Overview

* Upwork ( UPWK ) Q2 revenue of $194.9 mln beats analyst expectations, per LSEG data

* Adjusted EBITDA rises 40% yr/yr to $57.1 mln, beating estimates

* Co raises FY2025 revenue and adjusted EBITDA guidance

* Upwork ( UPWK ) acquires Bubty, agrees to acquire Ascen to expand workforce solutions

Outlook

* Upwork ( UPWK ) raises FY2025 revenue guidance to $765 mln-$775 mln

* Company raises FY2025 adjusted EBITDA guidance to $206 mln-$214 mln

* Upwork ( UPWK ) sees Q3 revenue between $190 mln and $195 mln

* Company expects Q3 adjusted EBITDA of $47 mln-$51 mln

Result Drivers

* AI FEATURES - Strong Marketplace performance driven by AI features that delivered value to customers, according to CEO Hayden Brown

* ACQUISITIONS - Announced acquisitions of Bubty and Ascen to enhance full-stack contingent workforce solutions for enterprise clients

* AI WORK GROWTH - GSV from AI-related work grew 30% year-over-year in Q2 2025, with significant demand for AI specialists

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $194.90 $187.70

Revenue mln mln (10

Analysts

)

Q2 EPS $0.24

Q2 Net $32.70

Income mln

Q2 Beat $57.10 $47.20

Adjusted mln mln (9

EBITDA Analysts

)

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the employment services peer group is "buy"

* Wall Street's median 12-month price target for Upwork Inc ( UPWK ) is $19.00, about 37.5% above its August 5 closing price of $11.88

* The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 11 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)