BuzzFeed, Inc. (NASDAQ:BZFD) Q3 2023 Earnings Call Transcript

Amita Tomkoria: All right. I think we have time for one last question. Felicia, maybe to touch on the guidance, based on your Q4 adjusted EBITDA guidance, it looks like you’re now expecting full year profit slightly below the guidance you had shared back in May. What has changed since Investor Day with respect to bottom-line expectations?

Felicia DellaFortuna: So as Jonah discussed, audience traffic referrals from the major platforms have declined further as they continue to prioritize their own formats amid all of the intense competition for audience share. And this has had a direct impact on our ability to monetize content across our portfolio of brands. Additionally, as we’ve moved through the year, we’ve continued to face macro headwinds across advertising market, vertical video, audience consumption as well as integration efforts. And as a result, although we had initially seemed to return to more normalized seasonality in the back half, these trends have impacted our back half despite the easing comps. However, despite this pressure on top-line revenues, we were able to deliver improvements to the bottom-line in Q3 versus Q2 and versus the year ago quarter.

And entering Q4, our guidance assumes the full operating expense benefit of the cost actions we did announce earlier this year. So we do expect to deliver Q4 and full year adjusted EBITDA above the year ago levels.

Operator: And this concludes today’s conference call. Thank you for participating. You may now disconnect.