Enterprise-first strategy and optimized cost structure results in profit turnaround
with $50.9M in cash to fuel M&A and technology innovation
ORLANDO, Fla., March 17, 2026 (GLOBE NEWSWIRE) -- IZEA Worldwide, Inc. $(IZEA)$, a leading influencer marketing company that makes Creator Economy solutions for marketers, reported its financial and operational results for the fourth quarter ended December 31, 2025.
FY 2025 Financial Summary Compared to FY 2024
-- Revenue was $31.2 million, compared to $35.9 million; $3.4 million of the
annual decline is Hoozu, which was divested in late 2024
-- Revenue from core-enterprise accounts, which represent the majority of
total revenue, grew above market growth rates in 2025
-- Net income was $42,326 compared to a loss of $18.9 million, which
included $6.9 million in one-time charges
-- Adjusted EBITDA* was $0.7 million, compared to a loss of $11.1 million
Q4 2025 Financial Summary Compared to Q4 2024
-- Revenue from ongoing operations was $6.1 million, compared to $9.8
million (excluding Hoozu)
-- Managed Services bookings declined 18.7% to $9.0 million from $11.0
million in the prior year period (excluding Hoozu), reflecting our shift
toward larger, recurring enterprise accounts. Approximately half of the
decline reflects non-core customer activity exited in 2025.
-- Total costs and expenses decreased 46% to $7.7 million, compared to $14.2
million
-- Net loss totaled $1.2 million, compared to a net loss of $4.6 million
-- Adjusted EBITDA* for the quarter was $(0.9) million, improving $1.1
million year-over-year
-- Cash and equivalents as of December 31, 2025 totaled $50.9 million,
compared to $51.1 million over the prior year, reflecting positive cash
from operations
Q4 2025 Highlights
-- Secured new business partnerships with major brands, including Netflix
Games, Afeela, Lidl, and Emmi Roth
-- Produced new work for Stellantis, Danone, Warner Brothers, Coursera, and
many more clients
-- Recruited Lindsey Gamble, Vice President, Creator Strategy and Innovation,
to bolster culture-first innovation and scale enterprise success in the
Creator Economy
* Adjusted EBITDA and revenue from on-going operations are non-GAAP financial measures. Refer to the definition and reconciliation of these measures under "Use of Key Metrics and Non-GAAP Financial Measures."
Management Commentary
"2025 was a transformative year as we successfully reset our economic model through portfolio high-grading and disciplined cost optimization," said Patrick Venetucci, CEO. "Achieving an $18.9 million net profit swing is a historic milestone for this company and a notable feat among micro-cap turnarounds. By reaching profitability and outperforming the market in enterprise account growth, we have built a high-performance foundation. We enter 2026 with a leaner structure, a stronger leadership team, significant client opportunities, and a technology platform primed for scale. With more than $50 million in cash and no debt, we are uniquely positioned to pursue both organic growth and transformational M&A."
Q4 2025 Financial Results
Total revenue for the fourth quarter of 2025 was $6.1 million. Excluding approximately $1.1 million from Hoozu, revenue declined $3.8 million, or 39%, compared to the prior-year period. Revenue comparisons were also affected by the Company's strategic repositioning during 2025, including the exit of certain customer relationships that historically generated lower margins and higher selling costs, as the Company shifted its focus toward larger enterprise accounts.
Cost of revenue for the fourth quarter of 2025 was $3.3 million, a decrease of $3.6 million, or 52%, compared to the prior-year period. The decrease was primarily driven by lower overall revenue, the absence of costs associated with Hoozu, which was divested in December 2024. Cost trends were also influenced by changes in customer mix resulting from the Company's strategic repositioning, including the exit of certain lower-margin customer relationships. As a result, the Company's remaining core enterprise business generated an improved margin profile compared to the prior-year period.
Costs and expenses, excluding the cost of revenue, totaled $4.4 million for the fourth quarter of 2025, a decrease of $2.9 million, or 40%, from the fourth quarter of 2024. Sales and marketing costs were $1.1 million during the fourth quarter of 2025, a 62% decrease from $3.0 million in the prior-year quarter, largely due to our targeted workforce reduction in the fourth quarter of 2024, a temporary pause in advertising spending, and lower general contractor fees. General and administrative costs totaled $3.1 million during the quarter, $0.7 million, or 18%, lower than in the prior-year quarter, primarily due to a reduction in employee-related expenses following our targeted workforce reduction, reduced use of external contractors, and decreased spending on professional services and software licensing.
Net loss in the fourth quarter of 2025 was $1.2 million, or $(0.07) per share, as compared to a net loss of $4.6 million, or $(0.27) per share in the fourth quarter of 2024, based on 17.1 million and 17.0 million average shares outstanding, respectively. Shares outstanding for our earnings per share calculation increased in the current period for dilutive share grants not included in periods of loss.
