0001364954-26-000021
SEC filingChegg, Inc. reported a net loss of $103.4 million on net revenues of $376.9 million for fiscal year 2025. The company generated a gross profit of $224.8 million, resulting in a gross margin of 59.6%. However, total operating expenses of $341.6 million led to an operating loss of $116.9 million. The balance sheet shows total assets of $278.0 million, with total liabilities of $158.4 million and stockholders' equity of $119.6 million. Cash flow from operations was positive at $15.5 million, while investing activities provided $282.3 million primarily from sales and maturities of investments. Financing activities used $428.5 million mainly for repayment of convertible senior notes. The company ended the year with $31.1 million in cash and cash equivalents, plus $41.7 million in short-term investments.
Chegg, Inc. reported financial results for fiscal year 2025 ending December 31, 2025. The company generated net revenues of $376.9 million, with cost of revenues totaling $152.2 million, resulting in gross profit of $224.8 million. Operating expenses were substantial at $341.6 million, comprising research and development ($93.5 million), sales and marketing ($68.8 million), general and administrative ($177.4 million), and impairment expense ($2.0 million). This led to an operating loss of $116.9 million. After accounting for interest expense, net ($590,000) and other income, net ($17.3 million), the company reported a loss before income taxes of $100.1 million. With a provision for income taxes of $3.3 million, the net loss for the year was $103.4 million. Basic and diluted net loss per share were both -$1.00, based on 107.5 million weighted average shares outstanding.
The filing provides consolidated revenue figures without segment breakdown. Net revenues of $376.9 million represent the company's total revenue from all operations. No geographic or product segment information is disclosed in the provided data. The revenue figure reflects the company's core educational services business, though specific drivers of revenue growth or decline are not detailed in the extracted financial data. The absence of segment reporting suggests the company operates as a single reporting unit or that segment data was not included in the provided excerpts.
Gross margin for FY 2025 was 59.6%, calculated from gross profit of $224.8 million on net revenues of $376.9 million. The operating margin was negative 31.0%, reflecting the operating loss of $116.9 million. The cost structure shows significant general and administrative expenses of $177.4 million, which represents 47.1% of revenue. Research and development expenses were $93.5 million (24.8% of revenue), while sales and marketing expenses were $68.8 million (18.3% of revenue). The impairment expense of $2.0 million contributed to the overall operating loss. The company's profitability was negatively impacted by high operating expenses relative to revenue.
Operating activities generated positive cash flow of $15.5 million, despite the net loss of $103.4 million, primarily due to non-cash adjustments including share-based compensation ($31.9 million) and depreciation and amortization ($78.6 million). Investing activities provided $282.3 million, mainly from proceeds from sale of investments ($181.2 million) and maturities of investments ($130.1 million), partially offset by purchases of property and equipment ($28.1 million). Financing activities used $428.5 million, primarily for repayment of convertible senior notes ($424.8 million). The balance sheet shows total assets of $278.0 million, including current assets of $121.6 million (with $31.1 million cash and $41.7 million short-term investments). Total liabilities were $158.4 million, with current liabilities of $140.9 million including $53.8 million current portion of convertible senior notes. Stockholders' equity was $119.6 million.
The provided financial data does not include management discussion and analysis, forward-looking statements, or guidance about future performance. No information about strategic priorities, risk factors, or management expectations for future periods is available in the extracted financial statements. The filing appears to contain only the numerical financial data without accompanying narrative sections that would typically discuss outlook, guidance, or strategic direction. Investors would need to consult the complete 10-K filing for management's discussion of future prospects and risks.