Education technology company 2U has reported a net loss of $66.2 million for the second quarter of 2020, which compares to a net loss of $28 million reported for Q2 2019.
Revenue for the quarter was $182.7 million, compared to $135.5 million reported for the second quarter of 2019.
The Lanham, Maryland-based company also reported results for the first six months of 2020. Its net loss for the period was $126.3 million, compared to net income of $49.5 million reported for the first six months of 2019. Revenue for the six-month period was $358.2 million, up from $257.7 million reported for the first six months of 2019.
2U co-founder and chief executive Christopher Paucek said: “In these complex and challenging times, the importance of 2U’s mission and the value we deliver for our partners and their students has never been more clear. As universities accelerate their digital transformations and more students affirmatively choose to pursue an education online, we believe our strong relationships with leading universities and the unmatched scale and quality of our portfolio of offerings position us well for future growth.
2U chief financial officer Paul Lalljie added: “We are driving significant improvement in key profitability and cash flow metrics while maintaining quality, enhancing operational efficiency, and executing on growth opportunities. We delivered a significant improvement in free cash flow in the second quarter and expect to achieve EBITDA profitability next quarter and for the full year. We also increased our financial flexibility with our recent convertible senior notes offering and revolving line of credit.”
Date published: 31 July 2020