Upwork’s Q2 revenue climbs to $168.6Mn
CALIFORNIA, UNITED STATES — Global freelancing platform Upwork reported a promising second quarter, with revenue climbing 7.5% year-on-year (YoY) to $168.6 million.
Much of this success was attributed to marketplace revenue, which spiked 8.5% to US$156.6 million. Factors influencing this increase include pricing alterations in April 2022, the growth in virtual tokens called Connects, and the introduction of a contract initiation fee in April 2023.
However, Upwork also reported some setbacks last quarter. First, the firm saw a dip in talent services fees after introducing a flat 10% fee structure for talent last May.
Additionally, gross services volume witnessed a minor 1% decrease YoY at $1.04 billion, influenced by strong performances in the previous year’s second quarter and the pricing changes.
Encouragingly, active clients on the platform saw a 2% annual rise, totaling 822,000 in Q2. The company also managed to shrink its net loss from $23.8 million in the previous year to just $4.0 million this quarter.
“We achieved better-than-expected results across our financial goals while making significant strides in generative AI and growth across our business,” the company reported in a shareholder letter,” said Upwork.
For the upcoming quarter, the freelancing platform anticipates revenue between $165 million and $170 million and predicts a year-end total of $665 million to $675 million.
Related news
- 39% of the US workforce are freelancers, says Upwork · 14 Dec 2022
- Outsourcing conference highlights future of remote work, global employment · 15 Jun
- Upwork releases campaign mocking the old ways of working · 11 Oct 2022
Disclosure: Outsource Accelerator uses AI tools in the backend of its editorial workflow. Every article is reviewed and verified by a human editor before publication.
Stay ahead of the outsourcing industry. Join thousands of business leaders who rely on Outsource Accelerator for the news, trends, and expert insights that matter. Subscribe to our free newsletter and never miss an update.
