On Thursday, the LGBTQ-focused dating app Grindr/) said second-quarter sales came to $138 million, 33% above the same period last year. The company also raised its full-year 2026 revenue forecast to about $540 million from $535 million and now expects adjusted EBITDA of roughly $232 million, compared with $227 million previously.
Chief Executive George Arison told CNBC, "Our strategy has always been to use AI everywhere we can." He said the latest results are an early indication that the approach is producing real gains.
That strategy has become more visible on the product side with Edge, but it also extends to the way Grindr builds software. Arison has said the goal is to apply AI as broadly as possible, from subscription features to the internal tools engineers use.
In the earnings presentation, Grindr said its total engineering output grew by a factor of about 2.5 from July 2025 through April 2026, even though engineering headcount stayed about the same. According to Grindr, producing that same amount of technical output without generative AI would have required around 200 additional engineers and roughly $60 million in additional annual costs.
Arison said the company is not concentrating only on user-facing products such as Edge, its AI companion. He is also using AI across Grindr's operations to reduce the cost and time needed to build software. That includes applying AI to the tools engineers use internally, not just to new subscription features.
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Grindr's engineering output estimate is based on its own analysis, but Arison argues it is evidence that AI is making the existing team more efficient.
Grindr is in the early stages of testing how much users will pay for Edge. The company is experimenting with different prices in different markets, and its New York test includes a monthly price as high as $350.
Edge is meant to be an AI-powered companion available through a premium subscription tier. It is part of Grindr's broader effort to use artificial intelligence to create new paid products, rather than relying only on existing subscription plans.
Arison said the company expects to learn more as the tests continue. He did not reveal sign-up numbers or revenue contribution from Edge so far. The high price point in New York suggests Grindr is targeting users who may be willing to pay a significant premium for an AI companion.
Grindr's second-quarter report gives investors a clearer picture of how AI spending can affect both growth and profitability. Revenue is still climbing quickly, and the company chose to raise its guidance for the full year.
The company's raised outlook reflects the same AI push that drove the reported productivity gains. Grindr is applying AI to internal engineering work while separately testing Edge as a high-end subscription product.
The engineering productivity claim is another part of the story. If Grindr can continue to ship software with a similar number of engineers, it may keep costs lower while introducing more premium AI features. Edge is still an experiment, but the company's willingness to test a $350 monthly price shows that Grindr sees meaningful upside in AI-driven subscription products.
The challenge will be proving that users stick with Edge after the novelty wears off. Grindr has not disclosed sign-up or revenue figures for Edge, so the market will have to wait for more details. For now, the company says AI is already showing up in its numbers.
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