Filing Flows › Upwork (UPWK) › Q3 2026 › vs Q3 2025
Upwork (UPWK) Q3 2026 vs Q3 2025 (year over year)
Upwork's revenue fell $16.1M (-8%) from $202M in Q3 2025 to $186M in Q3 2026. The biggest changes: Marketplace −$15.3M (-9%); Enterprise −$880K (-3%). Gross margin 76.1% against 77.3% (-1.1 pts).
Upwork, Q3 2026: revenue $186M (-8% year over year), operating margin 18.6%, net earnings $31.8M, operating cash flow $65.9M. The chart draws each line against Q3 2025, the increases inside each band.
Margins
| Q3 2026 | Q3 2025 | Change | |
|---|---|---|---|
| Gross margin | 76.1% | 77.3% | -1.1 pts |
| Operating margin | 18.6% | 14.8% | +3.9 pts |
| Net margin | 17.1% | 14.5% | +2.6 pts |
| Free cash flow margin | 29.0% | 34.4% | -5.4 pts |
Every line
| Line | Q3 2026 | Q3 2025 | Change | % |
|---|---|---|---|---|
| Marketplace | $159M | $175M | −$15.3M | -9% |
| Enterprise | $26.3M | $27.2M | −$880K | -3% |
| Revenue | $186M | $202M | −$16.1M | -8% |
| Gross profit | $141M | $156M | −$14.6M | -9% |
| Cost of revenue | $44.3M | $45.8M | −$1.5M | -3% |
| Other income, net | $4.0M | $5.9M | −$2.0M | -33% |
| Operating profit | $34.6M | $29.8M | $4.8M | +16% |
| Operating expenses | $107M | $126M | −$19.4M | -15% |
| Pre-tax earnings | $38.5M | $35.7M | $2.9M | +8% |
| Research & development | $34.9M | $47.5M | −$12.6M | -27% |
| Sales & marketing | $33.8M | $35.0M | −$1.2M | -3% |
| General & admin | $36.8M | $41.3M | −$4.5M | -11% |
| Other operating costs | $1.2M | $2.4M | −$1.2M | -51% |
| Net earnings | $31.8M | $29.3M | $2.5M | +8% |
| Income tax | $6.7M | $6.3M | $394K | +6% |
| Depreciation & amortization | $11.4M | $7.9M | $3.4M | +43% |
| Share-based compensation | $9.2M | $19.8M | −$10.6M | -54% |
| Working capital & other | $13.6M | $18.0M | −$4.4M | -24% |
| Operating cash flow | $65.9M | $75.1M | −$9.1M | -12% |
| Free cash flow (company-reported) | $53.9M | $69.4M | −$15.6M | -22% |
| Purchases of property, plant & equipment and cash outflows from internally developed software | $12.1M | $5.6M | $6.4M | +114% |
Questions
How much did Upwork's revenue grow year over year in Q3 2026?
Upwork's revenue fell $16.1M (-8%) from $202M in Q3 2025 to $186M in Q3 2026.
What drove Upwork's revenue change in Q3 2026?
Marketplace −$15.3M (-9%); Enterprise −$880K (-3%).