Business
IZEA Reports Q4 2020 Financial Results
ORLANDO, Fla., March 30, 2021 (GLOBE NEWSWIRE) -- IZEA Worldwide, Inc. (NASDAQ: IZEA), the premier provider of influencer marketing technology, data, and
About this update from Izea Worldwide, Inc.
[{"type":"text","content":"ORLANDO, Fla., March 30, 2021 (GLOBE NEWSWIRE) -- IZEA Worldwide, Inc. (NASDAQ: IZEA), the premier provider of influencer marketing technology, data, and services for the world’s leading brands, reported its financial and operational results for the fourth quarter ended December 31, 2020. Q4 2020 Financial Summary Compared to Q4 2019 Total revenue increased 10% to $6.4 million, compared to $5.8 million.Managed Services unit revenue increased 17% to $5.9 million, compared to $5.0 million.SaaS Services unit revenue decreased 34% to $537,000, compared to $811,000.Total costs and expenses decreased to $7.4 million, compared to $8.2 million.Net loss was $1.0 million, compared to a net loss of $2.3 million.Adjusted EBITDA* improved to $(0.5) million, compared to $(1.3) million. Q4 2020 Operational Highlights Delivered all-time record Q4 Managed Services Bookings.Hit all-time record count of customers licensing IZEA SaaS products in December.Opened the Shake Marketplace for business.Milestone of one billion pieces of content analyzed by BrandGraph.Awarded first contract to promote a branch of the U.S. Military. * 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 “The fourth quarter of 2020 marked the return to growth for IZEA during the most challenging and dynamic year in the history of our company,” said Ted Murphy, IZEA’s Chairman and CEO. “Our overall revenue grew 10% in the quarter, driven largely by a 47% YoY increase in Managed Services bookings in Q4. The majority of those bookings were signed in the month of December, and we expect those bookings to be recognized over an average of 6 months. We also saw substantial improvements of more than 50% for both net income and Adjusted EBITDA during the period, along with a margin improvement of just over 300 basis points.” “As we expected, revenue from our SaaS Services was challenged in the 4th quarter as we continued to transition through our new pricing model,” continued Murphy. “The acquisition of new enterprise IZEAx customers in 2020 was slow through Q3, and many of our existing customers churned or reduced their marketplace spend as the pandemic hit. That revenue takes time to rebuild, especially under our more affordable pricing tiers. Tha...