Do worms reproduce sexually or asexually?

Worms, although hermaphrodites, mate sexually, with female and male reproductive organs inside the body. A whitish band called a clitellum forms around the head when a worm is ready to mate, as detailed by Worm Farming.

When mating, worms place their heads in opposite directions and position their clitellums together so that sperm passes, and it is stored in sacs. A cocoon forms on the clitellum and holds from one to five worms. The eggs are held indefinitely until conditions are conducive to successful hatching. Baby worms are white and approximately one-half inch long. With no parental nurturing, baby worms immediately begin to feed, and in four to six weeks, the reproductive cycle is repeated.