Fiverr (FVRR) investor relations material

Executive summary

• Q1 2026 delivered solid execution, with revenue and adjusted EBITDA at or above the high end of guidance, reflecting disciplined execution and a strategic transformation toward high-value, complex work engagements.

• The company is repositioning from a transaction-oriented marketplace to a trusted work platform, focusing on quality, trust, and AI-driven workflows.

• Strong growth in projects over $1,000, with an 18% year-over-year increase in clients completing high-value projects and increased participation from high-end talent.

• Early improvements in trust and quality, with Fiverr Pro tests reducing mismatch rates by nearly 10%.

• Continued investment in platform infrastructure, including matching algorithms and end-to-end fulfillment, to support complex projects and enhance project visibility and quality.

Financial highlights

• Q1 2026 revenue was $105.5 million, down 1.6% year-over-year, with growth in high-value work offset by declines in low-value transactions.

• Adjusted EBITDA reached $22.6 million (21.4% margin), up 16.3% year-over-year, improving by 330 basis points.

• Marketplace revenue was $67.1 million, down 13.6% year-over-year; service revenue was $38.4 million, up 30% year-over-year, accounting for 36% of total revenue.

• Annual active buyers fell 17.8% to 2.9 million, but annual spend per buyer increased 15.4% to $356.

• Free cash flow in Q1 was $21 million, down 23.2% year-over-year.

Outlook and guidance

• Full-year 2026 revenue expected between $380 million and $420 million, representing -12% to -3% year-over-year growth.

• Full-year adjusted EBITDA guidance raised to $64 million-$80 million, with an 18% margin at the midpoint.

• Q2 2026 revenue expected between $95 million-$103 million, with adjusted EBITDA of $16 million-$20 million.

• Service revenue growth expected to moderate in Q2 and the second half of the year.