IZEA Worldwide Inc.
05/13/2025 | Press release | Archived content
Earnings Press Release (Period Ending March 31, 2025)
Improved Net Income by $3.1 million, achieving $(0.01) per share, Cash Positive
ORLANDO, Fla. (May 13, 2025) - IZEA Worldwide, Inc. (NASDAQ: IZEA), a leading influencer marketing company that makes Creator Economy solutions for marketers, reported its financial and operational results for the first quarter ended March 31, 2025.
Q1 2025 Financial Summary Compared to Q1 2024
Total revenue increased 15% to $8.0 million, compared to $7.0 million
Revenue from core operations (excluding Hoozu) increased 23%
Managed Services bookings totaled $7.5 million, compared to $9.3 million
Managed Services revenue increased 18% to $7.9 million, compared to $6.7 million
Total costs and expenses decreased 22% to $8.6 million, compared to $11.0 million
Net loss was $0.1 million, compared to a net loss of $3.3 million
Adjusted EBITDA* for the quarter was $(0.1) million, compared to $(3.4) million
Cash, cash equivalents, and investments as of March 31, 2025 totaled $52.2 million, growing $1.1 million YTD
Q1 2025 Highlights
Recruited Frank Carvalho, EVP Sales and Marketing, to drive new customer growth and marketing innovation
Launched the all-new IZEA.com homepage, highlighting our service offerings and key industry verticals
Won new business from Nestle, Acer, Jeep, and more
Produced new work for Clorox, Carnation Breakfast Essentials, Matin Kim, Academy Sports, and Coursera
* Adjusted EBITDA is a non-GAAP financial measure. Refer to the definition and reconciliation of this measure under "Use of Key Metrics and Non-GAAP Financial Measures."
Management Commentary
"Q1 was an exceptional quarter and a giant step towards making good on our promise to accelerate our path to profitability," commented Patrick Venetucci, CEO. "We grew revenue by double-digits, nearly broke even, and generated cash - in one quarter. This is strong evidence that the transformational changes we made in Q4 2024 are working. Our new go-to-market model, cost structure and technologies are aligning and beginning to bear fruit."
Q1 2025 Financial Results
Total revenue in the first quarter of 2025 increased 15% to $8.0 million, compared to $7.0 million in the first quarter of 2024. Revenue from ongoing Managed Services customers increased by 28% to $7.9 million in the first quarter of 2025. Revenue from SaaS Services decreased by 76% to $60,953 in the first quarter of 2025 compared to the first quarter of 2024, as we paused our marketing efforts during our business transformation.
Cost of revenue increased to $4.4 million in the first quarter of 2025, or 55% of revenue, compared to $4.0 million, or 57%, in the prior-year quarter. The nominal cost increase is due to higher revenues in the recent quarter, while lower average margins from the prior-year divested operations drove the percentage cost increase.
Costs and expenses, excluding the cost of revenue totaled $4.2 million for the first quarter of 2025, representing a 40% decrease from the prior-year quarter to $2.8 million. Sales and marketing costs were $1.1 million during the first quarter of 2025, representing a 63% decrease from $3.1 million in the prior-year quarter. The decrease was largely due to reduced costs resulting from our targeted workforce reduction, as well as a temporary pause in advertising spending and lower general contractor fees. General and administrative costs totaled $2.9 million during the quarter, a $0.8 million, or 22%, decrease compared to the prior-year quarter. General and administrative expenses decreased mainly due to reduced employee-related expenses related to our targeted workforce reduction, reduced use of external contractors, and lower spending on professional services and software licensing.
Net loss in the first quarter of 2025 was $0.1 million, or $(0.01) per share, as compared to a net loss of $3.3 million, or $(0.20) per share in the first quarter of 2024, based on 16.9 million and 16.3 million average shares outstanding, respectively.
Adjusted EBITDA (as defined below, a non-GAAP measure management uses as a proxy for operating cash flow) totaled $(0.1) million in the first quarter of 2025, compared with $(3.4) million in the comparative period.
As of March 31, 2025, our cash, cash equivalents, and investments totaled $52.2 million, a $1.1 million improvement from the beginning of the year, due to lower working capital levels and cash-positive operations. The company has no outstanding long-term debt.
We previously announced our commitment to repurchase up to $10.0 million of our stock in the open market, subject to certain restrictions. During the first quarter of 2025, we purchased a total of 180,486 shares at an average share price of $2.44 under our program for an aggregate investment of $0.4 million. Through May 8, 2025, we've purchased 401,480 shares, investing $1.0 million under the active program.
Conference Call
IZEA will hold a conference call to discuss its first quarter 2025 results on Tuesday, May 13, 2025, at 5:00 p.m. EDT. IZEA's CEO Patrick Venetucci and CFO Peter Biere will host the call, followed by a question and answer period.
Date: Tuesday, May 13, 2025
Time: 5:00 p.m. EDT
Toll-free dial-in number: 1-877-407-4018
International dial-in number: 1-201-689-8471
Please call the conference telephone number five (5) minutes before the start time. An operator will register your name and organization. A call replay will be made available approximately 3 hours after the conference ends until Tuesday, May 20, 2025, at 11:59 p.m. EDT.
Toll-free replay number: 1-844-512-2921
International replay number: 1-412-317-6671
Replay ID: 13753486
IZEA Worldwide Inc. published this content on May 13, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on August 11, 2026 at 16:50 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at [email protected]