The earnings call highlighted Chegg's strategic efforts to diversify revenue and expand its business institution efforts, along with successful licensing agreements. However, significant revenue declines, restructuring with layoffs, and ongoing macroeconomic challenges suggest a difficult operating environment.

Company Guidance -

Q3 2025

During the Chegg First Quarter 2025 Earnings Call, the company reported a revenue of $121 million, a 30% decrease year-over-year, and an adjusted EBITDA of $19 million with a 16% margin. They generated approximately $16 million in free cash flow and executed two content licensing deals with leading tech companies, generating $4 million in Q1, with an expected additional $7 million in Q2. Chegg also announced a restructuring plan that will result in $45 million to $55 million in savings for 2025 and $100 million to $110 million in 2026, affecting 22% of its workforce. Despite these challenges, Chegg is optimistic about its new business initiatives, including the expansion of its business institution effort and licensing agreements, expecting Busuu to achieve $48 million in revenue in 2025 and be adjusted EBITDA positive by the first quarter of 2026. The company also plans to align costs with its business outlook amid macroeconomic pressures and ongoing industry challenges. For Q2, Chegg expects total revenue between $100 million and $102 million and gross margin to be in the range of 64% to 65%.

Exceeded Q1 Revenue and EBITDA Guidance

Chegg surpassed its revenue and adjusted EBITDA guidance for Q1 2025, generating approximately $16 million in free cash flow.

Expansion of Business Institution Effort

The business institution effort expanded from 5 to 15 pilots from Q4 to Q1, with a goal to reach 40 by the end of the year.

Successful Licensing Agreements

Chegg signed two agreements to license question-and-answer pairs to language model companies, generating $4 million in Q1 and expecting an additional $7 million in Q2.

Busuu Revenue Growth

Busuu, Chegg's language learning service, saw Q1 revenue increase by 7% year-over-year, with a 29% year-over-year revenue increase in its B2B business.

Chegg Skills Pilot Programs

Chegg Skills entered pilot programs with EdifyOnline and Noodle, focusing on AI programs to support a higher education initiative in India.

Chegg (CHGG) Earnings, Revenues Date & History

The upcoming earnings date is based on a company’s previous reporting, and may be updated when the actual date is announced

Daily Earnings Calendar >

CHGG Earnings History

Report Date	Fiscal Quarter	Forecast / EPS	Last Year's EPS	EPS YoY Change	Slides	Play Transcript
Nov 03, 2025	2025 (Q3)	-0.08 / -	0.09	―	―	―
Aug 05, 2025	2025 (Q2)	0.06 / 0.10	0.24	-58.33% (-0.14)
May 12, 2025	2025 (Q1)	<0.01 / -0.06	0.26	-123.08% (-0.32)
Feb 24, 2025	2024 (Q4)	0.17 / 0.17	0.36	-52.78% (-0.19)
Nov 12, 2024	2024 (Q3)	0.07 / 0.09	0.18	-50.00% (-0.09)
Aug 05, 2024	2024 (Q2)	0.23 / 0.24	0.28	-14.29% (-0.04)
Apr 29, 2024	2024 (Q1)	0.25 / 0.26	0.27	-3.70% (-0.01)
Feb 05, 2024	2023 (Q4)	0.36 / 0.36	0.4	-10.00% (-0.04)
Oct 30, 2023	2023 (Q3)	0.17 / 0.18	0.21	-14.29% (-0.03)
Aug 07, 2023	2023 (Q2)	0.29 / 0.28	0.37	-24.32% (-0.09)

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
Aug 05, 2025	$1.29	―	―
May 12, 2025	$0.69	$0.74	+7.25%
Feb 24, 2025	$1.56	$1.07	-31.41%
Nov 12, 2024	$1.77	$1.58	-10.73%

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.