BuzzFeed reported quarterly earnings on Thursday and said investors ad revenue rose 79% year-over-year in the second quarter to $47.8 million as the economy emerged from the coronavirus pandemic.
The company reported total revenue of $89.1 million for Q2 2021, up nearly 51% year-over-year, attributing some of the growth to its e-commerce business, which generates revenue by recommending and selling products online.
“Our data-informed approach to content creation and capital allocation allows us to capitalize on secular trends in advertising and commerce and helped fuel our significant topline growth in the first half of the year,” BuzzFeed CEO Jonah Peretti said in a statement Thursday,
“This impressive performance in the year to date lays the foundation for what we expect to be an exciting second half, with the anticipated closing of the acquisition of Complex Networks and our simultaneous emergence as a public company.”
BuzzFeed announced earlier that it is targeting $521 million in 2021 revenue (50% from ads, 32% from content and 18% from commerce), including Complex Networks, which will increase by 24% from 2020.
BuzFeed is planning to go public through a merger with U.S. based SPAC company 890 5th Avenue Partners Inc later this year, valuing the combined company at $1.5 billion.
The company also announced in June that it has agreed to acquire Complex Networks, a global youth entertainment company known for its “Hot Ones” celebrity interview series and its coverage of streetwear.
Revenue at Complex Networks fell about 5% to $31.1 million in the second quarter, while its advertising revenue surged by 75% to $14.6 million. Adjusted EBITDA loss for the company in Q2 was $1.2 million. Its e-commerce revenue quintupled to nearly $4 million.