Coursera, Inc. (COUR) Bundle
A Brief History of Coursera
Coursera was founded in 2012 by Stanford professors Andrew Ng and Daphne Koller, with the goal of providing universal access to high-quality education. As of September 30, 2024, Coursera has become one of the largest online learning platforms globally, boasting 162 million registered learners and partnerships with over 350 leading universities and industry organizations.
Financial Performance Overview
In the third quarter of 2024, Coursera reported total revenue of $176.1 million, a 6% increase from $165.5 million in the same period of 2023. The gross profit for this period was $96.2 million, representing 55% of total revenue. The following table summarizes key financial metrics for the third quarter of 2024:
| Financial Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Total Revenue | $176.1 million | $165.5 million |
| Gross Profit | $96.2 million | $83.3 million |
| Net Loss | $(13.7) million | $(32.1) million |
| Net Loss per Share | $(0.09) | $(0.21) |
| Adjusted EBITDA | $13.3 million | $(5.3) million |
| Free Cash Flow | $16.7 million | $13.5 million |
Operating Segments
Coursera's revenue is segmented into three main categories: Consumer, Enterprise, and Degrees. In Q3 2024, the following revenue breakdown was reported:
| Segment | Revenue | Growth Rate |
|---|---|---|
| Consumer | $102.3 million | 3% |
| Enterprise | $60.4 million | 10% |
| Degrees | $13.4 million | 15% |
Key Business Metrics
As of September 30, 2024, Coursera reported significant growth in its user base and partnerships, with over 7 million new registered learners added during the quarter, totaling 162 million learners. The company also saw a rise in Paid Enterprise Customers, which reached 1,564, marking a 19% increase year-over-year. The Net Retention Rate for Paid Enterprise Customers stood at 89%.
Recent Developments
In 2024, Coursera introduced several strategic initiatives, including new partnerships with educational institutions and industry leaders such as Adobe, Amazon, and Microsoft. The platform launched over 20 new and upgraded generative AI certificates, responding to the growing demand for skills in technology and data science.
The company also announced plans to reduce overall expenses by approximately $30 million annually, which includes a workforce reduction of about 10% to align its cost structure with growth opportunities.
A Who Owns Coursera, Inc. (COUR)
Major Shareholders
As of 2024, Coursera, Inc. (COUR) is publicly traded on the NYSE and has various institutional and individual shareholders. The largest shareholders include:
- Vanguard Group, Inc. - 8.5% ownership
- BlackRock, Inc. - 7.3% ownership
- SSgA Funds Management, Inc. - 5.1% ownership
- Fidelity Investments - 4.8% ownership
- Other institutional investors - 30% combined ownership
Insider Ownership
Insider ownership is significant in Coursera, with the following key individuals holding substantial shares:
- Jeff Maggioncalda (CEO) - 1.2% ownership
- Andrew Ng (Co-founder) - 0.7% ownership
- Daphne Koller (Co-founder) - 0.5% ownership
Stock Performance and Market Capitalization
As of October 2024, Coursera's stock price is approximately $12.50 per share, resulting in a market capitalization of approximately $1.5 billion based on approximately 120 million shares outstanding.
Shareholder Composition
| Shareholder Type | Ownership Percentage |
|---|---|
| Institutional Investors | 55.7% |
| Insiders | 2.4% |
| Retail Investors | 41.9% |
Recent Financial Data
In the third quarter of 2024, Coursera reported:
- Total revenue of $176.1 million, up 6% from $165.5 million in Q3 2023.
- Net loss of $13.7 million compared to a loss of $32.1 million in the prior year.
- Net loss per share of $0.09, down from $0.21 year-over-year.
- Adjusted EBITDA of $13.3 million, representing 7.6% of revenue.
Future Outlook
For the full year 2024, Coursera anticipates:
- Total revenue between $690 million and $694 million.
- Adjusted EBITDA in the range of $36.5 million to $38.5 million.
Coursera, Inc. (COUR) Mission Statement
Coursera, Inc. aims to provide universal access to world-class learning. As of 2024, it has established itself as one of the largest online learning platforms globally, with a mission focused on expanding educational opportunities for learners everywhere.
Mission Statement Overview
Coursera's mission emphasizes making high-quality education accessible to a diverse audience. This is achieved through partnerships with over 350 leading universities and industry partners, which facilitate the offering of a wide range of courses, specializations, professional certificates, and degree programs.
Registered Learners
As of September 30, 2024, Coursera has:
- Total registered learners: 162 million
- New registered learners added in Q3 2024: 7 million
Financial Performance Metrics
| Metric | Q3 2024 | Q3 2023 | Year-over-Year Change |
|---|---|---|---|
| Total Revenue | $176.1 million | $165.5 million | +6% |
| Gross Profit | $96.2 million | $83.3 million | +15% |
| Net Loss | $(13.7) million | $(32.1) million | +57% improvement |
| Net Loss per Share | $(0.09) | $(0.21) | +57% improvement |
| Adjusted EBITDA | $13.3 million | $(5.3) million | Positive shift |
Operating Segments Performance
In Q3 2024, Coursera's revenues were distributed across various segments:
- Consumer Revenue: $102.3 million (up 3% YoY)
- Enterprise Revenue: $60.4 million (up 10% YoY)
- Degrees Revenue: $13.4 million (up 15% YoY)
Partnerships and Content Development
Coursera has continued to expand its offerings through new partnerships and content development. Notable highlights include:
- Introduced nine new entry-level Professional Certificates from partners including Adobe and IBM.
- Launched more than 20 new generative AI certificates and specializations.
- Welcomed ten new educator partners, enhancing the breadth of available courses.
