Coursera,(US:COUR)2021-08-12 16:00User Growth - As of June 30, 2021, Coursera has approximately 87 million registered learners on its platform, reflecting a significant user base growth[98]. - The number of registered learners increased to 86.7 million as of June 30, 2021, up 36% year-over-year from 63.7 million[174]. - The number of Paid Enterprise Customers grew by 109% year-over-year, reaching 584 as of June 30, 2021, compared to 279 in the same period of 2020[181]. - Degrees student count increased by 81% year-over-year, reaching 14,630 as of June 30, 2021, compared to 8,079 in the same period of 2020[179]. Financial Performance - For the three months ended June 30, 2021, Coursera reported a net loss of $46.4 million, with a net loss margin of (45)%, compared to a net loss of $13.9 million and a margin of (19)% for the same period in 2020[100]. - For the six months ended June 30, 2021, the net loss increased to $65.0 million, with a net loss margin of (34)%, compared to a net loss of $28.2 million and a margin of (22)% in 2020[101]. - Revenue for the three months ended June 30, 2021, was $102.1 million, an increase of $28.4 million or 38% compared to $73.7 million for the same period in 2020[135]. - Revenue for the six months ended June 30, 2021, was $190.5 million, an increase of $62.9 million or 49% compared to $127.6 million for the same period in 2020[139]. - The net loss for the three months ended June 30, 2021, was $46.363 million, compared to a net loss of $13.916 million for the same period in 2020, representing a deterioration of about 233.5%[192]. Revenue Breakdown - Coursera's revenue is derived from three sources: Consumer, Enterprise, and Degrees, with revenue recognized ratably over the contract term[116]. - Total Consumer revenue increased by $11.7 million, or 23%, for the three months ended June 30, 2021, compared to the same period in 2020[136]. - Total Enterprise revenue increased by $11.5 million, or 69%, for the three months ended June 30, 2021, compared to the same period in 2020[137]. - Total Degrees revenue increased by $5.2 million, or 78%, for the three months ended June 30, 2021, compared to the same period in 2020[138]. - Consumer revenue for the six months ended June 30, 2021, was $113.9 million, a 38% increase from $82.6 million in the same period of 2020[185]. - Enterprise revenue for the six months ended June 30, 2021, reached $52.7 million, reflecting a 66% year-over-year growth from $31.7 million[185]. Operating Expenses - Total operating expenses for the three months ended June 30, 2021, were $106.7 million, a 104% increase from $52.4 million for the same period in 2020[147]. - Research and development expenses for the three months ended June 30, 2021, were $41.0 million, a 127% increase from $18.0 million for the same period in 2020[149]. - Sales and marketing expenses for the three months ended June 30, 2021, were $43.9 million, a 73% increase from $25.4 million for the same period in 2020[151]. - General and administrative expenses for the three months ended June 30, 2021, were $21.8 million, a 144% increase from $8.9 million for the same period in 2020[153]. Cash and Liquidity - As of June 30, 2021, the company had cash, cash equivalents, and marketable securities totaling $800.7 million[160]. - The company received cash proceeds of $525.3 million from its IPO in April 2021, net of underwriting discounts and commissions[160]. - The company expects its existing cash and cash equivalents will be sufficient to meet its cash needs for at least the next 12 months[161]. - For the six months ended June 30, 2021, net cash used in operating activities was $9.8 million, compared to net cash provided of $3.8 million for the same period in 2020, reflecting a $13.6 million increase in cash used[167][168]. Growth Strategy - The company anticipates continued investment in growth, expecting operating expenses to increase as it builds sales and marketing efforts and expands its employee base[114]. - Coursera aims to expand its international footprint, particularly in regions with large underserved adult learning populations, as part of its growth strategy[112]. - The shift in revenue mix towards Degrees and Enterprise is expected to improve overall margins, as these segments incur lower content costs compared to Consumer offerings[110]. - Coursera's ability to attract and engage new learners and Enterprise customers is critical for its growth, as these segments contribute significantly to overall revenue[107]. Market and Economic Factors - The company's revenue is primarily denominated in U.S. dollars, minimizing significant foreign currency risk[210]. - Operating expenses are subject to fluctuations due to changes in foreign currency exchange rates, particularly in the Pound Sterling, Canadian Dollar, and Indian Rupee[210]. - A 10% increase or decrease in current exchange rates would have resulted in an impact of $1.7 million on the company's quarterly unaudited condensed consolidated financial statements[210].