Fiverr International Ltd. Q3 FY2025 earnings call

• Revenue grew 8% y-o-y in Q3 '25 with record adjusted EBITDA margin of 22%. - Spend per buyer increased 12% y-o-y. - Marketplace segment driven by AI-related categories, Managed Services, and Dynamic Matching. - Services segment saw 40% y-o-y growth with Fiverr Go, Fiverr Ads, and AutoDS contributing. - Strategic restructuring announced in September to streamline organization, focus on product, and become AI-first with 4 key pillars: strengthening go-to-market, building AI-powered buyer experience, evolving matching technology, and investing in talent.

In Q3 '25, Marketplace revenue was $73.6 million, driven by 3.3 million active buyers, $330 spend per buyer, and 27.6% marketplace take rate. Services revenue was $34.3 million, up 40% year-over-year and accounting for 32% of total revenue. Revenue for Q3 '25 grew 8% year-over-year, and adjusted EBITDA margin was a record high 22%.

• Full-year 2025 revenue expected $428M - $436M (9%-11% growth). - Full-year adjusted EBITDA expected $88M - $93M (adjusted EBITDA margin 21% midpoint). - Q4 2025 revenue expected $104.3M - $112.3M (1%-8% growth). - Q4 adjusted EBITDA expected $23.9M - $27.9M (adjusted EBITDA margin 24% midpoint).

• Macro environment uncertainty with uneven labor markets and mixed hiring trends. - Elevated uncertainty in macro environment impacting Q4 revenue guidance.

Q: Double-click on how reimagining marketplace to be AI first, specifically buyer experience and matching.

A: AI allows better extraction of customer needs for accurate matching, especially for complex projects.

Q: Key investments in '26 to transform into AI-first company?

A: Focus on talent, infrastructure, marketplace experience, with AI-first mentality in internal and core business.

Q: Confidence in products returning marketplace to growth in 2026?

A: AI-driven products growing faster, transactions over $200 and $1,000 growing, so confidence exists.

Q: Macro uncertainty and wider guidance?

A: No change in macro, so guidance wide.

Q: Phasing of restructuring benefits?

A: Bigger impact in Q4, but next year EBITDA to improve but not same cadence as Q4.

Q: Categories benefiting from AI?

A: Programming and tech, digital marketing, video and animation; customers more educated, better express needs.

Q: Move upmarket unlocks?

A: Many customers unaware of Fiverr's ability for large projects, LLM channels as opportunity, customers more explicit in needs.