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Chegg Skilling revenue was $17.6 million in Q1 2026, representing 9% growth
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Chegg is a digital study buddy for college students, offering homework help, textbook rentals, and writing tools via subscription. Think of it as a 24/7 tutoring service that fits in your backpack.
Money comes from recurring student subscriptions (Chegg Study, Study Pack, Busuu) plus textbook rentals. Gross margins are healthy at ~59%, but the company is currently unprofitable, losing money on operations.
Chegg's brand and student habit create some stickiness, but free AI tools like ChatGPT and Khan Academy are eroding its subscriber base. The moat is real but weakening as students shift to cheaper alternatives.