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Registered number:
FOR THE YEAR ENDED 31 DECEMBER 2024
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BUZZFEED UK LIMITED
CONTENTS
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BUZZFEED UK LIMITED
COMPANY INFORMATION
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BUZZFEED UK LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
The directors present their strategic report on BuzzFeed UK Limited for the year ended 31 December 2024.
BuzzFeed UK Limited is a wholly owned subsidiary of BuzzFeed, Inc. which is listed on The Nasdaq Stock Market LLC exchange in the United States of America.
BuzzFeed is a premier digital media company. Across entertainment, news, food, pop culture, and commerce, its brands drive conversation and inspire what audiences watch, read, and buy now — and into the future. During 2024, BuzzFeed UK Limited generated third party revenue of £1.2m (2023: £6.7m) primarily from advertising, content, commerce and other sold to leading brands, as well as intragroup revenue of £2.9m (2023: £872k) in respect of services provided to the wider group on an arm's length basis.
Average headcount was reduced from 57 people in 2023 to 15 people in 2024, which was majority due to 33 individuals transferring to Independent Digital News and Media Limited (“IDNM”), as further discussed below. The profit after tax for the year was £279k as compared to a profit of £74k in 2024. There were other significant contributing factors to the 2024 and 2023 financial results, including a foreign currency gain of £168k in 2024 and £1,877,461 in 2023. The net liabilities declined by £323k, from £15.8m in 2023 to £15.5m in 2024. In February 2024, BuzzFeed, Inc. completed the sale of certain assets of Complex Networks (excluding the First We Feast brand) in an all cash sale in order to refocus its business around scalable, high margin and tech led revenue streams. In March 2024, BuzzFeed UK Limited and HuffPost UK Limited (as subsidiaries of BuzzFeed, Inc.), entered into a license agreement, an ancillary asset purchase agreement, an employee transfer agreement and an IT services agreement, with IDNM for an initial term of 5 years, unless terminated earlier pursuant to the terms of the license agreement. Under the terms of the license agreement, the above referenced entities have granted IDNM a license to use the intellectual property, websites, social media accounts, and content of the BuzzFeed, Tasty and HuffPost brands in the UK. In December 2024, BuzzFeed, Inc. completed the sale of certain assets and liabilities relating to the business of First We Feast in order to finalize its strategy to refocus its business around higher-margin revenue streams such as programmatic advertising and affiliate commerce, as well as tech-led initiatives. Going concern The financial statements have been prepared on a going concern basis notwithstanding the fact that the company has a deficiency on shareholder's funds of £15.5m at the end of the year. The net amounts owed to group undertakings and related parties amount to £18.3m at the end of the year. The company has received a letter of support from BuzzFeed, Inc. to confirm its willingness to support the BuzzFeed UK group’s operations for the forseeable future, being a period of not less than twelve months from the date these financial statements were approved. BuzzFeed, Inc. previously disclosed conditions that raised substantial doubt about its ability to continue as a going concern, which was due to the holders of the $150.0 million aggregate principal amount of unsecured convertible notes due 2026 (the "Notes") having the ability to require the Company to repurchase all of the Notes then-outstanding, for cash, at any time on or after May 31, 2025. In May 2025, BuzzFeed, Inc. secured a $40.0 million asset-backed term loan (the “Term Loan”) and used a portion of the proceeds to repay, in full, the Notes. As a result of these efforts, and due to expected cash flows from operations over the next 12 months, the group disclosed that the substantial doubt about BuzzFeed, Inc.'s ability to continue as a going concern was resolved.
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BUZZFEED UK LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
In August 2025, BuzzFeed, Inc. amended the Term Loan, and borrowed an additional $5.0 million. The aforementioned $5.0 million is required to be repaid in full by February 20, 2026. BuzzFeed, Inc. borrowed the additional $5.0 million to optimize near-term cash flow by securing funds in advance of anticipated material receipts expected over the coming months. This proactive raise was not driven by liquidity concerns or any deterioration in BuzzFeed, Inc.’s financial position. Rather, it was a strategic decision to ensure operational flexibility and maintain momentum as BuzzFeed, Inc. prepares for incoming cash inflows. As such, BuzzFeed, Inc.’s management does not consider there to be a material uncertainty regarding BuzzFeed, Inc.’s ability to continue as a going concern.
