Did IZEA Worldwide beat or miss consensus estimates last quarter?

What guidance did IZEA Worldwide's management provide for the next earnings period?

What were the key takeaways from IZEA Worldwide’s earnings call?

What does IZEA Worldwide do and what are its main business segments?

What is the market's earnings forecast for IZEA Worldwide next quarter?

What is IZEA Worldwide's gross profit margin?

What factors drove the changes in IZEA Worldwide's revenue and profit?

What were the key takeaways from IZEA Worldwide's earnings call?

- **Profitability Sustained**: Third consecutive quarter of financial improvement with Q3 net income of $0.1 million.
- **Enterprise Growth Engine**: Managed services revenue up 14% YTD, driven by double-digit growth in enterprise accounts.
- **Cost Optimization**: Operating expenses reduced 67%, enabling $51.4 million cash reserves with no debt.
- **AI-Driven Innovation**: Technology platform now features AI-powered insights for clients like Amazon and GM.

**【Management Opening Remarks】**
- IZEA reported third-quarter 2025 results, marking the second quarter of profitability and the third consecutive quarter of financial improvement.
- Sandra Carboni highlighted the company’s strategic focus on sustainable growth, profitability, and disciplined cost management.

**【CEO Summary Section】**
- **Financial Milestones**: Q3 net income of $0.1 million vs. $8.8 million loss in Q3 2024; year-to-date net income of $1.2 million.
- **Revenue Shift**: Total revenue decreased 8% to $8.1 million due to shedding unprofitable projects, but managed services revenue (excluding Hoozu) grew 5%.
- **Strategic Focus**: 
  - Enterprise clients now growing at double-digit rates, with some at triple-digit growth (e.g., Amazon, GM, Owens Corning).
  - Hired Steve Bunnell (EVP Account Management) and John Francis (VP Marketing) to accelerate enterprise growth.
- **AI Integration**: Introduced AI-powered features in the technology platform for strategic insights and campaign performance.

**【CFO Financial Commentary】**
- **Cost Efficiency**: Operating expenses decreased 67% to $4.3 million; sales and marketing expenses down 62% to $1.1 million.
- **Cash Position**: $51.4 million in cash, up $0.8 million from Q2, with no debt on the balance sheet.
- **Stock Repurchases**: $1.4 million spent on 561,950 shares under a $10 million buyback program.
- **Adjusted EBITDA**: $0.4 million vs. -$3.4 million in Q3 2024.
- **Revenue Growth**: Managed services revenue up 14% year-to-date, driven by enterprise expansion.

**【Q&A Highlights】**
- No questions were asked during the call, as the operator indicated no questions in the queue.

IZEA Inc (IZEA) Q3 2025 Earnings Call Transcript

- **Historic Profitability**: Q2 2025 marks first profitable quarter with $1.2 million net income and $1.3 million adjusted EBITDA.
- **Revenue Growth**: 12.9% year-over-year increase in Managed Services revenue (excluding Hoozu).
- **Strategic Shifts**: Focused on larger, profitable clients, reducing unprofitable projects, and investing in AI.
- **M&A Focus**: Actively pursuing strategic acquisitions with disciplined valuation approach.
- **Cash Strength**: $50.6 million in cash, supporting operations and $1.3 million in stock buybacks.

**【CFO Financial Commentary】**
- **Revenue Performance**: Q2 2025 revenue of $9.1 million reflects a 0.4% year-over-year increase, with a 12.9% growth excluding Hoozu. Managed Services bookings reached $5.6 million for the quarter and $13.1 million for H1, down 33% YoY due to timing shifts, strategic focus on larger clients, and macroeconomic pressures.
- **Cost Efficiency**: Cost of revenue decreased to $4.4 million (48% of revenue), down from $5.2 million (57% YoY). Operating expenses fell 41% to $4 million, driven by workforce reductions and cost control.
- **Profitability Milestone**: First profitable quarter with $1.2 million net income ($0.07 EPS) and $1.3 million adjusted EBITDA (vs -$2.2 million YoY).
- **Liquidity**: $50.6 million in cash, with $1.3 million invested in stock buybacks year-to-date.

