BZFD - BuzzFeed shedding jobs in struggling news division; Editors exit

BuzzFeed (BZFD +4%) topped revenue expectations with Tuesday's earnings, but the company is shrinking its money-losing news side, and some investors are pushing for the company to shut down news entirely. The company's $145.7 million in revenue marked 18% growth and topped expectations, and net income rose 29% to $41.6 million. Guidance raised concerns, though, as BuzzFeed said it expected pro forma first-quarter revenues to decline by a low-single-digit percentage. Excluding Complex Networks a year ago, as-reported revenues are forecast to grow about 30%. And the company expected adjusted EBITDA losses of $15 million-$20 million. That comes though BuzzFeed had projected before it went public that it would grow revenues 25% per year, meaning there will be a turnaround needed in 2022 to meet that goal. It's laying off 1.7% of the workforce and three top editors have resigned: Editor in Chief Mark Schoofs, Deputy Editor in Chief Tom Namako

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BuzzFeed shedding jobs in struggling news division; Editors exit