RestructuringMay 7, 2026, 04:32 PM
Upwork Cuts 24% Workforce; Raises FY26 Adj. EBITDA Guidance
AI Summary
Upwork Inc. announced its first quarter 2026 financial results, reporting a 1% year-over-year revenue increase to $195.5 million and a 3% rise in Adjusted EBITDA to $57.4 million, despite a 17% decrease in GAAP Net income to $31.5 million. The company also announced a significant restructuring plan involving a 24% workforce reduction to build a more efficient operating model. Concurrently, Upwork raised its full-year 2026 Adjusted EBITDA guidance and secured a $150 million revolving credit facility, while also highlighting strong growth in AI-related work and SMB initiatives.
Key Highlights
- Upwork announced a restructuring plan, reducing its total workforce by approximately 24%.
- Company raised its full-year 2026 Adjusted EBITDA guidance to $250 million to $260 million.
- Secured a commitment letter for a new $150 million revolving credit facility.
- Q1 2026 Revenue grew 1% year-over-year to $195.5 million.
- Q1 2026 Adjusted EBITDA increased 3% year-over-year to $57.4 million.
- Q1 2026 GAAP Net income decreased 17% year-over-year to $31.5 million.
- GSV from AI-related work increased over 40% year-over-year in Q1 2026.
- Returned $107.9 million to shareholders through share repurchases in Q1 2026.