Grindr reports revenue growth driven by AI integration

Grindr reported second-quarter revenue of $138 million, a 33% increase year-over-year. Following these results, the company raised its full-year 2026 outlook, projecting revenue of approximately $540 million and adjusted EBITDA of approximately $232 million.

CEO George Arison attributed the growth to the integration of artificial intelligence across operations. The company reported that engineering output increased roughly 2.5 times between July 2025 and April 2026 by utilizing AI tools such as Cursor, Anthropic’s Claude, and Devin. Arison noted that achieving similar productivity without generative AI would have required an estimated 200 additional engineers, costing approximately $60 million annually.

Grindr is also testing Edge, an AI-powered premium service. In markets like New York, monthly access has been priced as high as $350. Early data shows broader adoption than expected, with conversions occurring from lower subscription tiers and non-paying users.

In related financial news, Director Daniel Brooks Baersold sold 3,500 shares at an average price of $15.65 under a pre-arranged Rule 10b5-1 trading plan. Analysts from Morgan Stanley and Goldman Sachs have maintained positive outlooks, with price targets of $20.00 and $19.00 respectively.