange effects $ 874.9  $ 23.4  3  % $ 851.5  $ 3,525.9  $ 227.5  7  % $ 3,298.5  Direct Revenue, as reported $ 845.4  $ (5.4) (1) % $ 850