Upwork Inc. Achieves Record Financial Growth in 2024

Upwork Inc ( (UPWK) ) has released its Q4 earnings. Here is a breakdown of the information Upwork Inc presented to its investors.

Upwork Inc. is the world’s largest work marketplace, connecting businesses with independent talent globally, and operating primarily in the freelance and gig economy sector.

Upwork Inc. recently released its financial results for the fourth quarter and the full year of 2024, showcasing record-breaking achievements in revenue, net income, and adjusted EBITDA. The company continues to leverage AI innovations to drive growth and enhance its platform.

For the fourth quarter of 2024, Upwork reported a revenue of $191.5 million, marking a 4% year-over-year increase, and a net income of $147.2 million, significantly up from $17.4 million in the same period the previous year. The adjusted EBITDA for the quarter stood at $50.2 million, representing a 65% increase from the fourth quarter of 2023. On a full-year basis, Upwork achieved a revenue of $769.3 million, a 12% year-over-year increase, and a net income of $215.6 million, up from $46.9 million in 2023. The company’s adjusted EBITDA saw a remarkable 129% growth, reaching $167.6 million.

Strategically, Upwork made strides in increasing its AI-related work, with GSV from AI-related projects growing by 60% year-over-year. The company also reported a 51% year-over-year increase in ad and monetization revenues and launched Upwork Business Plus to cater to larger clients. The acquisition of Objective AI, Inc. further bolstered Upwork’s AI capabilities, enhancing its core search and match performance.

Looking ahead, Upwork’s management remains optimistic, aiming to increase profitability and free cash flow annually. Despite a challenging macroeconomic environment, the company is targeting a 35% adjusted EBITDA margin in the future, reflecting confidence in its ongoing strategic initiatives and market positioning.