Nerdy Inc's Q2 revenue falls 11% yr/yr

Nerdy

07/08/2025 21:14

Overview

Nerdy Q2 revenue falls 11% yr/yr

Adjusted EBITDA loss beats guidance

Learning Membership revenue grows 4% yr/yr

Outlook

Nerdy expects Q3 revenue between $37 mln and $40 mln

Company sees full-year revenue of $191 mln to $197 mln

Nerdy forecasts Q3 non-GAAP EBITDA loss of $11 mln to $13 mln

Company anticipates year-end cash of $30 mln to $35 mln

Result Drivers

LEARNING MEMBERSHIP - Revenue increased 4% yr/yr due to higher frequency memberships and price hikes

INSTITUTIONAL REVENUE - Decline due to lower institutional revenue and absence of state-funded program

AI STRATEGY - Integration of AI tools driving growth in institutional contracts

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Adjusted Net Income
Beat
-$4.50 mln
-$12.50 mln (5 Analysts)
Q2 Adjusted EBITDA
Beat
-$2.70 mln
-$4.45 mln (6 Analysts)
Q2 Gross Margin
61.5%


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 6 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the online services peer group is "buy."

Wall Street's median 12-month price target for Nerdy Inc is $2.00, about 30% above its August 6 closing price of $1.40

Press Release: ID:nBwcDWHTa

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)