Stock to Watch: IZEA Worldwide Inc. (NASDAQ: IZEA)

ORLANDO, FL, June 27, 2019 – Shares of IZEA Worldwide Inc. (NASDAQ: IZEA) inclined 3.64% to $0.57. The stock traded total volume of 586.161K shares higher than the average volume of 395.25K shares.

IZEA Worldwide, Inc. (IZEA) recently declared that revenue in the fourth quarter of 2018 reduced 7% to $6.30M contrast to $6.80M in the corresponding quarter of 2017. The decrease was because of the reductions of Managed Service offerings, which were partially offset by revenue growth in our license fees and marketplace, spend, both of which stem from our 2018 acquisition of TapInfluence.

Total costs and expenses in the fourth quarter of 2018 were $6.80M contrast to $7.50M in the corresponding quarter of 2017. This decrease was mainly because of reduced personnel-related costs as well as lower public relations and marketing expenses

Net loss in the fourth quarter of 2018 was $693.0K or $(0.06) per share, as contrast to a net loss of $743.0B or $(0.13) per share in the corresponding quarter of 2017.

Adjusted EBITDA in the fourth quarter of 2018 was $23.0K contrast to $103.0K in the corresponding quarter of 2017. Adjusted EBITDA as a percentage of revenue in the fourth quarter of 2018 was just above break-even, contrast to 2% in the corresponding quarter of 2017.

Cash and cash equivalents at December 31, 2018 totaled $2.00M. At the end of the quarter the Company had accessed about $1.50M of its $5.00M credit line.

Full Year 2018 Financial Results:

Revenue for the twelve months ended December 31, 2018 reduced by $4.30M, or about 18%, contrast to the same period in 2017. This is because of the decline in Managed Services, which was partially offset by the increase in our license fees and Marketplace Spend revenues.

Total costs and expenses were $25.50M in 2018 and $29.90M in 2017. The decrease was mainly attributable to reduced personnel costs and related overhead, as well as reduced marketing spend.

Net loss in 2018 was $5.70M or $(0.67) per share, contrast to a net loss of $5.40M or $(0.96) per share in 2017. The increase in net loss was influenced by the factors discussed formerly, as well as a boost in our interest paid to finance our operations.

Adjusted EBITDA was $(2.50)M in 2018 contrast to $(5.10)M in 2017. Adjusted EBITDA as a percentage of revenue was (13%) in 2018 contrast to (21%) in 2017.

IZEA has the market capitalization of $14.44M and its EPS growth ratio for the past five years was 34.00%. The return on assets ratio of the Company was -27.20% while its return on investment ratio stands at -62.20%. Price to sales ratio was 0.69 while 3.90% of the stock was owned by institutional investors.

Ameena Dalia

Finance and Entertainment Reporter