Shares of Fiverr International Ltd. (FVRR) are surging 5% in pre-market trading on Wednesday following the company's impressive first-quarter 2025 earnings report and raised full-year guidance. The online freelance marketplace operator delivered results that surpassed analyst expectations, demonstrating resilience in a challenging macroeconomic environment.
Fiverr reported adjusted earnings per share of $0.64 for Q1, comfortably beating the analyst consensus estimate of $0.59. This represents a 23.08% increase from the same period last year. Revenue also exceeded expectations, coming in at $107.18 million, up 14.61% year-over-year and above the estimated $106.06 million. The company's performance was driven by an 8.8% increase in spend per buyer to $309, despite a slight decrease in active buyers.
Adding to investor optimism, Fiverr raised its full-year 2025 revenue guidance to $425-$438 million, up from its previous forecast of $422-$438 million. The company also increased its adjusted EBITDA guidance to $84-$90 million. CEO Micha Kaufman attributed the strong results to stable marketplace performance, robust services revenue growth, and rapid expansion of AI products. The successful launch of Fiverr Go, the company's AI-powered offering, has shown positive signs in buyer conversion rates and purchase quality, indicating potential for future growth in the evolving gig economy landscape.