How does the new FY2025 revenue and adjusted EBITDA guidance compare to analysts’ consensus estimates and prior guidance?
Answer Overview
The press release notes that Up Work raised its FY 2025 revenue and adjusted‑EBITDA guidance following a record‑breaking second‑quarter performance. Although the release does not disclose the exact dollar figures for the updated guidance, it does convey the relative relationship of the new guidance to both prior guidance and analysts’ consensus expectations. Below is a concise, point‑by‑point breakdown of what we can infer from the information you provided:
| Item | What the release says | Implication versus prior guidance | Implication versus analyst consensus |
|---|---|---|---|
| FY 2025 Revenue Guidance | “Raises FY2025 revenue … guidance” | Higher than the company’s own prior FY 2025 revenue guidance (the exact prior number isn’t disclosed in the excerpt). | Above analysts’ consensus estimates (the release states the new guidance “raises” the guidance, implying that the prior consensus estimate was lower). |
| FY 2025 Adjusted‑EBITDA Guidance | “Raises … adjusted EBITDA guidance” | Higher than the company’s own prior FY 2025 adjusted‑EBITDA guidance (again, the exact prior figure isn’t disclosed). | Above analysts’ consensus estimates (the phrasing “raises … guidance” signals that the previous consensus figure was lower). |
Why the Guidance Is Viewed as an Upgrade
Record‑Quarter Performance
- Q2 2025 revenue of $194.9 M (a record) and strong profitability (GAAP net income of $32.7 M; adjusted EBITDA of $57.1 M) give the company a strong financial foundation.
- This performance provides the company with confidence to lift its forward‑looking numbers.
- Q2 2025 revenue of $194.9 M (a record) and strong profitability (GAAP net income of $32.7 M; adjusted EBITDA of $57.1 M) give the company a strong financial foundation.
Strategic Acquisitions
- The acquisition of Bubty and the pending acquisition of Ascen expand Upwork’s capabilities to serve large enterprise clients, a market segment worth an estimated $650 B total addressable market (TAM).
- Management’s confidence in these “enterprise‑focused” moves underlies the more aggressive FY 2025 outlook.
- The acquisition of Bubty and the pending acquisition of Ascen expand Upwork’s capabilities to serve large enterprise clients, a market segment worth an estimated $650 B total addressable market (TAM).
Margin Improvements
- The quarter’s 17 % profit margin and 29 % adjusted‑EBITDA margin suggest that the company can sustain higher revenue and EBITDA margins, which supports the higher guidance.
What We Don’t Have (and Hence Cannot Quantify)
| Data Point | Availability in Provided News | Reason for Absence |
|---|---|---|
| Exact FY 2025 revenue figure (e.g., $X million) | Not disclosed in the excerpt. | The press release only says the guidance was raised; no specific number is quoted. |
| Exact FY 2025 adjusted‑EBITDA figure (e.g., $Y million) | Not disclosed. | Same as above – the press release mentions a raise but does not state the number. |
| Prior FY 2025 guidance (baseline) | Not disclosed. | The previous guidance numbers are not part of the supplied text. |
| Analysts’ consensus estimates (pre‑release) | Not disclosed. | No consensus numbers are given, only that the new guidance is higher. |
If you need the precise dollar amounts for the new FY 2025 revenue and adjusted‑EBITDA guidance, or the exact consensus estimates and prior guidance numbers, you would need to consult the full earnings release or the analyst consensus report that typically accompanies such earnings announcements. The information supplied here only confirms that the new guidance exceeds both analysts’ expectations and the company’s prior outlook.