Coursera's First Post-Udemy Quarter: Revenue Soars 60% to $298.6M, but Merger Costs Drive $80.4M Net Loss

summarizeSummary

Coursera's first post-merger 10-Q shows revenue up 60% to $298.6M but a GAAP net loss of $80.4M due to heavy merger costs. Non-GAAP net income was $40.4M. The company is aggressively buying back stock and announced a workforce reduction and a $100M strategic investment.

check_boxKey Events · Earnings and Guidance · COUR

• Revenue Surges 60% on Udemy Merger

  Q2 2026 revenue reached $298.6 million, up from $187.1 million a year ago, with $103.8 million contributed by Udemy since the May 11, 2026 closing. Enterprise revenue more than doubled to $140.0 million, while Consumer revenue grew 29% to $158.6 million.

• GAAP Net Loss Widens on Merger Costs

  Net loss was $80.4 million, or $0.34 per share, compared to a $7.8 million loss a year ago. The loss was driven by $79.8 million in merger, integration, and restructuring costs, including $25.5 million in transaction costs, $18.2 million in retention bonuses, and $24.0 million in change-in-control expenses.

• Non-GAAP Profitability Achieved

  Excluding merger costs, stock-based compensation, and amortization of acquired intangibles, non-GAAP net income was $40.4 million, or $0.17 per diluted share, up from $19.3 million a year ago. Adjusted EBITDA was $42.7 million, a 14.3% margin.

• Aggressive Share Repurchases Underway

  The company repurchased 16.5 million shares for $90.3 million in Q2 under its new $500 million buyback program. An additional 10.6 million shares were repurchased for $60.1 million in July, leaving $409.9 million remaining under the authorization.

auto_awesomeAnalysis · COUR · Technology

The first quarterly report since Coursera closed its all-stock Udemy merger reveals a dramatically reshaped company. Revenue surged 60% year-over-year to $298.6 million, fueled by Udemy's contribution, yet the bottom line was battered by $79.8 million in merger, integration, and restructuring costs, resulting in a net loss of $80.4 million. On a non-GAAP basis, however, the company turned profitable with net income of $40.4 million. The balance sheet remains robust, holding $982.2 million in cash and marketable securities, and management moved aggressively to repurchase $90.3 million of stock under a new $500 million program. Subsequent events add further complexity: an additional $60.1 million in buybacks, a workforce reduction plan expected to cost $9–$11 million, and a $100 million strategic investment in LearnVector, an AI-native learning company founded by Coursera's chairman. This filing offers the first detailed look at the combined entity's financial health and integration progress, making it essential for evaluating the merger's early returns and future trajectory.