Wednesday, April 13, 2016

Update--"BuzzFeed Didn't Cut Its 2016 Forecast In Half, In Fact Everything's Fine"

Following up on yesterday's "New Media: 'BuzzFeed missed 2015 revenue targets and slashes 2016 projections'".
From re/code:

BuzzFeed didn’t cut its 2016 forecast in half, says BuzzFeed chair Ken Lerer
 BuzzFeed CEO Jonah Peretti
BuzzFeed’s doing fine. So is the digital media business. Everything’s going to be great, as long as you understand that everything is changing.

That’s the message from BuzzFeed chairman Ken Lerer, who disputes an industry-rattling report that the company has “slashed” its projections for 2016 after missing last year’s goals.
“Anyone who thinks that this isn’t a terrific time to be in digital content is dead wrong,” Lerer says. “It’s a fantastic time.”

While the Financial Times reported Tuesday that BuzzFeed had cut its 2016 revenue goals in half, from $500 million to $250 million, Lerer says the company’s board hasn’t changed its forecast for this year. He says the company met its projections for the first quarter of this year and is on pace to exceed its projections in Q2 and the rest of the year.

“There’s nothing cratering in the industry. It’s better than ever,” Lerer says. “It’s just different. And if you want to succeed, you have to open your eyes and realize how it’s different, and take advantage of it.”

Lerer wouldn’t discuss BuzzFeed’s performance last year, and he wouldn’t talk about the company’s financials in any further detail.

Three people familiar with the company’s financials, but who don’t work at BuzzFeed, say BuzzFeed did indeed miss its 2015 projections, as Digiday reported earlier this year. One source says the company generated $170 million in revenue, missing a goal of $210 million; the FT reported the same revenue number, but said the company’s goal was $250 million....MORE 
HT: FT Alphaville's Further Reading post.