Adjusted EBITDA (as defined below, a non-GAAP measure management used as a proxy for operating cash flow) totaled $(0.9) million in the fourth quarter of 2025, compared with $2.0 million loss in the comparative period.
As of December 31, 2025, our cash and cash equivalents totaled $50.9 million. 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. Through December 31, 2025, we have purchased a total of 561,950 shares, investing $1.4 million under the repurchase program. No share purchases were made in the current quarter.
Conference Call
IZEA will hold a conference call to discuss its fourth quarter 2025 results on Tuesday, March 17, 2026, at 5:00 p.m. ET. IZEA's CEO Patrick Venetucci and CFO Peter Biere will host the call, followed by a question and answer period.
Date: Tuesday, March 17, 2026
Time: 5:00 p.m. ET
Webcast link: https://viavid.webcasts.com/starthere.jsp?ei=1752772&tp_key=96c6c7b58d
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, March 24, 2026, at 11:59 p.m. ET.
Toll-free replay number: 1-844-512-2921
International replay number: 1-412-317-6671
Replay ID: 13758773
About IZEA Worldwide, Inc.
IZEA Worldwide, Inc. ("IZEA"), is an influencer marketing company with a mission to make creator economy solutions for marketers. We do this by lighting up the Creator Economy with IZEAs--our strategies, campaigns, and solutions that build brands and drive demand. Since launching the industry's first-ever influencer marketing platform in 2006, IZEA has facilitated nearly 4 million collaborations between brands and creators.
Use of Key Metrics and Non-GAAP Financial Measures
Managed Services Bookings is a key metric representing total sales orders received during a period, net of cancellations and refunds. Contracts vary by customer and scope, ranging from custom content projects to integrated marketing campaigns, and generally extend from several months up to a year. Managed Services Bookings provide a useful measure of overall demand but are not necessarily predictive of quarterly revenue, as the timing of revenue recognition varies with contract size, complexity, and customer arrangements. Certain customers enter into annual spend commitments that establish a defined budget for services to be performed throughout the year, while others engage the Company for specific campaigns or deliverables. These differing contract structures may influence the timing and distribution of bookings and related revenue. The Company uses this metric to evaluate customer and market trends, to plan operational staffing, and to inform product development initiatives.
"Adjusted EBITDA" is a non-GAAP financial measure under the Securities and Exchange Commission rules. EBITDA is commonly defined as "earnings before interest income and expense, taxes, depreciation, and amortization." IZEA defines "Adjusted EBITDA" as earnings or loss before interest expense, interest income, taxes, depreciation and amortization, non-cash stock-based compensation, gain or loss on asset disposals or impairment, and certain other unusual or non-cash income and expense items such as gains or losses on settlement of liabilities and exchanges, and changes in the fair value of derivatives, if applicable. We believe that Adjusted EBITDA provides useful information to investors as it primarily excludes non-cash and non-operating transactions, and it provides consistency to facilitate period-to-period comparisons.
Revenue from on-going operations and associated costs of revenue and other costs and expenses from on-going operations excludes revenue from and costs attributable to Hoozu in the prior year period. Hoozu was divested by the Company in December 2024. We believe this is useful to investors to facilitate period to period comparisons.
All companies do not calculate bookings and Adjusted EBITDA in the same manner. These metrics and financial measures, as presented by IZEA, may not be comparable to those presented by other companies. Moreover, these metrics and financial measures have limitations as analytical tools. You should not consider them in isolation or as a substitute for an analysis of our results of operations or, with respect to non-GAAP financial measures, as reported under GAAP. A reconciliation of Adjusted EBITDA and revenue and costs from on-going operations to the most directly comparable GAAP measures are presented in the financial tables included in this press release.
Safe Harbor Statement
All statements in this release that are not based on historical fact are "forward-looking statements" intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. Forward-looking statements, which are based on certain assumptions and describe our future plans, strategies, and expectations, can generally be identified by the use of forward-looking terms such as "may," "will," "would," "could," "should," "expect," "anticipate," "hope, " "estimate," "optimistic," "believe," "intend," "ought to," "likely," "projects," "plans," "pursue," "strategy" or "future," or the negative of these words or other words or expressions of similar meaning. Examples of forward-looking statements include, among others, statements we make regarding expectations concerning product development and platform launches, future financial performance and operating results, including regarding recognition of bookings as revenues, the share repurchase authorization and any use of such authorization, growth, or maintenance of customer relationships, and expectations concerning IZEA's business strategy. Forward-looking statements involve inherent risks and uncertainties which could cause actual results to differ materially from those in the forward-looking statements as a result of various factors, including, among others, the following: competitive conditions in the content and social sponsorship segment in which IZEA operates; failure to popularize one or more of the marketplace platforms of IZEA; our ability to maintain disclosure controls and procedures and internal control over financial reporting; our ability to satisfy the requirements for continued listing of our common stock on the Nasdaq Capital Market; changing economic conditions that are less favorable than expected; and other risks and uncertainties described in IZEA's periodic reports filed with the Securities and Exchange Commission. The forward-looking statements made in this release speak only as of the date of this release, and IZEA assumes no obligation to update any such forward-looking statements to reflect actual results or changes in expectations, except as otherwise required by law.
