SAN FRANCISCO - Upwork Inc. (NASDAQ:UPWK), the world's largest work marketplace, saw its shares surge 10% after reporting third-quarter earnings that exceeded analyst expectations and raising its full-year guidance.
The company reported adjusted earnings per share of $0.29, beating the analyst estimate of $0.25. Revenue for the quarter came in at $193.78 million, surpassing the consensus estimate of $184.43 million and representing a 10% YoY increase.
Upwork's strong performance was driven by continued market share gains and resilient demand for its services despite challenging macroeconomic conditions. The company reported record GAAP net income of $27.8 million and adjusted EBITDA of $43.2 million for the quarter.
"Upwork continues to seize the tremendous market opportunity and execute our strategy to deliver durable, profitable growth," said Hayden Brown, president and CEO of Upwork.
Looking ahead, Upwork raised its full-year 2024 guidance for revenue and adjusted EBITDA. The company now expects Q4 revenue between $178 million and $183 million, above the consensus of $175.8 million. It also projects Q4 adjusted EPS of $0.24 to $0.26, surpassing analyst expectations of $0.22.
Upwork's AI-powered innovations continued to accelerate, with new capabilities for its Uma™ Mindful AI streamlining key steps in matching and hiring talent. The company also announced plans to acquire Objective AI to enhance its core search and match offerings.
In a show of confidence, Upwork's Board of Directors authorized a new $100 million share repurchase program, following the completion of a previous $100 million authorization earlier this year.
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