Online textbook retailer Chegg has reported a net loss of $65.2 million for the first quarter of 2021, compared to a net loss of $5.7 million reported for Q1 2020.
However, Chegg reported that the quarterly loss included a $78.2 million loss on early extinguishment of debt related to 2025 notes.
Net revenue for the quarter was $198.4 million, up from $131.6 million reported for Q1 2020 – a 51% year-on-year increase.
Chegg chief executive Dan Rosensweig said: “Despite the ongoing global uncertainty, Chegg has had a tremendous start to the year. I want to thank our team for their focus and execution to deliver on our student-first mission to ensure learners around the world have the support and the resources they need. And while our US business remains incredibly strong, we are very excited about our significant international growth and are on our way to exceeding our one million subscriber goal.
“We continue to fire on all cylinders and our Q1 results reflect the popularity and importance of Chegg’s services which experienced 64% subscriber growth, reaching a record 4.8 million subscribers in the quarter. To put that in perspective, it is almost one million more subscribers than we had in all of 2019. And our overall year-over-year revenue grew by 51%. These results and continued momentum give us the confidence to, once again, raise our full-year guidance.”
Chegg is headquartered in Santa Clara, California.
Date published: 5 May 2021