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What were the key takeaways from Fiverr International’s earnings call?

- **Revenue Growth**: Q3 2025 revenue $107.9M (+8% YoY), with record 22% EBITDA margin. Services segment up 40% YoY.
- **AI-Driven Expansion**: Programming & Tech vertical +14% YoY, Dynamic Matching GMV +22% YoY, Managed Services GMV +65% YoY.
- **Strategic Restructuring**: 2026 AI-first transformation focuses on AI-powered matching, talent ecosystem, and customer success.
- **Guidance**: 2025 revenue $428-436M (9-11% growth), 2026 EBITDA margin target 25%.
- **Macro Resilience**: Marketplace GMV flat/declining, but upmarket projects (>50% of Marketplace) growing double-digit YoY.

**【CEO Summary Section】**
- Q3 2025 revenue grew 8% YoY to $107.9 million, with a record adjusted EBITDA margin of 22% ($24.2 million). 
- Dynamic Matching GMV rose 22% YoY (avg. $2,200 per project), while Managed Services GMV surged 65% YoY (avg. $17,000 per project). 
- Programming & Tech vertical grew 14% YoY, driven by AI-related demand for workflow automation and vibe coding. 
- Announced strategic restructuring to accelerate AI-first transformation, focusing on 4 pillars: 
  1. AI-powered go-to-market (LLM workflows, native AI channels) 
  2. Agentic matching (recruiting-like talent orchestration) 
  3. Talent ecosystem expansion (human-in-the-loop workflows) 
  4. Customer success & trust (enhanced KYC capabilities)

**【CFO Financial Commentary】**
- Services segment revenue grew 40% YoY to $34.3 million (32% of total), driven by: 
  - Fiverr Go adoption (+20% YoY) 
  - Fiverr Ads double-digit growth (ad load expansion) 
  - AutoDS success with Shopify partnership
- Full-year 2025 guidance: 
  - Revenue: $428-436 million (9-11% YoY growth) 
  - Adjusted EBITDA: $88-93 million (21% margin at midpoint)
- Q4 2025 outlook: 
  - Revenue: $104.3-112.3 million (1-8% YoY growth) 
  - Adjusted EBITDA: $23.9-27.9 million (24% margin at midpoint)
- Marketplace GMV expected to remain flat/decline single-digit due to macro uncertainty, while Services growth moderates post-1-year anniversary of acquisition.

**【Q&A Key Highlights】**
- **AI Transformation**: CEO Micha Kaufman emphasized AI is redefining customer needs (prompting vs. search), enabling more accurate talent matching for complex projects. 15% of Dynamic Matching briefs exceed $1,000, vs. average transaction size of $200.
- **Macro Assumptions**: CFO Ofer Katz stated Q4 guidance reflects flat/declining Marketplace GMV (due to weak SMB hiring), while Services growth continues at ~30% of total revenue.
- **Restructuring Impact**: Q4 2025 will see one-time restructuring benefits, but 2026 EBITDA margin expansion will require reinvesting savings into AI/upmarket initiatives.
- **SMB Recovery**: No assumption of SMB recovery; focus on upmarket projects (transactions >$200 now 50% of Marketplace, growing double-digit YoY).
- **AI Job Displacement**: Low-skill commoditized jobs (e.g., basic graphic design) are being automated, but high-skill projects (e.g., AI workflow orchestration) are growing 20%+ YoY.


Fiverr International Ltd. (FVRR) Q3 2025 Earnings Call Transcript

Revenue

Sales and Services Revenue

Financing Services Revenue

Other Revenue

Cost of Revenue

Cost of Goods and Services

Cost of Financing Services

Other Cost

Gross Profit

Other Operating Income

Operating Expenses

Selling, General and Administrative Expenses

Selling and Marketing Expenses

General and Administrative Expenses

Research and Development Expenses

Loss on Bad Debts

Loss on Impairment of Other Assets

Loss on Disposal of Assets

Other Operating Expenses

Operating Income

Non-Operating Income (Loss)

Income (Loss) from Affiliates

Income (Loss) from Associates

Income (Loss) from Joint ventures

Gain (Loss) on Other Investment

Gain (Loss) on Change in Fair Value

Gain (Loss) on Foreign Currency Exchange

Other Non-Operating Income (Loss)

Net Interest Expense

Interest Expense

Interest Income

Pretax Income From Continuing Operations

Income Tax Expense

Current Income Tax

Deferred Income Tax

Income Tax Adjustments

Net Income from Continuing Operations

Income from Discontinued Operations

Other Items Before Net Income

Net Income

Net Income Attributable to Minority Interests

Net Income Attributable to Owners of the Company

Preferred Stock Dividends

Other Adjustments

Net Income Attributable to Common Stockholders

Other Comprehensive Income

Total Comprehensive Income

Total Comprehensive Income Attributable to Minority Interests

Total Comprehensive Income Attributable to Owners of the Company

Basic EPS

Basic EPS from Continuing Operations

Basic EPS from Discontinued Operations

Diluted EPS

Diluted EPS from Continuing Operations

Diluted EPS from Discontinued Operations

FVRR

FVRR fundamentals

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