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Investing.com -- Udemy Inc. (NASDAQ:UDMY) shares jumped 5.2% after the AI-powered skills acceleration platform reported better-than-expected second quarter results, marking its first quarter of GAAP profitability as the company continues its transformation.
The online learning platform reported adjusted earnings of $0.16 per share for the second quarter, surpassing analyst estimates of $0.12 per share. Revenue came in at $199.9 million, exceeding the consensus estimate of $196.79 million and representing a 3% increase YoY. The company’s enterprise segment, Udemy Business, was the primary growth driver with revenue increasing 7% YoY to $129.3 million.
"Our second quarter results mark an inflection point in Udemy’s evolution, as we delivered both GAAP profitability and made meaningful progress on our strategy to drive accelerated growth," said Hugo Sarrazin, President and CEO of Udemy.
The company reported net income of $6.3 million for the quarter, a significant improvement from a loss of -$31.8 million in the same period last year. Adjusted EBITDA surged to $28.4 million, representing a 14% margin and a substantial 1,100 basis point expansion YoY.
Udemy’s enterprise segment continues to show strength with Annual Recurring Revenue (ARR) increasing 6% YoY to $520 million. Meanwhile, the consumer segment revenue decreased 4% YoY to $70.6 million, though revenue from consumer subscriptions now accounts for 15% of the segment’s revenue, up 2 percentage points from the prior quarter.
For the third quarter, Udemy forecasts revenue between $190 million and $195 million, in line with the consensus estimate of $192.6 million. For the full year 2025, the company expects revenue of $784 million to $794 million, compared to analyst expectations of $787.3 million.
The company also highlighted operational achievements, including surpassing 200,000 paid subscribers for its consumer subscription service, Personal Plan, and introducing new AI packages to help organizations develop AI fluency.
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