IZEA(IZEA) - 2025 Q4 - Annual Results

Financial Performance - IZEA reported a record profitability swing of $18.9 million, achieving break-even on $31.2 million of revenue for FY 2025[1]. - Net income for FY 2025 was $42,326, compared to a net loss of $18.9 million in the previous year, which included $6.9 million in one-time charges[6]. - Total revenue for Q4 2025 was $6.1 million, a decline of $3.8 million or 39% compared to Q4 2024, primarily due to strategic repositioning and the exit of lower-margin customer relationships[4]. - Total revenue for Q4 2025 was $6,063,878, a decrease of 45% compared to $11,002,517 in Q4 2024[23]. - For the full year 2025, total revenue was $31,237,853, a decrease of 13% from $35,881,010 in 2024[27]. - Managed Services Revenue for Q4 2025 was $6,027,710, down 45% from $10,885,094 in Q4 2024, with On-Going Operations contributing 99% of this revenue[27]. - SaaS Services Revenue for the full year 2025 was $213,272, down 74% from $822,987 in 2024[27]. - The company reported a total comprehensive loss of $(1,171,102) for Q4 2025, compared to $(4,396,551) in Q4 2024[25]. Cost Management - Total costs and expenses decreased by 46% to $7.7 million compared to $14.2 million in the prior year[6]. - Total costs and expenses for Q4 2025 were $7,674,257, down from $14,181,270 in Q4 2024[23]. Adjusted Metrics - Adjusted EBITDA for Q4 2025 was $(0.9) million, an improvement of $1.1 million year-over-year from a loss of $2.0 million[9]. - Adjusted EBITDA for Q4 2025 was $(936,178), compared to $(2,021,485) in Q4 2024, indicating a narrowing of losses[29]. Shareholder Actions - The company has committed to repurchasing up to $10.0 million of its stock, having purchased 561,950 shares for $1.4 million under the program[10]. - Basic loss per share for Q4 2025 was $(0.07), compared to $(0.27) in Q4 2024[23]. - The weighted average common shares outstanding for Q4 2025 was 17,074,681, slightly up from 16,965,350 in Q4 2024[23]. Strategic Initiatives - Managed Services bookings declined 18.7% to $9.0 million from $11.0 million in the prior year, reflecting a shift toward larger, recurring enterprise accounts[6]. - The company secured new business partnerships with major brands including Netflix Games and Danone, enhancing its market position[6]. - IZEA's strategic focus on larger enterprise accounts is expected to drive future growth and profitability[3].