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BuzzFeed unlikely to go public next year as revenue falls up to 20% short of forecast, report says

  • BuzzFeed's 2017 revenue is set to fall 15 percent to 20 percent short of the of the goal of around $350 million, The Wall Street Journal reported.
  • BuzzFeed is no longer on track to go public, the report said.
  • Vice Media is also expected to fall short of its revenue target for the year, the Journal reported.

Jonah Peretti, Founder and CEO, Buzzfeed, speaks at the Wall Street Journal Digital Conference in Laguna Beach, California, U.S., October 18, 2017.
Lucy Nicholson | Reuters
Jonah Peretti, Founder and CEO, Buzzfeed, speaks at the Wall Street Journal Digital Conference in Laguna Beach, California, U.S., October 18, 2017.

Media start-up BuzzFeed is no longer on track to go public next year as its revenue for 2017 is on pace to fall far short of expectations, according to The Wall Street Journal.

Revenue for the high-flying publisher is set to fall 15 percent to 20 percent short of the of the goal of around $350 million, The Journal reported, citing unnamed sources familiar with the situation. BuzzFeed is a privately held company and financial results are not regularly distributed to the public.

The company's rapid expansion has elevated costs and worried board members, the Journal reported, as the digital media industry at large has struggled to generate profits. Vice Media is also expected to fall short of its revenue target for the year, the Journal reported.

BuzzFeed told CNBC it was "very well-positioned" for 2018 but did not specifically comment on a public offering.

"BuzzFeed grew revenue, content views, unique visitors, and time spent in 2017; we've expanded our ad offering with new products .... and rapidly diversified revenue through commerce, licensing, and development for TV and film," BuzzFeed said in a statement.

Vice did not immediately reply to a request for comment.

For more on the story see the full report at WSJ.com.

Disclosure: CNBC parent NBCUniversal is an investor in BuzzFeed.