IZEA — Q3 2026 Earnings Summary

Financial Performance:

• Total revenue for Q3 2026 was $6.2 million, a 23% decrease from $8.1 million in Q3 2025.
• Managed Services revenue was $6.18 million, down 23% year-over-year; SaaS Services revenue was $17,061, down 53%.
• Total costs and expenses decreased 16% to $7.0 million from $8.4 million in the prior year period.
• Cost of revenue was $3.9 million, a 6% decrease from the prior year.
• Sales and marketing expenses decreased 33% to $0.7 million; general and administrative expenses decreased 25% to $2.3 million.
• Net loss was $0.4 million ($0.03 per share), compared to net income of $0.1 million ($0.01 per share) in Q3 2025.
• Adjusted EBITDA was $(0.2) million, compared to $0.4 million in the prior year.
• Cash and equivalents totaled $46.4 million as of September 30, 2026, with no long-term debt.
• Contract liabilities (deferred revenue) were $4.5 million as of September 30, 2026, down from $4.7 million at December 31, 2025.

Guidance and Future Outlook:

• Management expects Q4 2026 revenue to be between $7.5 million and $8.1 million, representing 24% to 34% year-over-year growth.
• The outlook is based on contracted bookings and expected campaign timing, assuming limited contribution from customer opportunities not yet under contract.
• The Company has not established a practice of providing regular financial guidance and undertakes no obligation to update this outlook.

Business Segments and Product Lines:

• Managed Services bookings totaled $7.0 million, a 94% increase from the prior year and 54% increase sequentially from Q2 2026.
• Revenue from the three largest enterprise accounts grew 21% year-over-year, offsetting lower revenues from other enterprise accounts and the run-off of non-core SMB customers (which contributed $1.2 million in Q3 2025).
• IZEA won new business from major entertainment and technology leaders including Disney-ABC, HBO Max, Hulu, and ASUS.
• The Company executed high-visibility campaigns for Nestlé Vital Proteins, Lionsgate, and Ravensburger.
• 100% of new campaigns were managed through ZED, the proprietary AI-powered creator marketing operations platform.

Market and Competitive Landscape:

• IZEA increased its share of creator marketing spend within its top three enterprise accounts, growing these accounts faster than the market.
• The Company is executing a strategic shift away from non-core SMB customers to focus on enterprise-focused relationships.

Risks and Challenges:

• Revenue decline was driven by lower revenue from other established enterprise accounts and the continued impact of the strategic shift away from SMB customers.
• Cost of revenue declined more slowly than revenue, reflecting comparatively lower margins from a large enterprise customer and internal delivery labor costs that did not decline proportionately.
• The Company faces risks related to the conversion of bookings to revenue, dependence on a limited number of large customers, and competitive conditions in the content and social sponsorship segment.

Management Commentary and Tone:

• CEO Patrick Venetucci stated that results demonstrate progress in the enterprise-focused transformation, citing 94% growth in bookings and double-digit growth across largest clients.
• Management expressed confidence in achieving Q4 revenue guidance and entering the quarter with strong momentum.
• The Company intends to pursue strategic acquisitions to accelerate growth, expand capabilities, and strengthen its competitive position.

Other Key Points:

• The Company has a commitment to repurchase up to $10.0 million of stock; as of September 30, 2026, it has purchased 908,798 shares for $2.6 million, including 250,583 shares for $0.8 million in Q3.
• A conference call to discuss results was held on November 12, 2026, featuring CEO Patrick Venetucci and CFO Peter Biere.
• The Company operates a full-service creator economy agency powered by its proprietary ZED technology, having facilitated nearly 4 million collaborations since 2006.