IZEA Provides COVID-19 Operations Update
June 25 2020 - 7:00AM
IZEA Worldwide, Inc. (NASDAQ: IZEA), the premier provider of
influencer marketing technology, data, and services for the world’s
leading brands, provided an operations update to investors today.
The company has revised and increased its Q2 2020 Managed Services
bookings outlook from 25%+ to 40%+ following a series of new
customer wins and renewals from existing customers. In addition to
previously announced contract wins, the company has seen the return
of another Global Fortune 500 customer, an electronics
manufacturer, since the last update the company provided.
“Managed Services has seen meaningful year over
year growth in Q2 despite the customer impacts surrounding
COVID-19,” said Ted Murphy, IZEA’s Chairman and CEO. “I am
incredibly proud of what our team has been able accomplish during a
time of unprecedented global change. Many businesses are seeing
dramatic decreases in sales and disruption of operations. The
ability to deliver growth in these times underscores our
adaptability and customer sector diversification. We also believe
that COVID-19 has accelerated the shift in marketing spend for
large advertisers, with the influencer marketing category being a
net beneficiary. We are still very much so monitoring the
changing landscape as it relates to COVID-19, but we are optimistic
given the recovery of the core business since the effects of the
pandemic were first felt.”
Bookings are a measure of all sales orders, minus
any known or expected cancellations or refunds with respect to such
sales orders or refunds. Management uses bookings to inform
expectations of total sales activity. Subsequent revenue
recognition and effective margins vary by revenue stream, and
bookings are not always an indicator of revenue for the quarter and
could be subject to future adjustment.
Remote OperationsIZEA previously
announced that it temporarily closed all offices and chose not to
renew the lease on its headquarters, which expired in April. The
company expects to remain 100% remote through at least Q3 2020.
IZEA will not be signing any new leases until such time that
management feels employees would be safe and comfortable in an
office environment. Travel and entertainment expenses have also
been virtually eliminated at this time.
At-the-Market Offering ProgramTo
date, IZEA has sold $15.15 million dollars of common
stock at an average price of $2.26 a share. The company paid a
2% commission on the gross proceeds.
About IZEA Worldwide, Inc.IZEA
Worldwide, Inc. (“IZEA”) operates IZEAx, the premier online
marketplace that connects marketers with content creators. IZEAx
automates influencer marketing and custom content development,
allowing brands and agencies to scale their marketing programs.
IZEA creators include celebrities and accredited journalists.
Creators are compensated for producing unique content such as long
and short form text, videos, photos, status updates, and
illustrations for marketers or distributing such content on behalf
of marketers through their personal websites, blogs, and social
media channels. Marketers receive influential content and engaging,
shareable stories that drive awareness. For more information about
IZEA, visit https://izea.com/.
Safe Harbor StatementAll
statements in this release that are not based on historical fact
are “forward-looking statements” intended to qualify for the safe
harbor from liability established by the Private Securities
Litigation Reform Act of 1995. Forward-looking statements, which
are based on certain assumptions and describe our future plans,
strategies and expectations, can generally be identified by the use
of forward-looking terms such as “may,” “will,” “would,” “could,”
“should,” “expect,” “anticipate,” “estimate,” “believe,” “intend,”
"likely," "projects," “plans,” "pursue," "strategy" or "future," or
the negative of these words or other words or expressions of
similar meaning. Examples of forward-looking statements
include, among others, statements we make regarding expectations
concerning IZEA’s ability to increase revenue and bookings, growth
or maintenance of customer relationships, and expectations
concerning IZEA’s business strategy. Forward-looking statements
involve inherent risks and uncertainties which could cause actual
results to differ materially from those in the forward-looking
statements, as a result of various factors including, among others,
the following: competitive conditions in the content and social
sponsorship segment in which IZEA operates; failure to popularize
one or more of the marketplace platforms of IZEA; uncertainty
relating to the effects of COVID-19, our ability to establish
effective disclosure controls and procedures and internal control
over financial reporting; our ability to satisfy the requirements
for continued listing of our common stock on the Nasdaq Capital
Market; changing economic conditions that are less favorable than
expected; and other risks and uncertainties described in IZEA’s
periodic reports filed with the Securities and Exchange Commission.
The forward-looking statements made in this release speak only as
of the date of this release, and IZEA assumes no obligation to
update any such forward-looking statements to reflect actual
results or changes in expectations, except as otherwise required by
law.
Martin Smith
IZEA Worldwide, Inc.
Phone: 407-674-6911
Email: ir@izea.com
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