Chegg, Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>Chegg, Inc. has filed its 2023 10-K report detailing financial performance and asset composition for the fiscal year ending December 31, 2023.</b>

AI Summary

CHEGG, INC (CHGG) filed a Annual Report (10-K) with the SEC on February 20, 2024. Chegg, Inc. filed its 2023 Form 10-K on February 20, 2024, reporting on the fiscal year ending December 31, 2023. The filing covers financial data for the fiscal years 2023, 2022, and 2021. Key financial statement components like Common Stock, Additional Paid-In Capital, Accumulated Other Comprehensive Income, and Retained Earnings are detailed for multiple year-end dates. Specific assets such as Content Textbook Solutions and Questions/Answers, Software, Leasehold Improvements, Furniture and Fixtures, and Computer Equipment are listed as of December 31, 2023. Details on convertible senior notes, including 'A0 Convertible Senior Notes Due 2026' and 'A0.125 Convertible Senior Notes Due 2025', are provided.

Why It Matters

For investors and stakeholders tracking CHEGG, INC, this filing contains several important signals. This 10-K filing provides a comprehensive overview of Chegg's financial health and operational assets for the past fiscal year, crucial for investors assessing the company's stability and future prospects. The detailed breakdown of financial components and specific asset categories offers transparency into Chegg's balance sheet, enabling stakeholders to understand the company's resource allocation and debt structure.

Risk Assessment

Risk Level: medium — CHEGG, INC shows moderate risk based on this filing. The filing is a standard 10-K, which is a routine annual report, but the specific financial details and risk factors within it will determine the overall risk level for investors.

Analyst Insight

Investors should review the detailed financial statements and risk factors within the 10-K to assess Chegg's performance and potential challenges.

Key Numbers

• 2023-12-31 — Fiscal Year End (CONFORMED PERIOD OF REPORT)
• 2024-02-20 — Filing Date (FILED AS OF DATE)
• 2023 — Reporting Year (Fiscal Year)
• 2022 — Prior Year (Fiscal Year)
• 2021 — Prior Year (Fiscal Year)

Key Players & Entities

• CHEGG, INC (company) — FILER
• CHGG (company) — Ticker Symbol
• 2023-12-31 (date) — CONFORMED PERIOD OF REPORT
• 2024-02-20 (date) — FILED AS OF DATE
• SANTA CLARA (location) — BUSINESS ADDRESS CITY
• DE (location) — STATE OF INCORPORATION
• 001-36180 (other) — SEC FILE NUMBER
• A0 Convertible Senior Notes Due 2026 (financial_instrument) — Senior Notes

FAQ

Industry Context

Chegg operates in the educational services sector, providing digital and physical textbook solutions, homework help, and tutoring services to students.

Regulatory Implications

As a publicly traded company, Chegg is subject to the reporting requirements of the Securities and Exchange Commission (SEC), including the annual filing of Form 10-K.

What Investors Should Do

1. Review Chegg's detailed financial statements for the fiscal year 2023.
2. Analyze the company's asset and liability structure as presented in the 10-K.
3. Examine any disclosed risk factors that could impact Chegg's future performance.

Year-Over-Year Comparison

This is the initial filing analyzed for the 2023 fiscal year, providing a baseline for future comparisons.

Key Financial Figures

• $0.001 — ange on which registered Common Stock, $0.001 par value per share CHGG The New York S

Filing Documents

• chgg-20231231.htm (10-K) — 2138KB
• ex10122023-12x31.htm (EX-10.12) — 19KB
• ex10132023-12x31.htm (EX-10.13) — 9KB
• ex21012023-12x31.htm (EX-21.01) — 9KB
• ex23012023-12x31.htm (EX-23.01) — 2KB
• ex31012023-12x31.htm (EX-31.01) — 11KB
• ex31022023-12x31.htm (EX-31.02) — 11KB
• ex32012023-12x31.htm (EX-32.01) — 7KB
• ex9712023-12x31.htm (EX-97.1) — 72KB
• cheggnewlogo20212a.jpg (GRAPHIC) — 79KB
• cheggnewlogo2021a.jpg (GRAPHIC) — 79KB
• chgg-20231231_g1.jpg (GRAPHIC) — 79KB
• chgg-20231231_g2.jpg (GRAPHIC) — 107KB
• 0001364954-24-000009.txt (&nbsp;) — 11807KB
• chgg-20231231.xsd (EX-101.SCH) — 73KB
• chgg-20231231_cal.xml (EX-101.CAL) — 127KB
• chgg-20231231_def.xml (EX-101.DEF) — 322KB
• chgg-20231231_lab.xml (EX-101.LAB) — 983KB
• chgg-20231231_pre.xml (EX-101.PRE) — 653KB
• chgg-20231231_htm.xml (XML) — 1595KB

Business

Business 4 Item 1A.

