BuzzFeed Revenue rises by more than 50 percent

BuzzFeed CEO Jonah Peretti, Image Via The Wall Street Journal

On Thursday, for the first time since announcing plans to go public, BuzzFeed reported quarterly earnings. They reported that its revenue rose by more than 50 percent in Q2 of 2021, reflecting improvements in advertising as the economy emerged from the COVID-19 pandemic. In Q2, advertising revenue was up 79 percent to $47.8 million and Content revenue was up 5 percent to $24.2 million. As consumer spending improved, the company attributed some of the growth to its e-commerce business too, which generates revenue by recommending and selling products online. Ecommerce and other revenue rose by 82 percent to $17.1 million.

“Our data-informed approach to content creation and capital allocation allows us to capitalize on secular trends in advertising and commerce and helped fuel our significant topline growth in the first half of the year.”

BuzzFeed CEO Jonah Peretti

These reports are important, as BuzzFeed will be the first of digital media giants to go public. As the company announced in June, it reached a deal to merge with 890 Fifth Avenue Partners Inc. and is going to acquire Complex Networks. BuzzFeed CEO Peretti explains: “This impressive performance in the year to date lays the foundation for what we expect to be an exciting second half, with the anticipated closing of the acquisition of Complex Networks and our simultaneous emergence as a public company.” Their valuation of the combined company at $1.5 billion serves as a sticking point for other digital media firms looking to go public, for instance Vice Media, Group Nine Media, or Vox Media.

https://www.hollywoodreporter.com/business/digital/buzzfeed-q2-2021-earnings-1235010437/

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