**【CEO Commentary】**
- **Client Wins**: Secured new business from Jeep, Nestlé, and Kellogg's, with a pipeline focused on larger, high-quality opportunities.
- **Strategic Shifts**: Transitioned to enterprise clients, reducing unprofitable projects, and invested in AI-driven tech initiatives.
- **Talent Expansion**: Hired a VP of Talent Acquisition to support growth and brand positioning.

**【Q&A Highlights】**
- **M&A Activity**: Actively engaging in strategic discussions, prioritizing accretive deals without overpayment.
- **Bookings Outlook**: Despite H1 2025 bookings decline, optimistic on future growth driven by pipeline strength and macroeconomic recovery.
- **Expense Management**: Operating expenses expected to remain flat, with judicious growth to support scaling.
- **Talent Strategy**: VP of Talent Acquisition focuses on diverse roles, signaling long-term talent investment.

IZEA Worldwide, Inc. (IZEA) Q2 2025 Earnings Call Transcript

- **Revenue Resilience**: 14.6% YoY growth driven by U.S. market focus, with managed services up 27.6% YoY.
- **Cost Transformation**: 40% expense reduction leads to 95% net loss improvement, adj. EBITDA +97% YoY.
- **Client Momentum**: Secured 4x larger deal sizes with enterprise clients like Nestle, Jeep, Coursera.
- **Liquidity Strength**: $52M cash, launching $8.7M share buyback at 20-25% discount to current price.
- **Profitability Path**: Near-breakeven in Q1, with stable margins and scalable cost structure.

**【CFO Financial Highlights】**
- **Revenue Growth**: Q1 2025 total revenue $8M (+14.6% YoY), managed services $7.9M (+27.6% YoY excluding Hoozu). SaaS revenue declined to $61K (-76% YoY) due to strategic focus shift.
- **Cost Efficiency**: Total expenses $4.2M (-40% YoY), with sales/marketing down 63% to $1.1M and G&A down 22% to $2.9M. Net loss narrowed to $143K (-95% YoY), adj. EBITDA improved to -$77K vs. -$3.4M YoY.
- **Liquidity**: $52.2M cash (up $1.1M QoQ), with $0.5M interest income. Share buyback program repurchased $1.2M of $10M target, launching $8.7M tender offer at $2.30-$2.80/share.

**【CEO Strategic Updates】**
- **Market Focus Shift**: Exited international markets, refocused on U.S. to reduce risk exposure. Streamlined org structure with targeted workforce reduction.
- **Client Wins**: Secured Nestle, Acer, Jeep, Clorox, Coursera clients. Pipeline growing with larger, higher-quality opportunities.
- **Operational Improvements**: 
  - Launched new EVP of Sales & Marketing (Frank Carvalho)
  - Simplified tech stack with campaign management enhancements
  - Managed services backlog $14.9M (6-7.5mo revenue cycle)
- **Profitability Progress**: Q1 near-breakeven, demonstrating Q4 2024 restructuring success. Confident in path to profitability with current cost structure.

**【Key Q&A Takeaways】**
1. **Gross Margin Outlook**: Stable within current band, no YoY guidance but structural low-margin business cleared.
2. **Cost Structure**: Current level sustainable, may add headcount in summer/fall if revenue growth supports.
3. **Economic Sentiment**: Pipeline up despite macro uncertainty; influencer marketing seen as more agile alternative to traditional ad spend.
4. **M&A Strategy**: Actively exploring opportunities post-organizational restructuring, focusing on undervalued targets with strategic fit.

IZEA Worldwide, Inc. (IZEA) Q1 2025 Earnings Call Transcript

- **Core Growth Strong**: Managed services revenue +16.3% annually, +21.9% in Q4 excluding Hoozu.
- **Cost Cuts Accelerate Profitability**: $5 million annualized savings from workforce and contract reductions.
- **Backlog Conversion Incoming**: $14.2 million backlog to fuel H1 2025 revenue.
- **New Strategic Focus**: North America-centric, simplified tech, and high-growth market targeting.
- **Cash Position Solid**: $51.1 million on hand with $1 million spent on buybacks.