As set out in the latest 6-month results published, BuzzFeed, Inc. has cash available on hand of $29.7 million. The group refinancing activities have improved the financial position of the group. Through enquiries of the parent company, its financial position, strategic plans and forecasts, the directors expect the company to have access to sufficient financial support and have adopted the going concern basis in preparing these financial statements. Future developments and post balance sheet events As of the date of signing these financial statements, BuzzFeed UK continues to operate under the aforementioned licensing agreement, facilitating the licensing of the BuzzFeed, HuffPost, and Tasty brands in the UK to IDNM. BuzzFeed UK’s resources, namely its remaining employees, are dedicated fully to supporting the business operations of BuzzFeed, Inc. The directors consider the UK group, and its parent, well placed to manage the potential uncertainties faced, including those in relation to going concern as noted above. This is, in part, as a result of the business having licensed its UK operations so it can seek to unlock investment in new editorial products and services.
We consider that our key financial performance indicators are those that communicate the financial performance and strength of the group as a whole, as well as the group’s contribution to the wider BuzzFeed organisation and support of the brand. These may include, but are not limited to, turnover from in market customers, operating profit, and profit on ordinary activities before taxation as set out in the profit and loss account.
The directors consider the following to be the principal risks and uncertainties facing BuzzFeed UK during the year. The directors and the ultimate parent company, BuzzFeed, Inc., actively manage these risks and ensure that there are appropriate policies in place in order to mitigate these risks. The licensing agreement and transfer of trade and assets with IDNM has mitigated a number of external risks for BuzzFeed UK.
Market risk BuzzFeed’s exposure to market risk derives from the financial position of companies wanting to engage the BuzzFeed audience. Advertising and content revenues represent a significant percentage of total revenue for BuzzFeed UK therefore changes in advertising and content strategies, or a reduction in advertising or content spend, of these companies may adversely affect future revenues and growth. Competitive risk BuzzFeed operates in a market in which there is significant competition from other publishers and agencies. The continued production and distribution of innovative content, as well as diversification of revenue streams, are essential to maintaining high levels of user engagement and therefore future growth. Foreign exchange risk BuzzFeed UK has exposure to the risk of adverse variations in the foreign exchange rates. This predominantly arises from amounts owed to and from group entities that have accrued over time in various currencies. As these amounts are not typically set off against one another BuzzFeed UK can be subject to significant fluctuations in foreign exchange.
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BUZZFEED UK LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
Regulatory and economic risk Changes in regulatory environments, local political and economic conditions, fluctuations in foreign currency exchange rates and changes to tariffs or other trade barriers. Due to BuzzFeed UK’s intracompany relationships and transfer pricing arrangements with other BuzzFeed entities within the group, any changes to the aforementioned conditions could adversely affect the company’s financial results.
