Fiverr International Ltd. (FVRR) stock plummeted 5.57% in intraday trading on Wednesday, following the company's fourth-quarter 2024 earnings release that missed earnings estimates and showed a decline in its user base.
The online marketplace for freelance services reported adjusted earnings per share of $0.64 for the fourth quarter, falling short of analysts' consensus estimate of $0.68. Despite the earnings miss, Fiverr's revenue of $103.7 million for the quarter exceeded the consensus estimate of $101.4 million.
However, Fiverr's annual active buyers as of December 31, 2024, stood at 3.6 million, a 10% decrease from 4.0 million a year earlier. This decline in the company's user base raised concerns about its growth prospects, despite the increase in annual spend per buyer by 9% to $302.
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