Bumble has significantly lowered its annual revenue growth forecast to between 1% and 2%, down from a previous estimate of 8% to 11%, which has raised investor concerns and led to a dramatic 30% drop in its share price.

The company's stock has suffered a staggering 70% decline over the past year as Bumble struggles to attract younger users.

Following the downward revision of its full-year 2024 revenue outlook, Bumble's stock fell approximately 36% in premarket trading.

App revenue is now expected to increase by only 1.5% to 2.5%, a significant drop from the previously anticipated growth of 9% to 11%.

Despite an increase in total paying users, which rose by 13.9% to 4.1 million, Bumble's average revenue per paying user fell by 8% to $21.37.

In the second quarter, Bumble reported revenue of $268.6 million, which was below Wall Street's expectations of $273 million, marking a year-over-year increase of just 3.4%.

The company did report a profit per share of 22 cents, exceeding the estimated 13 cents, but plans to slow down certain monetization efforts, including the expansion of its Premium Plus subscription service.

CEO Lidiane Jones emphasized the need for Bumble to deliver long-term customer value to reignite user growth, despite early improvements in user engagement.

Bumble is shifting its strategy to focus on becoming the leading brand for women, particularly targeting millennial women, a move that analysts view positively.

In contrast to Bumble's struggles, competitor Match Group reported positive second-quarter results, benefiting from growth at Tinder and Hinge.

Bumble's shares dropped to an all-time low of $5.10, after hitting $4.80 earlier in the trading day, reflecting the market's reaction to the company's revised forecasts.