Section 172 (1)(a) to (f) requires the directors to act in the way they consider would be most likely to promote the success of the company for the benefit of its members, as a whole, with regard to the following matters:
a) The likely consequences of any decision in the long-term The directors understand the business and group activities and therefore the evolving digital media environment in which they operate. The long term strategy set by the directors is to further accelerate turnover by continued innovation of new products in current streams such as native and expanding into new areas such as media sales and affiliate marketing. This is, in part, why the business licensed its UK operations so it can seek to unlock investment in new editorial products and services. b) The interests of the company's employees The directors recognise that employees are fundamental to the success of the company. Directors are committed to providing a safe and respectful work environment free of any form of discrimination, harassment and intimidation. The BuzzFeed group values openness and collaboration, experimentation and growth, and diversity of thought and experience. BuzzFeed UK’s employees work remotely and the group’s management keeps employees updated on mental health resources available to them. c) The need to foster the company's business relationships with suppliers, customers and others With whom the company does business is continuously assessed to determine if they comply with BuzzFeed’s guiding principles including but not limited to being ethical and honest, treating others fairly, and law abiding. d) The impact of the company's operations on the community and environment Through its audience led approach to messaging and distribution, BuzzFeed strives to create content that has a positive impact on people’s lives and empowers communities to highlight crucial issues that affect them. e) The desirability of the company maintaining a reputation for high standards of business conduct The directors periodically review and approve clear frameworks such as BuzzFeed’s Code of Conduct to ensure that its high standards are maintained both within the group and the business relationships it maintains. f) The need to act fairly as between members of the company The directors consider which course of action best enables delivery of the company’s strategy through the long term, taking into consideration the impact on key stakeholders. The company is a wholly owned subsidiary of BuzzFeed, Inc. and the directors of the company have regular and open dialogue with its representatives.
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BUZZFEED UK LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
This report was approved by the board and signed on its behalf.
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BUZZFEED UK LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
The directors present their report and the financial statements for the year ended 31 December 2024.
The profit for the year, after taxation, amounted to £278,551 (2023 - £74,027).
The directors do not recommend a dividend (2023: £nil)
The directors who served during the year were:
As permitted by Section 414c(11) of the Companies Act 2006, the directors have elected to disclose information required to be in the directors' report by Schedule 7 of the 'Large and Medium-sized Companies and Group (Accounts and Reports) Regulations 2008', in the strategic report.
This report was approved by the board and signed on its behalf.
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BUZZFEED UK LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2024
The directors are responsible for preparing the strategic report, the directors' report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period.
In preparing these financial statements, the directors are required to:
∙select suitable accounting policies for the company's financial statements and then apply them consistently;
∙make judgments and accounting estimates that are reasonable and prudent;
∙prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
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BUZZFEED UK LIMITED
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BUZZFEED UK LIMITED
FOR THE YEAR ENDED 31 DECEMBER 2024
We have audited the financial statements of BuzzFeed UK Limited for the year ended 31 December 2024, which comprise the profit and loss account, the balance sheet, the statement of changes in equity, and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
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BUZZFEED UK LIMITED
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BUZZFEED UK LIMITED (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
In our opinion, based on the work undertaken in the course of the audit:
∙the information given in the Strategic report and the Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
∙the Strategic report and the Directors' report have been prepared in accordance with applicable legal requirements.
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic report or the Directors' report.
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BUZZFEED UK LIMITED
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BUZZFEED UK LIMITED (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
∙the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
∙we identified the laws and regulations applicable to the parent company and group through discussions with directors and other management, and from our commercial knowledge and experience of the company's sector;
∙we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the parent company and group, including the Companies Act 2006 and taxation legislation;
∙we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management; and
∙identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.
We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
∙making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and
∙considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.
To address the risk of fraud through management bias and override of controls, we:
∙performed analytical procedures to identify any unusual movements;
∙tested journal entries to identify unusual transactions;
∙assessed whether judgements and assumptions made in determining the accounting estimates set out in note 3 were indicative of potential bias; and
∙investigated the rationale behind significant or unusual transactions.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
∙agreeing financial statement disclosures to underlying supporting documentation; and
∙enquiring of management as to actual and potential litigation and claim.
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.
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BUZZFEED UK LIMITED
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BUZZFEED UK LIMITED (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members, as a body, for our audit work, for this report, or for the opinions we have formed.
for and on behalf of
Chartered Accountants
Statutory Auditor
16 Great Queen Street
Covent Garden
WC2B 5AH
Date:
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BUZZFEED UK LIMITED
PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2024
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BUZZFEED UK LIMITED
BALANCE SHEET
AS AT 31 DECEMBER 2024
The financial statements were approved and authorised for issue by the board and were signed on its behalf by:
The notes on pages 15 to 31 form part of these financial statements.
