BuzzFeed reported its third‑quarter 2025 results, showing revenue of $46.3 million, a 17% year‑over‑year decline that reflects a sharp contraction in advertising and commerce streams. The company’s net loss from continuing operations widened to $7.4 million, a reversal from the $2.5 million profit reported in Q3 2024, underscoring the intensity of the current revenue drag.
Adjusted EBITDA remained positive at $0.8 million, a significant drop from the $8.1 million earned in the same quarter last year. The margin compression is largely attributable to a 15% decline in affiliate commerce revenue and an 11% year‑over‑year drop in programmatic advertising, which together eroded the high‑margin mix that had driven the prior year’s strong EBITDA performance.
Management highlighted that the revenue miss stems from softer demand in the advertising business, particularly in direct‑sold placements, and a decline in commerce revenue as consumer spending cooled. CEO Jonah Peretti noted that “the quarter was challenging, but we are deepening our direct‑audience relationships and investing in AI‑driven products that will generate higher‑margin revenue in the future.”
CFO Matt Omer emphasized that the company is maintaining disciplined cost controls and expects a seasonal step‑up in Q4. The full‑year 2025 outlook now projects revenue between $185 million and $195 million and adjusted EBITDA ranging from break‑even to $10 million, a modest upward revision that signals cautious confidence amid ongoing headwinds.
The results illustrate a company in transition: while revenue and profitability have slipped, the positive adjusted EBITDA and the focus on high‑margin AI and commerce initiatives suggest a strategic pivot toward a leaner, tech‑enabled model. The guidance indicates that management believes the cost discipline and new product pipeline will help stabilize earnings, but the current miss highlights the need for accelerated growth in high‑margin segments to offset the broader advertising slowdown.
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