Online learning firm Nerdy's Q3 revenue in line with company's guidance

Nerdy

06/11/2025 22:27

Overview

Nerdy Q3 revenue of $37 mln, in line with expectations, down 1% yr/yr

Adjusted EBITDA loss of $10.2 mln

Company secures $50 mln term loan to enhance liquidity

Outlook

Nerdy expects Q4 2025 revenue between $45 mln and $47 mln

Nerdy forecasts full-year 2025 revenue between $175 mln and $177 mln

Company expects Q4 2025 non-GAAP adjusted EBITDA loss between $2 mln and breakeven

Result Drivers

AI PLATFORM LAUNCH - Launch of AI-native Live Learning Platform 2.0 enhanced user experience and contributed to operational improvements

COST CONTROLS - Improved adjusted EBITDA margins driven by cost controls and AI-enabled operations, per CEO Chuck Cohn

PRICE INCREASES - Sequential gross margin improvement due to price increases for new Consumer customers

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Adjusted Net Income
Beat
-$11.90 mln
-$18.11 mln (4 Analysts)
Q3 Adjusted EBITDA
Beat
-$10.20 mln
-$11.83 mln (6 Analysts)
Q3 Gross Margin
62.90%


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 5 "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 $1.88, about 48.3% above its November 5 closing price of $0.97

Press Release: ID:nBw4cD4x7a

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(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.)