Future Outlook
For the full year 2024, Coursera anticipates:
- Revenue in the range of $690 million to $694 million
- Adjusted EBITDA in the range of $36.5 million to $38.5 million
In addition, Coursera plans to implement cost-saving initiatives expected to generate at least $30 million in annualized savings.
Conclusion
Coursera's commitment to its mission of providing universal access to world-class learning remains clear through its substantial growth in registered learners, partnerships, and financial performance.
How Coursera, Inc. (COUR) Works
Business Model
Coursera, Inc. operates as an online learning platform that partners with over 350 leading universities and industry partners to offer a wide range of educational content. This includes courses, Specializations, Professional Certificates, Guided Projects, and degree programs. The platform serves both individual learners and organizations, providing various subscription models and enterprise solutions.
Financial Performance
As of the third quarter of 2024, Coursera reported the following financial highlights:
| Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Revenue | $176.1 million | $165.5 million |
| Gross Profit | $96.2 million | $83.3 million |
| Net Loss | $(13.7) million | $(32.1) million |
| Net Loss per Share | $(0.09) | $(0.21) |
| Non-GAAP Net Income | $16.6 million | $(2.1) million |
| Adjusted EBITDA | $13.3 million | $(5.3) million |
| Free Cash Flow | $16.7 million | $13.5 million |
Operating Segments
Coursera's revenue is categorized into three main segments: Consumer, Enterprise, and Degrees. As of September 30, 2024, the following details were reported:
| Segment | Revenue | Gross Margin | Growth Rate |
|---|---|---|---|
| Consumer | $102.3 million | 54% | 3% |
| Enterprise | $60.4 million | 70% | 10% |
| Degrees | $13.4 million | 100% | 15% |
User Statistics
As of September 30, 2024, Coursera had a total of 162 million registered learners, having added more than 7 million new registered learners during the third quarter. The platform also reported:
- Total Paid Enterprise Customers: 1,564 (up 19% year-over-year)
- Net Retention Rate for Paid Enterprise Customers: 89%
- Total Degrees Students: 26,400 (up 29% year-over-year)
Cash Flow and Liquidity
Coursera's cash flow metrics for the nine months ending September 30, 2024, include:
| Metric | Amount |
|---|---|
| Net Cash Provided by Operating Activities | $76.1 million |
| Ending Cash and Cash Equivalents | $721.7 million |
Outlook for 2024
Coursera has provided the following guidance for the fourth quarter and full year of 2024:
- Fourth Quarter Revenue: $174 million to $178 million
- Full Year Revenue: $690 million to $694 million
- Adjusted EBITDA for Full Year: $36.5 million to $38.5 million
Recent Developments
In the third quarter of 2024, Coursera announced the launch of nine new entry-level Professional Certificates and more than 20 new generative AI certificates. Additionally, partnerships were expanded with several organizations, including Aptiv, Antofagasta, and JSW Group.
How Coursera, Inc. (COUR) Makes Money
Revenue Streams
Coursera, Inc. generates revenue through three primary segments: Consumer, Enterprise, and Degrees.
Consumer Revenue
In Q3 2024, Coursera reported consumer revenue of $102.3 million, which represents a 3% increase from the previous year. The gross margin for this segment was $55.3 million, or 54% of consumer revenue, compared to 52% a year ago. The total number of registered learners reached 162 million during this period, with an addition of over 7 million new learners.
Enterprise Revenue
For Q3 2024, enterprise revenue was $60.4 million, marking a 10% increase year-over-year. The gross margin for the enterprise segment was $42.3 million, representing 70% of enterprise revenue, up from 68% a year prior. The number of paid enterprise customers increased to 1,564, a growth of 19%, with a net retention rate of 89%.
Degrees Revenue
Degrees revenue for Q3 2024 amounted to $13.4 million, a 15% increase compared to the previous year. This segment achieved a gross margin of 100% as there are no content costs associated.
Financial Overview
The total revenue for Coursera in Q3 2024 was $176.1 million, reflecting a 6% increase from $165.5 million in the same quarter of 2023. The gross profit was $96.2 million, or 55% of revenue, compared to 50% a year ago.
| Financial Metric | Q3 2024 | Q3 2023 | Change |
|---|---|---|---|
| Total Revenue | $176.1 million | $165.5 million | +6% |
| Consumer Revenue | $102.3 million | $99.3 million | +3% |
| Enterprise Revenue | $60.4 million | $54.9 million | +10% |
| Degrees Revenue | $13.4 million | $11.7 million | +15% |
| Gross Profit | $96.2 million | $83.3 million | +15% |
Cost Structure
The cost of revenue for Q3 2024 was $79.9 million, resulting in a gross profit margin of 55%. Operating expenses totaled $118 million, which includes:
- Research and Development: $31.6 million
- Sales and Marketing: $59 million
- General and Administrative: $27.4 million
Profitability Metrics
Coursera reported a net loss of $(13.7) million for Q3 2024, equating to a net loss margin of (7.8)%, improved from (19.4)% the previous year. Non-GAAP net income was reported at $16.6 million, or 9.4% of revenue.
Future Outlook and Guidance
For the fourth quarter of 2024, Coursera anticipates revenue in the range of $174 million to $178 million. The full year 2024 revenue is projected to be between $690 million and $694 million.
Coursera, Inc. (COUR) DCF Excel Template
5-Year Financial Model
40+ Charts & Metrics
DCF & Multiple Valuation
Free Email Support
Article updated on 8 Nov 2024
Resources:
- Coursera, Inc. (COUR) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Coursera, Inc. (COUR)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Coursera, Inc. (COUR)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.