Chegg 3Q 2026: Revenue $46.47M, Net income ($4.69M), EPS ($0.04) — 10-Q Summary

What happened

Chegg reported third-quarter 2026 revenue of $46.47 million, down 40.2% from a year earlier. Its net loss narrowed to $4.69 million from $17.47 million, and diluted loss per share improved to $0.04 from $0.16.

Confirmed

Global impact / market context

Revenue is shrinking fast because fewer people visit Chegg's sites and fewer pay for subscriptions, as free AI tools answer academic questions. The smaller loss came from a lower cost base, not growth, so the business must replace lost subscribers to sustain profit.

Analyst inference

Chegg's core academic business is being displaced by generative AI tools and Google AI Overviews that cut site traffic. Skilling, now 35% of revenue, is the growth offset, but its 6% quarterly decline shows it is not yet large enough to counter the academic drop.

Analyst inference

What to watch

1. Academic Services revenue fell 50% in the quarter and 57% year to date, driven by reduced traffic and fewer subscribers. Watch whether these declines slow. Confirmed
2. Skilling revenue declined 6% in the quarter even as nine-month revenue grew 1%. Watch enrollment trends to see if direct-to-consumer language learning can offset weaker marketplace sales. Analyst inference
3. Chegg plans to expand workforce and language-learning offerings and add AI-powered academic support. Watch spending on these efforts, because higher costs could widen losses before any revenue benefit appears. Proposed

Evidence

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