By Chris Wack
Chegg shares were 6% higher, at 73 cents a share, after the company reported a narrower-than-expected first-quarter loss and a restructuring plan, including job cuts.
The online learning company said it had a quarterly loss of $17.5 million, or 17 cents a share, compared with a loss of $1.4 million, or one cent a share, in the same quarter last year. Analysts polled by FactSet were looking for a loss of $28.7 million, or 23 cents a share.
Revenue for the quarter was $121.4 million, compared with last year's $174.4 million and the $114.6 million analysts were expecting.
Chegg said it plans to close some of its offices in the U.S. and Canada, and is reducing headcount by 22%, or 248 people, affecting mostly Chegg Study and corporate services.
The company said the cuts will lead to $45 million to $55 million in 2025, with full-year savings of $100 million to $110 million in 2026.
For the second quarter, the company is expecting revenue of $100 million to $102 million, while analysts are expecting revenue of $110.6 million.
Write to Chris Wack at chris.wack@wsj.com
(END) Dow Jones Newswires
May 12, 2025 11:11 ET (15:11 GMT)
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