BuzzFeed Inc (NASDAQ:BZFD) Stock Plummets After Q3 Revenue Miss and Widened Loss

BuzzFeed Inc (NASDAQ:BZFD) Q3 2025 Earnings: Revenue Miss and Wider-Than-Expected Loss Trigger Sharp Sell-Off

Digital media company BuzzFeed Inc reported its financial results for the third quarter of 2025, delivering figures that fell short of analyst expectations on the top and bottom lines. The market reacted negatively to the news, with the stock experiencing a significant decline in after-hours trading.

Earnings and Revenue Versus Estimates

The company's performance in the third quarter failed to meet the forecasts set by financial analysts, a key point of focus for investors.

• Revenue: BuzzFeed reported total revenue of $46.3 million, a 17% decrease compared to the $55.6 million reported in the same quarter last year. This result came in substantially below the analyst consensus estimate of $55.7 million.
• Earnings Per Share (EPS): The company reported a net loss from continuing operations of $7.4 million, or a loss of $0.20 per share. This was significantly wider than the estimated loss of $0.06 per share anticipated by analysts.

The dual miss on both revenue and earnings highlights the ongoing challenges the company faces in a competitive digital advertising landscape.

Market Reaction

The immediate market response to the earnings release was decisively negative. Following the announcement, BuzzFeed's stock price fell approximately 27% in after-hours trading. This sharp decline reflects investor disappointment with the quarterly results and the company's failure to meet key financial targets. The reaction underscores the market's heightened sensitivity to performance against expectations, particularly for companies navigating a path to sustained profitability.

Financial and Operational Highlights

Beyond the headline figures, the earnings report detailed pressures across all of BuzzFeed's revenue streams and a notable decline in profitability metrics.

• Revenue Breakdown:
  • Advertising revenue declined 11% year-over-year to $22.2 million.
  • Content revenue saw a significant drop of 33% to $7.2 million.
  • Commerce and other revenue decreased 15% to $17.0 million.
• Profitability: The company reported a net loss from continuing operations of $7.4 million, a stark reversal from the net income of $2.5 million reported in Q3 2024. Adjusted EBITDA, a measure of operational profitability, was $0.8 million, down 91% from $8.1 million in the prior year period.
• Traffic and Engagement: Total U.S. Time Spent across BuzzFeed properties was 68.5 million hours, down from 80.3 million hours in Q3 2024. The company attributed this decline to elevated news consumption during the presidential election cycle in the prior year. Positively, the company noted it is reducing its dependency on external platforms, with 63% of BuzzFeed.com traffic now coming from direct visits and app activity.

Updated Outlook and Analyst Comparisons

Management provided an updated financial outlook for the full year 2025, which offers a mixed picture when held against existing analyst expectations.

• BuzzFeed's 2025 Outlook:
  • Revenue is expected in the range of $185 million to $195 million.
  • Adjusted EBITDA is projected to be between break-even and $10 million.
• Versus Analyst Estimates: The company's revenue guidance, at its midpoint of $190 million, falls short of the analyst consensus for full-year sales of $202.9 million. However, the Adjusted EBITDA outlook, which suggests the company could approach profitability on this metric by year-end, may provide a glimmer of optimism for some investors.

For the upcoming fourth quarter, analysts had been estimating revenue of $63.1 million and EPS of $0.13. BuzzFeed's ability to meet or exceed these targets will be a critical test for its stated strategy and operational adjustments.

Conclusion

BuzzFeed's third-quarter results reflect a company in the midst of a difficult transition. The misses on revenue and earnings, coupled with a sharp contraction in profitability, have clearly shaken investor confidence, as evidenced by the severe after-hours sell-off. While the company points to strategic progress in audience engagement and platform independence, the core financial metrics indicate persistent headwinds. The updated full-year revenue guidance, which trails analyst expectations, suggests the road ahead remains challenging. Management's ability to stabilize revenue declines and chart a clearer path back to profitability will be crucial for restoring market faith.

For a detailed look at historical earnings and future analyst estimates for BuzzFeed, visit the earnings and estimates page.

Disclaimer: This article is for informational purposes only and is not intended as investment advice. All data and figures are sourced from the company's press release and third-party estimates. Readers should conduct their own research before making any investment decisions.