Want to see CHGG full AI Analyst Report?
Earnings Data
Report Date
Aug 10, 2026After Close (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
-0.05Last Year’s EPS
0.1Same Quarter Last Year
Based on 1 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call conveyed a largely positive tone driven by stronger-than-expected Q1 financials (positive net income, $15.5M Adjusted EBITDA, significant OPEX and CapEx reductions), clear progress on debt reduction and cash position, and momentum in the AI-first skilling strategy with new enterprise partnerships. Key risks remain short-term: search-driven traffic headwinds to Academic Services, sizeable severance-related cash outflows, and the need for successful execution of partner rollouts to scale skilling revenue. On balance, the positives around profitability, cost discipline, partnerships, and AI-driven product differentiation outweigh the near-term headwinds.Company Guidance
Revenue and Profitability Beat
Q1 results exceeded expectations across revenue, profitability, and free cash flow; company reported positive net income for the first time in two years and Adjusted EBITDA of $15.5M (24% margin).
Skilling Revenue Growth and Outlook
Chegg Skills (Skilling) generated $17.6M in Q1, up 9% year-over-year, and management expects double-digit skilling revenue growth for full-year 2026 with acceleration through the year.
Academic Services Cash Generation and Retention
Academic Services revenue was $45.7M in Q1; despite traffic headwinds, monthly retention remained very strong and the business generated cash above expectations.
Large Reduction in Operating Expenses
Non-GAAP operating expenses were $36.4M, a reduction of $44.1M or 55% year-over-year, reflecting significant cost optimization and AI-driven efficiency initiatives.
CapEx and Free Cash Flow Improvements
Q1 CapEx was $1M, down 88% year-over-year; free cash flow was $3.1M in the quarter (despite severance) and the company expects meaningful free cash flow for 2026.
Balance Sheet and Debt Reduction Progress
Ended Q1 with $67.9M in cash and investments and a net cash position of $34.1M; company is on a path to fully repay convertible debt by September and targeting zero debt.
Strategic Partnerships and Product Expansion
Signed distribution and product partnerships including Cornerstone and the Wolf AI master’s program; renegotiated Guild contract enabling multiple channel partners and broader enterprise distribution.
AI-First Re-architecture and Outcomes Data
Re-architected business and product experience around AI to lower costs, accelerate content updates, enable real-time in-workflow coaching, and demonstrate measurable learner and employer outcomes (e.g., 43% of graduates report working more efficiently; 75% report increased confidence in AI skills; 92% employer retention 6–12 months).
CHGG Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
CHGG Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
May 06, 2026 | $1.16 | $1.28 | +10.34% |
Feb 09, 2026 | $0.75 | $0.67 | -10.27% |
Nov 10, 2025 | $0.89 | $1.14 | +28.09% |
Aug 05, 2025 | $1.29 | $1.11 | -13.95% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Chegg Inc (CHGG) report earnings?
Chegg Inc (CHGG) is schdueled to report earning on Aug 10, 2026, After Close (Confirmed).
What is Chegg Inc (CHGG) earnings time?
Chegg Inc (CHGG) earnings time is at Aug 10, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is CHGG EPS forecast?
CHGG EPS forecast for the fiscal quarter 2026 (Q2) is -0.05.