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BUZZFEED UK LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024
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BUZZFEED UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
The principal activity of the company during the year was to support the BuzzFeed Inc. group with online media generation and advertising services.
The company is a private company limited by shares incorporated in England and Wales. The address of its registered office is 5 New Street Square, London, EC4A 3TW. The address of its principal place of business is Floor 1, Counting House, 53 Tooley Street, London, SE1 2QN. The financial statements are prepared in Sterling (£), which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
2.Accounting policies
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with FRS 102 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland' and the requirements of the Companies Act 2006.
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the company's accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements are disclosed in note 3. The company was, at the year end, a wholly-owned subsidiary of BuzzFeed, Inc., a company incorporated in the United States, whose registered address is 50 West 23rd St, New York, NY 10010, USA. The company prepared consolidated accounts in the prior year, however In accordance with the exemption given in Section 401 of the Companies Act 2006, the company is not required to produce, and has not published, consolidated accounts as it is included within consolidated accounts of its wider group which are publicly available. The comparative figures presented in these accounts are of the company and are not consolidated. The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102:
∙Section 3 Financial Statement Presentation Paragraph 3.17(d) (inclusion of statement of cash flows);
∙Section 6 Statement of Cash Flows (inclusion of statement of cash flows);
∙Section 11 Financial Instruments paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(ii), 11.48(a)(iv), 11.48(b) and 11.48(c) (disclosures relating to financial instruments);
∙Section 26 Share based payments (disclosure of share based payments);
∙Section 33 Related Party Disclosures paragraph 33.7 (disclosures of key management personnel compensation).
The company is included in the consolidated financial statements of BuzzFeed, Inc. for the year ended 31 December 2024 and these financial statements may be obtained from www.buzzfeed.com.
The following principal accounting policies have been applied:
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BUZZFEED UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
The financial statements have been prepared on a going concern basis notwithstanding the fact that the company has a deficiency on shareholder's funds of £15.5m at the end of the year. The net amounts owed to group undertakings and related parties amount to £18.3m at the end of the year.
The company has received a letter of support from BuzzFeed, Inc. to confirm its willingness to support the BuzzFeed UK group’s operations for the forseeable future, being a period of not less than twelve months from the date these financial statements were approved. BuzzFeed, Inc. previously disclosed conditions that raised substantial doubt about its ability to continue as a going concern, which was due to the holders of the $150.0 million aggregate principal amount of unsecured convertible notes due 2026 (the "Notes") having the ability to require the Company to repurchase all of the Notes then-outstanding, for cash, at any time on or after May 31, 2025. In May 2025, BuzzFeed, Inc. secured a $40.0 million asset-backed term loan (the “Term Loan”) and used a portion of the proceeds to repay, in full, the Notes. As a result of these efforts, and due to expected cash flows from operations over the next 12 months, the group disclosed that the substantial doubt about BuzzFeed, Inc.'s ability to continue as a going concern was resolved. In August 2025, BuzzFeed, Inc. amended the Term Loan, and borrowed an additional $5.0 million. The aforementioned $5.0 million is required to be repaid in full by February 20, 2026. BuzzFeed, Inc. borrowed the additional $5.0 million to optimize near-term cash flow by securing funds in advance of anticipated material receipts expected over the coming months. This proactive raise was not driven by liquidity concerns or any deterioration in BuzzFeed, Inc.’s financial position. Rather, it was a strategic decision to ensure operational flexibility and maintain momentum as BuzzFeed, Inc. prepares for incoming cash inflows. As such, BuzzFeed, Inc.’s management does not consider there to be a material uncertainty regarding BuzzFeed, Inc.’s ability to continue as a going concern. As set out in the latest 6-month results published, BuzzFeed, Inc. has cash available on hand of $29.7 million. The group refinancing activities have improved the financial position of the group. Through enquiries of the parent company, its financial position, strategic plans and forecasts, the directors expect the company to have access to sufficient financial support and have adopted the going concern basis in preparing these financial statements.
