Match Group (MTCH) witnessed a staggering 8.91% pre-market plunge on Wednesday, following its mixed fourth-quarter earnings and a lackluster outlook for 2025. The dating app giant's struggles with user engagement, particularly on its flagship platform Tinder, weighed heavily on investor sentiment, overshadowing a new CEO appointment aimed at reviving growth through AI-driven innovations.

For the fourth quarter, Match Group reported revenue of $860.2 million, narrowly missing Wall Street's expectations of $858.7 million. More concerning, however, was the company's disappointing full-year 2025 revenue guidance range of $3.38 billion to $3.5 billion, trailing analysts' estimates of $3.5 billion.

Tinder, Match Group's crown jewel, faced significant headwinds during the quarter, with direct revenue declining 3% year-over-year to $476 million. The app's payer count dropped by 5% to 9.5 million, underscoring the challenges in retaining and attracting users in a highly competitive dating app landscape. This trend has persisted for several quarters, prompting concerns about Tinder's long-term growth prospects.