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 and Vice were not immediately available to comment on the report.
Disclosure: CNBC parent NBCUniversal is an investor in BuzzFeed.
Source: Tech CNBC
BuzzFeed IPO in 2018 unlikely as sales fall way short of forecast, report says