Palo Alto, Calif. — November 3, 2025 — Leads & Copy — Upwork Inc. (Nasdaq: UPWK) announced its Q3 2025 financial results, achieving a record quarterly revenue of $201.7 million. The company generated GAAP net income of $29.3 million and record adjusted EBITDA of $59.6 million, resulting in a 15% profit margin and all-time high 30% adjusted EBITDA margin. Upwork has raised its FY2025 revenue and adjusted EBITDA guidance.
“The third quarter marked the start of the next chapter for Upwork. As we build the world’s human and AI-powered work marketplace, we’re driving phenomenal user productivity and engagement, resulting in a return to positive GSV growth,” said Hayden Brown, president and CEO, Upwork Inc.
“Our third quarter was exceptional, with record performance. We crossed the $200 million revenue milestone, with net income of $29.3 million and 15% profit margin, and our adjusted EBITDA hit an all-time high of $59.6 million, at a record 30% adjusted EBITDA margin,” said Erica Gessert, CFO, Upwork Inc.
Key financial highlights include:
- GSV grew 2% year-over-year
- Revenue grew 4% year-over-year to $201.7 million
- Active clients of 794,000
- GSV per active client of $5,036 increased 5% year-over-year
- Net income was $29.3 million, up 6% year-over-year
- Diluted earnings per share was $0.21
- Adjusted EBITDA was $59.6 million, up 38% year-over-year
- Cash provided by operating activities was $75.1 million
- Free cash flow was $69.4 million
Uma™, Upwork’s Mindful AI, continued to evolve into an always-on work agent, further increasing customer engagement and productivity. GSV from AI-related work accelerated to 53% year-over-year growth in Q3 2025, compared to 30% year-over-year growth in Q2 2025. GSV from Generative AI work grew 65% year-over-year in Q3 2025. GSV from Prompt Engineering grew 71% year-over-year and increased 23% quarter-over-quarter in Q3 2025.
GSV from Upwork Business Plus offering for SMBs increased 33% quarter-over-quarter. Business Plus active clients increased 36% quarter-over-quarter, with 36% of active clients on Business Plus in Q3 being net-new customers to Upwork.
Revenue from Ads & Monetization grew 19% year-over-year in Q3 2025. Connects revenue increased 18% year-over-year in Q3 2025. Freelancer Plus subscription revenue grew 24% year-over-year in Q3 2025.
Upwork launched Lifted, its new enterprise-focused subsidiary.
Upwork’s guidance for revenue for the fourth quarter of 2025 is $193 million to $198 million and adjusted EBITDA is expected to be $49 million to $52 million. Upwork’s full year 2025 revenue is expected to be $782 million to $787 million and adjusted EBITDA is expected to be $222 million to $225 million.
Investor Relations
investor@upwork.com
Source: Upwork Inc.
