Grindr Inc. (NYSE: GRND) saw its shares plunge 12.80% in after-hours trading on Thursday following the release of its second-quarter earnings report that fell short of analyst expectations. The significant drop reflects investor disappointment with the LGBTQ+ dating app operator's financial performance.

Grindr reported quarterly earnings of $0.08 per share, missing the analyst consensus estimate of $0.11 by 27.27%. Although this represents a substantial improvement from the $0.13 loss per share reported in the same period last year, it wasn't enough to meet market expectations. Revenue for the quarter came in at $104.22 million, slightly below the projected $105.11 million, but still marking a 26.57% increase from the $82.34 million reported in the previous year.

Despite showing year-over-year growth in both earnings and revenue, Grindr's performance raised concerns among investors. The company's average monthly active users grew by 6% to 14.9 million, falling short of the expected 15.1 million. This miss, coupled with the earnings and revenue shortfall, suggests that Grindr may be facing challenges in maintaining its growth trajectory in the competitive online dating sector. As the market digests this information, investors will be closely watching for any guidance or commentary from Grindr's management regarding future growth prospects and strategies to meet or exceed expectations in coming quarters.