Category: MeetMe

See full article at Nasdaq

MeetMe Closes Skout Acquisition

Posted on October 6, 2016

NASDAQ – Oct 5 – The two companies had entered into a cash-stock acquisition deal in June. The deal was valued at $54.6M, of which MeetMe paid $28.5M in cash, and the rest in stock. In May 2016, Skout had 3.5M MAU. Last year, it had garnered $28.5M in revenues. Skout's Q3 2016 revenues are expected to be ~$6.6M. Meetme expects revenues for 2016 to come between $73.5M and $75.5M.

Skout Acquisition Puts MeetMe On A Path To $100M+ Annual Revenues

Posted on August 10, 2016

OPW INTERVIEW – Aug 10 – MeetMe had impressive Q2 results and announced their acquisition of Skout, one of the hallmark mobile brands in the dating industry. I spoke to Geoff Cook, CEO and Co-founder of MeetMe, about the acquisition and what it will mean for both brands. – Mark Brooks

Why did you choose to buy Skout?
I have always been impressed by Skout’s number of chats per user per day. We’ve made a lot of progress on MeetMe, going from 8-10 chats per day to 25-30 chats per day, and Skout was having comparable numbers. We felt very familiar and comfortable with their business model. 90% of their revenue comes from ads, which is very similar to our business model. They have 700k-800k DAU, combined we’re ~2M DAU. We looked at some of the top level metrics and saw this merge as a pretty clear pathway to $100M revenue. So it made sense both strategically, operationally, and financially.

Would you say that the acquisition of Skout has expanded your geographic footprint?
It certainly expanded our geographic footprint. ¾ of Skout’s DAUs are international. MeetMe is much more focused on the US. Only half of our 1.3M DAUs are international. Skout is strong in Asia, so this will also increase our density among Asian users.

So, in these areas, will you promote Skout or MeetMe? How do you intersperse the numbers and drive membership between the two?
The first thing we will be working on is the lowest hanging fruit. We can improve their ad program based on our knowledge of mobile monetization. We are also thinking about cross promotion to drive MeetMe users to Skout and vice versa. We do intend to maintain Skout as a standalone brand. But over time, there will be no reason to have two separate cloud based chat systems.

How would you imagine someone describing the Skout end user experience vs the MeetMe experience?
They are very similar. In terms of how they are different, MeetMe has put a fair amount of emphasis on “Discuss” feature, where we transformed feeds into topic oriented communities. Skout has “Queue”, a swipe-able feature where you can like or dislike different users to unlock the chat, which is a relatively important piece of their app. We will continue investing in both “Queue” and “Discuss” and make them better.

How about the teams? Will you have an office in San Francisco? Have any changes been made?
At the time of the announcement, there was a reduction at Skout. Skout’s founders, Christian Wiklund and Niklas Lindstrom, have both agreed to help us for a year. We will maintain a team and an office in San Francisco and are looking to be posting open positions shortly to tap into the talent pool there. Right now we have our main office in New Hope, PA, and we have a satellite office in Philadelphia in order to tap into that job market.

by Robert W. Walter
See full article at Seeking Alpha

Post by Mark Brooks @ Courtland Brooks.

Things MeetMe’s Potential Investors Should Look Into

Posted on August 5, 2016

SEEKING ALPHA – Aug 4 – MeetMe recently traded at a four-year high of $7.49 a share, giving the company a market cap of ~$350M. In this recent article, Rober W Walter pointed out some recent events and disclosures (see below) that MeetMe's potential investors should consider before investing in the company.

Using Professor Beneish's Manipulator Score calculation, MeetMe's financial statements are signaling potential manipulation.
Stock sales by the CEO which were made while the Skout acquisition was being negotiated.
Absence of Skout's financial information.
Unexplained officer and director turnover.

by Kaya Yurieff
See full article at The Street

MeetMe Stock Soars On Q2 Results

Posted on August 3, 2016

THE STREET – Aug 1 – MeetMe stock jumped ~16% to $7.43 after the online dating company posted stronger-than-anticipated Q2 results. Revenue climbed 48% to $16.4M from last year and was above Wall Street's projections of $15.27M. Mobile revenue rose 82% to $15.1M YOY. "Our mobile traffic is at an all-time high," CEO Geoff Cook said in a statement. Mobile daily active users increased 15% to 1.22M and mobile monthly active users jumped 32% to 4.84M YOY. For Q3, MeetMe forecasts revenue between $17M and $17.5M. The company expects its recent Skout acquisition to close in October.

See full article at Seeking Alpha

MeetMe At 4-Year High Following Skout Acquisition

Posted on July 7, 2016

SEEKING ALPHA – July 6 – MEET is still trading at a 40-70% discount to peers with similar growth rates and EBITDA margins. The company's financial leverage is powerful; ~65% of incremental revenue dollars should convert to EBITDA in 2016, and ~85% of 2016 EBITDA converts to FCF. The acquisition has raised the ceiling on how big MeetMe can be multiple fold, and investors should want to own the company while management adopts best practices across both the MeetMe and Skout app to drive improved revenue and profitability growth. MEET is attractively positioned as a pure-play investment opportunity levered to the shift in advertising dollars towards mobile devices.

See full article at Zacks

MeetMe Stock Rallies On News Of Skout Acquisition

Posted on June 30, 2016

ZACKS – June 29 – Shares of MeetMe gained ~12% after the dating app operator announced its acquisition of one of its smaller competitors, Skout on Monday. MeetMe has inked a definitive agreement to acquire Skout in a cash-and-stock deal (~$54.6M in total). The acquisition is anticipated to be completed on Oct 1, 2016. The acquisition will increase MeetMe's user base by 69% to 8.5M.

See full article at BusinessWire

MeetMe To Acquire Skout

Posted on June 27, 2016

BUSINESSWIRE – June 26 – MeetMe, a public social discovery service, is acquiring Skout for $28.5M in cash and ~5.37M common shares of MeetMe. Skout is a mobile app for meeting new people with 2015 revenue of $23.8M and 3.5M monthly active users. Skout is adding 42K new users each day on average. Key highlights of the expected scale of the new combined company include: Mobile MAU of 8.5M, an increase of 69% from MeetMe's 5M in May 2016; mobile daily active users of 2.1M, an increase of 73% from MeetMe's 1.24M in May 2016. Geoff Cook, CEO of MeetMe, said, "We believe this combination provides a pathway to $100M in revenue in 2018 with adjusted EBITDA margins approaching 45%."

This post also appears on InternetDatingInvestments.

See full article at BusinessWire

MeetMe Launches Group Chat – “Discuss”

Posted on May 31, 2016

BUSINESSWIRE – May 31 – Social discovery service, MeetMe, has launched Discuss, an interest-based group communication platform. "Our users are primarily looking for people who share their interests, whether they are here to date, make friends, or simply chat," said Geoff Cook, CEO of MeetMe. "We've created Discuss to facilitate discussions about a variety of interests that we know users share."