Udemy, Inc. · NASDAQ:UDMY
Udemy — Q1 2025 Earnings Presentation
22 slides from Udemy's earnings presentation, Apr 30, 2025
Slide 1: 1Q 2025 Earnings Presentation
1Q 2025 Earnings Presentation April 30, 2025
Slide 2: Safe Harbor Notice
Safe Harbor Notice This presentation and any accompanying oral commentary include forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements other than those of historical fact, including information concer
Slide 3: The AI-powered reskilling platform
The AI-powered reskilling platform 3
Slide 4: Udemy's New CEO Hugo Sarrazin
Udemy’s New CEO Hugo Sarrazin “As I step in as CEO of Udemy, I am excited because our scale, speed of content delivery and the impact we provide will enable us to both redefine and lead this category.” ● 2021 - 2025: UKG, a leading global Human Capital Management (HCM) company, where most recently he
Slide 5: Key takeaways
Key takeaways Exceeded expectations on revenue and AEBITDA, with Q1 AEBITDA margin up 800 bps YoY and revenue surpassing $200M for the first time. Enterprise momentum building, with 120 net new Udemy Business customers and 40+ new business deals over $100K in ARR closed in the quarter. Subscription-l
Slide 6: Financial results and highlights
Financial results and highlights % FX Q1 2025 Change Q1 2025 Guidance Impact YoY Revenue $200.3M +2% (2pts) $195M to $199M ● Total revenue of $200.3M increased 2% YoY, including a negative impact of 2 percentage points from changes in FX rates Gross Margin 65% +400 bps ● Udemy Business Annual Recurr
Slide 7: Majority of revenue is subscription-based
Majority of revenue is subscription-based Subscription Transactional Q1 2025 Revenue $200.3M 68% 32% ● Subscription revenue mix expanded to 68% of total (+500bps YoY) ● Creates enhanced earnings visibility, reduced quarterly volatility, and stronger unit economics and a more resilient business model
Slide 8: Category leading enterprise software performance
Category leading enterprise software performance $505M $517M $519M Annual Recurring Revenue ($M) $493M $479M $466M $443M Udemy Business Q1 2025 ARR increased 8% YoY to $519M Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Udemy Business Revenue $109M $115M $118M $121M $126M $130M $128M %YoY
Slide 9: Large and growing global enterprise customer base
Large and growing global Key Q1 2025 Wins enterprise customer base and Expansions 17,216 17,096 16,848 16,595 16,070 11,515 11,477 11,407 11,231 10,843 5,619 5,701 5,364 5,441 5,227 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Large customers: SMBs: ● Added 120 net new enterprise customers in Q1 2025, up
Slide 10: Vibrant consumer marketplace supports enterprise growth
Vibrant consumer marketplace supports enterprise growth 79M Revenue Segment Adjusted Gross margin (in millions) Learners $79.2 $73.8 $72.6 $69.3 $69.8 250k 5k+ Courses added 55% 56% 54% 53% 56% Total Courses per month 85k 75 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Y/Y: (2%) (4%) (8%) (7%) (8%) FX Impact: (2pt
Slide 11: Introducing Career Accelerators
Introducing Career Accelerators Curated course collections designed to help learners get the most in-demand skills needed to transform their careers. ➔ First group live with more launching throughout the year ➔ Supercharge career discovery in the marketplace ➔ Personalized curriculums powered by ski
Slide 12: Role-play scenarios expand the soft skills learning experience
Role-play scenarios expand the soft skills learning experience Empower learners with tailored, immersive role play scenarios designed by instructors, for real-world impact. Soft skills require a different kind of practice. Unlike technical skills, they thrive through dynamic, hands-on interaction. U
Slide 13: Key initiatives to drive revenue growth
Key initiatives to drive revenue growth Reallocating resources Position Udemy as the AI upmarket toward large reskilling platform for enterprises enterprises and individuals Emphasizing Pursuing strategic subscriptions across Expanding indirect growth opportunities both segments channels B2C/B2B 13
Slide 14: Q1 results reinforce clear path to FY25 Adjusted EBITDA guidance
~$82.0M Q1 results reinforce clear path to FY25 Guidance midpoint* Adjusted EBITDA guidance Adjusted EBITDA $43.0M $21.1M YTD $7.8M ($48.7M) 2022 2023 2024 2025 14 *Based on the midpoint of AEBITDA guidance issued on April 30, 2025
Slide 15: Q2 and full year 2025 outlook
Q2 and full year 2025 outlook Q2 2025 Full Year 2025 Revenue* $195 to $199 million $772 to $794 million YoY growth at midpoint* 1.0% (0.5)% FX impact* (1.5 pts) (1.0 pt) Adjusted EBITDA $22 to $24 million $77 to $87 million Margin at midpoint 12% 10% *Revenue guidance assumes FX rates will remain un
Slide 16: Key takeaways
Key takeaways Exceeded expectations on revenue and AEBITDA, with Q1 AEBITDA margin up 800 bps YoY and revenue surpassing $200M for the first time. Enterprise momentum building, with 120 net new Udemy Business customers and 40+ new business deals over $100K in ARR closed in the quarter. Subscription-l
Slide 17: Appendix
Appendix
Slide 18: Key Business Metrics Definitions
Key Business Metrics Definitions A buyer is a consumer who purchases a course or subscription through our direct-to-consumer offering. We first determine the number of monthly buyers by taking the total Monthly Average buyers of single courses during a given month plus the total active, paid consumer s
Slide 19: GAAP to Non-GAAP Gross Margin
GAAP to Non-GAAP Gross Margin 1 We calculate gross margin as gross profit divided by revenue for the same period 19 2 We calculate non-GAAP gross margin as non-GAAP gross profit divided by revenue for the same period
Slide 20: GAAP to Non-GAAP Net Income (Loss)
GAAP to Non-GAAP Net Income (Loss) 20 1 For periods presented with a net loss, potentially dilutive securities were excluded from the computation of net loss per share, diluted, because the impact of including them would have been anti-dilutive
Slide 21: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation 1 We calculate net loss margin as net loss divided by revenue for the same period 21 2 We calculate adjusted EBITDA margin as adjusted EBITDA divided by revenue for the same period
Slide 22: Udemy
Udemy