Revenue: As of FY2026 Q2, the actual value is USD 51.85 M, beating the estimate of USD 49.5 M.

EPS: As of FY2026 Q2, the actual value is USD -0.03.

EBIT: As of FY2026 Q2, the actual value is USD -2.537 M.

Second Quarter 2026 Financial Highlights

Chegg, Inc. reported total net revenues of $51.8 million for the second quarter of 2026, representing a 51% decrease year-over-year. Chegg Skilling revenues increased by 2% year-over-year to $17.5 million. The company’s gross margin stood at 55%, with a non-GAAP gross margin of 57%. Chegg, Inc. recorded a net loss of - $3.0 million and a non-GAAP net loss of - $2.5 million. Adjusted EBITDA for the quarter was $9.1 million. Non-GAAP operating expenses were $32.3 million, nearly halving compared to the second quarter of the previous year. Capital expenditures (CapEx) for the quarter were $3.7 million, a 49% decrease year-over-year, with a target of a 60% reduction for the full year 2026. Free cash flow was $6.4 million, which included approximately $1.5 million in severance payments.

Balance Sheet and Year-to-Date Performance

As of the end of the second quarter, Chegg, Inc. held $72.3 million in cash and investments, with a net cash position of $38.5 million. For the first half of 2026, the company generated $9.5 million in free cash flow, despite $14.4 million in severance payments. Net cash provided by operating activities for the six months ended June 30, 2026, was $14,161 thousand, resulting in free cash flow of $9,461 thousand. During the second quarter, Chegg, Inc. repurchased $1.7 million of its common stock, with $120.7 million remaining on its securities repurchase authorization. The company expects to fully repay its convertible debt in the third quarter of 2026.

Business Outlook (Third Quarter 2026)

For the third quarter of 2026, Chegg, Inc. anticipates total net revenues to be in the range of $43 million to $44 million. The gross margin is projected to be between 48% and 49%, with adjusted EBITDA expected to range from $1 million to $2 million.