Press Contact
John Francis
IZEA Worldwide, Inc.
Phone: 407-674-6911
Email: ir@izea.com
IZEA Worldwide, Inc.
Consolidated Balance Sheets
December 31, 2025 December 31, 2024
------------------------------ ------------------- ---------------------
Assets
Current assets:
Cash and cash equivalents $ 50,886,850 $ 44,644,468
Accounts receivable, net 3,398,479 7,781,824
Prepaid expenses 830,509 1,079,045
Short term investments -- 6,427,488
Other current assets 9,002 97,215
-------------- --------------
Total current assets 55,124,840 60,030,040
Property and equipment, net
of accumulated
depreciation 17,131 103,574
Software development costs,
net of accumulated
amortization 2,335,745 2,086,660
Total assets $ 57,477,716 $ 62,220,274
============== ==============
Liabilities and Stockholders'
Equity
Current liabilities:
Accounts payable 779,434 1,511,747
Accrued expenses 3,050,995 3,734,123
Contract liabilities 4,729,767 8,188,651
Total current liabilities 8,560,196 13,434,521
Finance obligation, less
current portion -- 4,034
Total liabilities 8,560,196 13,438,555
-------------- --------------
Commitments and Contingencies -- --
Stockholders' equity:
Preferred stock; $.0001 par
value; 10,000,000 shares
authorized; no shares issued
and outstanding -- --
Common stock; $0.0001 par
value; $50,000,000 shares
authorized; shares issued:
$18,150,878 and
$17,518,018, respectively,
shares outstanding:
$17,261,755 and
$16,931,169, respectively. 1,815 1,752
Treasury stock at cost:
889,123 and 586,849 shares
at December 31, 2025 and
December 31, 2024,
respectively (2,344,698) (1,622,065)
Additional paid-in capital 155,568,812 154,593,800
Accumulated deficit (104,254,729) (104,297,055)
Accumulated other
comprehensive income
(loss) (53,680) 105,287
-------------- --------------
Total stockholders' equity 48,917,520 48,781,719
-------------- --------------
Total liabilities and
stockholders' equity $ 57,477,716 $ 62,220,274
============== ==============
IZEA Worldwide, Inc.
Consolidated Statements of Operations
Three Months Ended Twelve Months Ended December
December 31, 31,
-------------------------- -----------------------------
2025 2024 2025 2024
---------- -----------
Revenue $ 6,063,878 $11,002,517 $31,237,853 $ 35,881,010
Costs and expenses:
Cost of revenue 3,286,559 6,848,525 16,227,120 21,204,204
Sales and
marketing 1,137,453 2,982,476 4,316,615 12,125,066
General and
administrative 3,074,193 3,747,136 11,916,572 16,743,046
Depreciation
and
amortization 176,052 489,378 636,386 1,159,161
Impairment of
goodwill -- 113,755 -- 4,130,477
---------- ---------- ---------- -----------
Total costs
and
expenses 7,674,257 14,181,270 33,096,693 55,361,954
---------- ---------- ---------- -----------
Income (loss) from
operations (1,610,379) (3,178,753) (1,858,840) (19,480,944)
Other income
(expense):
Change in the
fair value of
digital
assets -- -- -- 28,414
Interest
expense (1,311) (2,475) (6,403) (8,129)
Loss on
divestiture of
assets -- (2,286,083) -- (2,286,083)
Other income
(expense),
net 444,003 590,100 1,907,569 2,499,835
---------- ---------- ---------- -----------
Total other
income
(expense),
net 442,692 (1,698,458) 1,901,166 234,037
Net income (loss)
before income
taxes $(1,167,687) $(4,877,211) $ 42,326 $(19,246,907)
Tax benefit -- 253,947 -- 394,646
---------- ---------- ---------- -----------
Net income ( loss) (1,167,687) (4,623,264) 42,326 (18,852,261)
========== ========== ========== ===========
Weighted average
common shares
outstanding --
basic 17,074,681 16,965,350 17,261,755 17,067,995
Basic income (loss)
per common share $ (0.07) $ (0.27) $ -- $ (1.10)
Weighted average
common shares
outstanding -
diluted 17,074,681 16,965,350 18,302,209 17,067,995
Diluted income
(loss) per common
share $ (0.07) $ (0.27) $ -- $ (1.10)
IZEA Worldwide, Inc.
