IZEA (IZEA) Q4 2025 Earnings Call Transcript

Motley Fool Transcribing, The Motley Fool

Wed, March 18, 2026 astatine 8:24 AM CDT 15 min read

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Tuesday, March 17, 2026 astatine 5 p.m. ET

• Chief Executive Officer — Patrick Venetucci

• Chief Financial Officer — Peter Biere

• Chief Operating Officer — John Francis

Patrick Venetucci: Thank you, John, and bully afternoon, everyone. At the extremity of 2024, the enactment squad and I person made a committedness to accelerate our way to profitability. I'm pleased to denote that astatine the extremity of 2025, we delivered connected that commitment. Year-on-year, we broke adjacent accrued cash, held managed services gross comparatively flat, excluding Hoozu, and grew our endeavor accounts faster than the market. We achieved a nett net plaything of $18.9 million, which is not lone a archetypal for this company, but is simply a notable lawsuit successful the discourse of microcap nationalist institution turnarounds. Annual gross was $31.2 million, a 13% alteration that reflects a deliberate strategical pivot toward semipermanent profitability compounded by broader macroeconomic headwinds.

During the year, we successfully exited planetary markets and off-boarded lower-margin SMB accounts to prioritize a precocious imaginable endeavor portfolio. These interior shifts coincided with government-induced disruptions arsenic [ DOGE ] and commercialized policies negatively impacted our authorities and retail accounts. Looking astatine the 4th quarter, gross was $6.1 million, down 45% year-over-year. More than fractional of this variance was a nonstop effect of our strategical lawsuit rationalization, portion the equilibrium tin beryllium attributed to delayed bookings successful the 2nd fractional of the twelvemonth connected a fewer cardinal endeavor accounts and a blimpish vacation selling environment. Despite these strategical shifts and outer headwinds, Managed services revenue, excluding Hoozu, remained resilient, finishing the twelvemonth down a humble 2%.

This comparative stableness masks important underlying maturation considering our endeavor accounts expanded good supra manufacture maturation rates. As we've strengthened and expanded our relationships with endeavor clients, we've been rewarded with much business. We person successfully scaled 5 endeavor accounts beyond the $1 cardinal threshold each delivering treble oregon triple-digit growth. Having mostly worked done the attrition of our bequest SMB accounts, we judge the lawsuit portfolio is adjacent to being stabilized, allowing the higher maturation imaginable of our endeavor concern to instrumentality halfway stage. Our income and selling efforts are attracting caller clients and our pipeline reached a caller precocious for the twelvemonth with invitations to larger pitches growing.