EL7.AI
StocksMedium•30 October 2026•
4 min read

Fiverr raises 2026 revenue forecast to $380 million despite decline in active buyers

Key Facts

1Fiverr raised its 2026 revenue forecast to $374–380 million, with an expected year-over-year decline of 12% to 13%.
2Third-quarter revenue fell 15.8% to $90.9 million from $107.9 million.
3Active buyers declined 25.8% to 2.4 million as of September 30, from 3.3 million a year earlier.
4The company expects pressure on marketplace traffic and adjusted EBITDA margin during 2027.

On October 29, Fiverr raised its fiscal 2026 revenue forecast to a range of $374 million to $380 million, equivalent to an expected year-over-year decline of 12% to 13%, after quarterly results the company said exceeded expectations. The update puts strong third-quarter performance against a shrinking buyer base and declining core marketplace revenue. The company also warned that users’ shift from traditional search to AI-powered discovery could pressure marketplace traffic more sharply than it had previously expected. The warning extends to 2027, when Fiverr also expects downward pressure on adjusted EBITDA margin. The statement did not include documented movement in the company’s share price following the results announcement.

Revenue in the third quarter reached $90.9 million, compared with $107.9 million in the same period of 2025, a year-over-year decline of 15.8%. But the company’s two business segments moved in different directions: core marketplace revenue fell 24.7% to $55.4 million from $73.6 million, while services revenue rose 3.4% to $35.5 million from $34.3 million. Fiverr attributed the quarter’s strength, particularly services performance, to the services segment linked to AutoDS and e-commerce expansion, as well as disciplined expense management. The company said these positive factors were offset by demand and search-traffic pressures, with AI disrupting traditional visibility optimization and advertising through search engines. The divergence shows that services growth did not prevent a decline in marketplace revenue, which still accounted for the largest share of quarterly revenue.

The number of annual active buyers fell to 2.4 million as of September 30, 2026, from 3.3 million on the same date a year earlier, a decline of 25.8%. By contrast, annual spending per buyer rose to $373 from $330, an increase of 12.9%, while the take rate increased to 28.2% from 27.6% over the respective 12-month periods ended in September. These figures extend a trend seen at the end of 2025, when active buyers totaled 3.1 million, down 13.6% from 3.6 million at the end of 2024, while annual spending per buyer increased to $342 from $302, up 13.3%. The comparison shows that spending per buyer rose as the number of customers fell, but the buyer base continued to contract. The results also reflect a shift in the business mix compared with 2025, when total revenue increased 10.1% to $430.9 million from $391.5 million; core marketplace revenue fell 1.8% that year, while services revenue jumped 50.9%.

The revenue decline weighed on quarterly profits: net income under U.S. GAAP fell to $1.3 million from $5.5 million in the third quarter of 2025, and adjusted EBITDA declined to $14.5 million from $24.2 million. Gross margin under those standards fell to 81.3% from 81.7%, while non-GAAP gross margin rose to 84.4% from 84.2%. Net cash from operating activities was $9.5 million, down 67.6% year over year, and free cash flow reached $9.4 million, down 67.8%. At quarter-end, the company had $316.2 million in cash and cash equivalents, deposits and marketable securities. For higher-value orders, Fiverr said projects worth $1,000 or more each accounted for 16% of total completed order value on a trailing 12-month basis through the third quarter.

Founder and Chief Executive Micha Kaufman said the company is transforming its platform as the market shifts from traditional search to AI-powered discovery and automated workflows, adding: "We are proactively transforming the platform to capture the future of work." The transformation is linked to the company’s warning of a sharper decline in marketplace traffic during 2027 and expected pressure on adjusted EBITDA margin that year. For the fourth quarter of 2026, Fiverr expects revenue of $80 million to $86 million and adjusted EBITDA of $6 million to $10 million. Its full-year estimate puts adjusted EBITDA at $61 million to $65 million. The company said it will provide full financial guidance for 2027 when it announces fourth-quarter results the following year.