Consolidated Statements of Comprehensive Income (Loss)
Three Months Ended Twelve Months Ended
December 31, December 31,
-------------------------- ---------------------------
2025 2024 2025 2024
---------- -----------
Net income (loss) $(1,167,687) $(4,623,264) $ 42,326 $(18,852,261)
Other comprehensive
income (loss)
Unrealized gain
(loss) on
securities held -- 27,138 (12,209) 262,800
Unrealized gain
(loss) on
currency
translation (3,415) 233,793 (146,758) 127,296
Reclassification
of foreign
currency
translation
adjustment to
income -- (34,218) -- (34,218)
---------- ---------- -------- -----------
Total other
comprehensive
income (loss) (3,415) 226,713 (158,967) 355,878
Total comprehensive
income (loss) $(1,171,102) $(4,396,551) $(116,641) $(18,496,383)
========== ========== ======== ===========
IZEA Worldwide, Inc.
Revenue Details
Revenue details by type:
Three Months Ended December 31,
-----------------------------------------
2025 2024 $ Change % Change
--------------- -------------- --------------- ------------ ----------
Managed
Services
Revenue
On-Going
Operations $6,027,710 99% $ 9,814,545 89% $(3,786,835) (39)%
Hoozu -- --% 1,070,549 10% (1,070,549) (100)%
--------- --- ---------- --- ---------- ------
Total Managed
Services
Revenue 6,027,710 99% 10,885,094 99% (4,857,384) (45)%
SaaS Services
Revenue 36,168 1% 117,423 1% (81,255) (69)%
--------- --- ---------- --- ---------- ------
Total Revenue $6,063,878 100% $11,002,517 100% $(4,938,639) (45)%
========= === ========== === ========== ======
Twelve Months Ended December 31,
------------------------------------------
2025 2024 $ Change % Change
--------------- --------------- --------------- ------------ ----------
Managed
Services
Revenue
On-Going
Operations $31,024,581 99% $31,704,115 88% $ (679,534) (2)%
Hoozu -- --% 3,353,908 9% (3,353,908) (100)%
---------- --- ---------- --- ---------- ------
Total Managed
Services
Revenue 31,024,581 99% 35,058,023 98% (4,033,442) (12)%
SaaS Services
Revenue 213,272 1% 822,987 2% (609,715) (74)%
---------- --- ---------- --- ---------- ------
Total Revenue $31,237,853 100% $35,881,010 100% $(4,643,157) (13)%
========== === ========== === ========== ======
IZEA Worldwide, Inc.
Reconciliation of GAAP Net Income (Loss) to Non-GAAP
Adjusted EBITDA
Three Months Ended December 31, Twelve Months Ended December 31,
-------------------------------- ---------------------------------
2025 2024 2025 2024
---------- -----------
Net income (loss)
from operations $(1,167,687) $(4,623,264) $ 42,326 $(18,852,261)
Impairment of
goodwill and
intangible
assets -- 113,755 -- 4,130,477
Adjustment to
fair market
value of
digital
assets -- -- -- (28,414)
Non-cash
stock-based
compensation 407,099 416,181 1,493,588 2,744,537
Non-cash stock
issued for
payment of
services 90,009 90,007 360,000 319,070
Depreciation
and
amortization 176,052 489,378 636,386 1,159,161
Interest
expense 1,311 2,475 6,403 8,129
Loss on sale
of
subsidiary -- 2,286,083 -- 2,286,083
Change in fair
value of
derivatives -- 6,000 -- --
Interest
income (442,962) (549,717) (1,872,254) (2,458,446)
Non-recurring
charges -- 7,668 -- 7,668
Tax benefit -- (260,051) -- (400,750)
---------- ---------- ---------- -----------
Adjusted
EBITDA(1) $ (936,178) $(2,021,485) $ 666,449 $(11,084,746)
========== ========== ========== ===========
Revenue $ 6,063,878 $11,002,517 $31,237,853 $ 35,881,010
========== ========== ========== ===========
Operating
EBITDA as a %
of Revenue (15.4)% (18.4)% 2.1% (30.9)%
(1) Adjusted EBITDA presentation varies from prior disclosure, primarily to exclude non-operating items such as interest income.
(END) Dow Jones Newswires
March 17, 2026 16:01 ET (20:01 GMT)
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