Chegg, Inc. (CHGG) reported a fourth-quarter 2025 adjusted loss per share of $0.01, significantly better than the Zacks Consensus Estimate of a loss of $0.11, despite declining from an earnings per share of $0.17 in the same quarter last year. The company posted net revenues of $72.7 million, exceeding expectations of $71 million but representing a 49.4% year-over-year decline.
Notably, revenues from the Skills and Other product line grew to $17.7 million, while Academic Services contributed $54.9 million. Gross profit fell 57.4% year-over-year to $41.7 million, with a gross margin of 57%. As of December 31, 2025, Chegg reported cash and cash equivalents of $31.1 million, a sharp drop from $161.5 million a year prior.
Looking ahead, Chegg expects first-quarter 2026 net revenues to range between $60-$62 million, down from $121.4 million in Q1 2025. The company anticipates continued growth in its Skilling segment while managing its Academic Services for cash, not growth.