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BUZZFEED UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.
Depreciation is provided on the following basis:
The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.
Associates and joint ventures are held at cost less impairment.
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BUZZFEED UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
The company has elected to apply Sections 11 and 12 of FRS 102 in respect of financial instruments.
Financial assets and financial liabilities are recognised when the company becomes party to the contractual provisions of the instrument. Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. The company’s policies for its major classes of financial assets and financial liabilities are set out below. Financial assets Basic financial assets, including trade and other debtors, cash and bank balances, intercompany working capital balances, and intercompany financing are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest for a similar debt instrument. Financing transactions are those in which payment is deferred beyond normal business terms or is financed at a rate of interest that is not a market rate. Such assets are subsequently carried at amortised cost using the effective interest method, less any impairment. Financial liabilities Basic financial liabilities, including trade and other creditors, and loans from fellow group companies are classified as debt, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Financing transactions are those in which payment is deferred beyond normal business terms or is financed at a rate of interest that is not a market rate. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Impairment of financial assets Financial assets measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the profit and loss account.
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BUZZFEED UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
For financial assets measured at cost less impairment, the impairment loss is measured as the difference between the asset's carrying amount and the best estimate of the amount the company would receive for the asset if it were to be sold at the reporting date.
For financial assets measured at amortised cost, the impairment loss is measured as the difference between the asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If the financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract. If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss. Derecognition of financial assets and financial liabilities Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) despite having retained some significant risks and rewards of ownership, control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions. Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires. Offsetting of financial assets and financial liabilities Financial assets and liabilities are offset and the net amount reported in the balance sheet when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new ordinary shares or options are shown in equity as a deduction, net of tax, from the proceeds.
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BUZZFEED UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
The fair value of the award also takes into account non-vesting conditions. These are either factors beyond the control of either party (such as a target based on an index) or factors which are within the control of one or other of the parties (such as the company keeping the scheme open or the employee maintaining any contributions required by the scheme). Where the terms and conditions of options are modified before they vest, the increase in the fair value of the options, measured immediately before and after the modification, is also charged to profit or loss over the remaining vesting period. Where equity instruments are granted to persons other than employees, profit or loss is charged with fair value of goods and services received.
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BUZZFEED UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
The tax expense for the year comprises current and deferred tax. Tax is recognised in the profit and loss account, except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.
Current tax is the amount of income tax payable in respect of taxable profit for the year or prior years. The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the company operates and generates income. Deferred tax arises from timing differences that are differences between taxable profits and total comprehensive income as stated in the financial statements. These timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in the financial statements. Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
∙The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
∙Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.
Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.
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BUZZFEED UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Analysis of turnover by country of destination:
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BUZZFEED UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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BUZZFEED UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
7.Taxation (continued)
There were no factors that may affect future tax charges.
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BUZZFEED UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 25
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BUZZFEED UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 26
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BUZZFEED UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 27
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BUZZFEED UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 28
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BUZZFEED UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Share premium account
Other reserves
Share based payment reserve
Profit and loss account
Page 29
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BUZZFEED UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 30
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BUZZFEED UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
The group operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the group in an independently administered fund. The pension cost charge represents contributions payable by the group to the fund and amounted to £53,017 (2023: £117,176). Contributions totalling £18,688 (2023: £19,105) were payable to the fund at the balance sheet date and are included in creditors.
The company has taken advantage of the exemption contained in FRS 102 section 33 "Related Party Disclosures" from disclosing transactions with entities which are a wholly owned part of the group.
Transactions with (other) related parties are as follows:
Amounts owed to related parties are unsecured, interest free and due for repayment within one year.
Key management compensation Key management personnel of the group are considered to be the directors of the company. During the year no director received any remuneration from the company or its subsidiaries.
The parent undertaking for the largest group of undertakings for which group financial statements are drawn up and of which the company is a member is
The ultimate controlling party is BuzzFeed, Inc.
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