Upwork Inc. (NADAQ: UPWK) reported revenue rose 23.8% year over year to $158.6 million. Revenue benefited from the company’s new client marketplace plan, but the effect was partially offset by the seasonal and softening macroeconomic conditions that were initially observed in the second quarter, according to the company. Upwork also noted a slightly smaller impact to revenue directly attributed to the war in Ukraine in the third quarter compared to the second quarter.

The number of active clients rose 9% year over year to 818,000.

In addition, gross services volume — which represents both client spend and additional fees charged for other services — grew 14% year over year in the third quarter to nearly $1.03 billion.

“We still view this period of macroeconomic uncertainty as a critical time for Upwork to be focused on expanding our position as a market leader and cementing new, integral ways of working across the work ecosystem,” CEO Hayden Brown said.

“We see businesses continuing to turn to Upwork as the always-on source for highly skilled remote workers, regardless of their industry, whether their business need is project-based or ongoing, where they stand in their workforce transformation, or the current economic climate,” Brown said.

Enterprise revenue rose 41% to $12.5 million in the third quarter. Upwork signed 25 new enterprise clients, down 26% from 34 in the third quarter of 2021; it cited internal operational growing pains and the longer sales cycle for the lower figure.

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Guidance

Upwork forecast fourth-quarter revenue of between $158 million and $160 million, a year-over-year increase of 16% at the midpoint.

“The deceleration of our quarter-over-quarter and year-over-year growth rates from the third quarter to the fourth quarter that we are guiding reflect continued softness in seasonal and macroeconomic conditions and the lapping of a strong fourth quarter of 2021, respectively,” according to the company.

The company now forecast full-year 2022 revenue of between $615 million and $617 million, which represents a year-over-year increase of 23% at the midpoint.

Share price and market cap

Shares in Upwork were up 1.11% to $12.78 as of 12:45 p.m. Eastern time; they were 8.67% above their 52-week low, according to FT.com. The company had a market cap of $1.67 billion.