Israel-based freelance marketplace Fiverr posted $92.5 million U.S. in revenue in the third quarter of 2023, up 12.1% ear-on-year (y-o-y).
The number of active buyers as of Sept. 30 was unchanged at 4.2 million versus a year ago. Spend per buyer rose by 4% y-o-y during the same period, to $271 from $262.
The company’s take rate (revenue as a proportion of gross merchandise value) stood at 31.3%, up from 30.0% over the year-earlier period.
Fiverr posted Q3 GAAP net income of $3.0 million, compared to a loss of $11.4 million in Q3 2022, while non-GAAP net income came to $22.6 million, versus $8.6 million in the year-earlier period.
Its adjusted EBITDA in Q3 2023 was $16.5 million, against $6.6 million in Q3 2022, with an adjusted EBITDA margin of 17.9%, up from 7.9% in Q3 2022.
“We continue to innovate our offerings to help our community of businesses and freelancers,” said founder and CEO Micha Kaufman, in the company’s results announcements.
“We are making great progress with our new Fiverr Business Solutions and see healthy expansion in our seller tools,” added CFO Ofer Katz. “We look to finish the year strong and strategically drive growth and shareholder value.”
“We are pleased with our financial results, as our balance sheet remains strong and our adjusted EBITDA margin improved to 17.9% this quarter,” said. “We continue to scale our business and are focused on moving upmarket to serve higher lifetime value customers.”
Kaufman also touched on the humanitarian situation in Fiverr’s home market.
“The unexpected and appalling atrocities that happened in Israel on October 7 and the ongoing war triggered by the event have unavoidably impacted the region and the world,” he said.
“As a company, we are doing everything we can to help our employees, their families and the Fiverr community to safety and to support those who have been impacted by the attack and the war. We continue to operate at the highest level of focus and discipline, given the hybrid operation that’s already in place.”
The marketplace added that its Q4 2023 outlook and updated full year 2023 guidance would reflect the “volatility we experienced in our marketplace following the onset of the war in our region and the potential for increased volatility through the remainder of the year.”
Fiverr was established in 2010 by Kaufman and Shai Wininger. Headquartered in Tel Aviv, the company also has offices in Berlin, London, Miami, New York City, Phoenix and San Francisco.