Risk Factors

Risk Factors 11 Item 1B. Unresolved Staff Comments 35 I tem IC. C ybersecurit y 35 Item 2.

Properties

Properties 36 Item 3.

Legal Proceedings

Legal Proceedings 36 Item 4. Mine Safety Disclosures 36 PART II Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchase of Equity Securities 37 Item 6. [Reserved] 38 Item 7.

Management's Discussion and Analysis of Financial Condition and Result of Operations

Management's Discussion and Analysis of Financial Condition and Result of Operations 39 Item 7A.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 50 Item 8. Consolidated Financial Statements and Supplementary Data 51 Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 87 Item 9A.

Controls and Procedures

Controls and Procedures 87 Item 9B. Other Information 87 Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 87 PART III Item 10. Directors, Executive Officers and Corporate Governance 88 Item 11.

Executive Compensation

Executive Compensation 88 Item 12.

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 88 Item 13. Certain Relationships and Related Transactions, and Director Independence 88 Item 14. Principal Accountant Fees and Services 88 PART IV Item 15. Exhibits and Financial Statement Schedules 89 Item 16. Form 10-K Summary 89

Signatures

Signatures 92 Unless the context requires otherwise, the words "we," "us," "our," "Company" and "Chegg" refer to Chegg, Inc. and its subsidiaries taken as a whole. Chegg, Chegg.com, Chegg Study, EasyBib, the Chegg "C" logo, and Busuu, are some of our trademarks used in this Annual Report on Form 10-K. Solely for convenience, our trademarks, trade names and service marks referred to in this Annual Report on Form 10-K appear without the , and SM symbols, but those references are not intended to indicate, in any way, that we will not assert, to the fullest extent under applicable law, our rights to these trademarks and trade names. Other trademarks appearing in this Annual Report on Form 10-K are the property of their respective holders. 2 Table of Contents NOTE ABOUT FORWARD-LOOKING STATEMENTS This Annual Report on Form 10-K contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this Annual Report on Form 10-K other than statements of historical fact, including statements regarding our future results of operations and financial position, our business strategy and plans, and our objectives for future operations are forward-looking statements. The words "believe," "may," "will," "would," "could," "estimate," "continue," "anticipate," "intend," "project," "endeavor," "expect," "plan to," "if," "future," "likely," "potentially," and similar expressions are intended to identify forward-looking statements. We have based these forward-looking statements largely on our current expectations and projections about future events and trends that we believe may affect our financial condition, results of operations, business strategy, short-term and long-term business operations and objectives, and financial needs. These forward-looking statements are subject to a number of risks, uncertainties and assumptions, including those described in Part I, Item 1A, "Risk Factors" in this Annual R

BUSINESS

ITEM 1. BUSINESS Overview Millions of people all around the world learn with Chegg. No matter the goal, level, or style, Chegg helps learners learn with confidence. We provide 24/7 on-demand support, and our personalized learning assistant leverages the power of artificial intelligence ("AI"), more than a hundred million pieces of proprietary content, as well as a decade of learning insights. Our platform also helps learners build essential life and job skills to accelerate their path from learning to earning, and we work with companies to offer learning programs for their employees. We are combining the power of generative AI and human capabilities to provide a personalized learning assistant to be included in our Chegg Study offering. Our new experience is trained on our proprietary content and unique data sets, allowing us to offer a high quality, high value personalized learning journey that can anticipate students' needs, adapt to their strengths and weaknesses, provide personal learning plans, and suggest interactive tools to optimize and reinforce the learning process. Students can currently engage with a simple conversational user interface, personalized learning, and more in-depth content. As the new experience evolves, we plan to have the ability to transform our content automatically into innovative study tools, such as practice tests, assessments, study guides and flash cards, as well as connect our learning community, enabling real-time sharing among community members. We aim to build personalized coaching and analytics so students can assess and compare their progress with others, while also extending beyond academic support to help navigate real-time challenges and learn core job skills. Our service and product offerings fall into two categories: Subscription Services, which encompasses our Chegg Study Pack, Chegg Study, Chegg Writing, Chegg Math, and Busuu offerings that can be accessed internationally through our websites and on mobile devic