**【CFO Financial Overview】**
- **Annual Revenue**: $35.9 million (2024) vs. $36.2 million (2023), down 1% overall but +16.3% in core managed services excluding nonrecurring Hoozu revenue.
- **Q4 Revenue Growth**: $11 million (+23.7% YoY), with managed services up 24% and bookings growing 45% to $11 million.
- **Cost Reductions**: $3.9 million annualized savings from workforce reductions (32 positions), $1.2 million from contract labor cuts, and $0.4 million from software write-offs.
- **Cash Position**: $51.1 million as of Q4, with $1 million spent on stock buybacks under a $10 million program.
- **Net Loss**: $18.9 million annually, driven by $8 million in one-time charges (e.g., Hoozu divestiture, severance).
- **Adjusted EBITDA**: -$1.5 million in Q4, up from -$1.1 million YoY.

**【CEO Strategic Updates】**
- **Strategic Shifts**: Focusing on North America, simplifying tech products, and targeting high-growth market segments.
- **New Business Wins**: Contracts with Nestle, Academy Sports, and others; notable campaigns for Warner Bros. and Barbie movie.
- **Operational Changes**: Hired Chief People Officer to professionalize talent programs; reduced international exposure to mitigate risks.
- **Backlog Strength**: $14.2 million in managed services backlog, expected to convert to revenue in H1 2025.
- **Profitability Path**: Cost cuts and revenue growth positioning for cash breakeven in 2025.

**【Key Financial Metrics】**
- **Gross Margin**: 38% (Q4), up from 47% YoY due to higher-cost project mix.
- **Operating Expenses**: $7.3 million (Q4), +15.3% YoY due to severance and contract costs.
- **Cash Burn**: Reduced by $5 million annually through cost actions.
- **Interest Income**: $0.5 million (Q4) from investment portfolio.


IZEA Worldwide (IZEA)-27 Mar 25-2024 Q4 Earnings call transcript

IZEA Worldwide (IZEA)-14 Nov 24-2024 Q3 Earnings call transcript

IZEA Worldwide (IZEA)-14 Aug 24-2024 Q2 Earnings call transcript

IZEA Worldwide (IZEA)-15 May 24-2024 Q1 Earnings call transcript

IZEA Worldwide (IZEA)-1 Apr 24-2023 Q4 Earnings call transcript

- **Revenue Decline**: Q3 2023 revenue down 27.1% YoY, driven by loss of a major customer.
- **Strategic Pivot**: Transition to IZEA Flex and creator economy M&A to drive future growth.
- **Pipeline Strength**: Record new opportunity pipeline in September, with bookings growth excluding the nonrecurring customer.
- **Cash Position**: $62.7 million in cash, no debt, supporting M&A and organic expansion.

**【CFO Financial Commentary】**
- Q3 2023 revenue: $7.9 million (-27.1% YoY), driven by a $2.9 million decline from a nonrecurring customer.
- Managed Services bookings: $7.1 million (-14.1% YoY), but +18.2% growth in ongoing customer bookings to $7.3 million.
- Gross margin improvement as nonrecurring customer revenue winds down; cost of revenue at 59.3% of total revenue.
- Adjusted EBITDA: -$1.5 million (vs. -$0.6 million YoY); net loss: -$2 million (-122% YoY).
- Cash balance: $62.7 million, with no debt.

**【CEO Summary Section】**
- **Product Innovations**: Launch of IZEA Flex (lower-cost enterprise software) and FormAI with OpenAI integration for creators.
- **Market Expansion**: New presence in Korea, China, and U.K.; M&A strategy targeting EBITDA-positive companies in creator economy.
- **Pipeline Growth**: Record new opportunity pipeline in September (+7.5 months booking-to-revenue cycle).
- **FY 2023 Outlook**: On track to approach $38 million revenue target set in 2019.

**【Q&A Highlights】**
- **Pipeline Conversion**: September bookings hit all-time high, with 7.5-month booking-to-revenue timeline.
- **M&A Strategy**: Focus on accretive acquisitions with management incentives tied to 2-3 year performance milestones.
- **Customer Diversification**: Shifting away from low-margin, slow-cashflow clients to higher-margin, recurring revenue streams.

IZEA

IZEA fundamentals

Earnings Call

You can ask Aime