Fiverr Shares Drop After Missing Earnings and Cutting Full-Year Revenue Outlook
Fiverr International Ltd. (NYSE:FVRR) reported weaker-than-expected second-quarter results, with revenue falling to $97.8 million—below the estimated $99.8 million—and adjusted earnings at $0.50 per share versus a forecast of $0.52. The company also significantly reduced its full-year 2026 revenue guidance from $380–$420 million to $356–$372 million, citing slowing traffic and AI-driven automation impacting demand for lower-value freelance work. Fiverr's core marketplace business saw a year-over-year decline in both annual active buyers (down 21.9% to 2.7 million) and revenue ($63.1 million, down 15.5%). Despite increased spending per buyer (+15.6%) and an improved take rate of 28%, the drop in transaction volumes has not been offset by growth in premium projects. Investor sentiment was further dampened as shares fell nearly 17% pre-market to $9.65, near a 52-week low. Analysts had already cut price targets due to AI-related concerns and slower growth expectations.
Tickers: $FVRR