The CEO of Chegg Believes Company Will Keep Growing Next Year

Citing a boost to remote learning due to the coronavirus pandemic, Chegg CEO Dan Rosensweig has said that he expects more growth ahead for the company in 2021.

With coronavirus causing a shift to remote learning, it has caused a surge in Chegg’s business this year and Rosenweig doesn’t see this stopping next year.

“When the pandemic is over, we don’t expect growth to significantly slow because this is not just the trend, this is what it’s going to be and this is what it has to be,” he said to CNBC this week.

“We’re looking at what the inevitable looks like in the next few years,” he added.

Chegg, which launched in 2005, posted record growth above 60% in its last two quarters, up from the roughly 30% quarterly growth it posted in the past.

Started by Iowa State University students, the company now offers e-textbooks, on-demand and online tutoring services. Chegg now has 3.9 million subscribers, up 29% from a year ago.

Even when students go back to learning on campuses, Chegg is looking to succeed on the need for technology to supplement and enhance the learning experience.

“The American student doesn’t look like what people think that it does, and they need more help,” said Rosensweig. According to the CEO, “40% of them are working 30 hours a week or more [and] cannot be scheduled in a classroom, it has to be more remote.”

Rosensweig said the company now has exposure to some 190 countries and has brought in $438.62 million in the first three quarters of 2020. Revenues through September has already topped what it brought in all of last year.

“What the pandemic has done is really reveal just how important it is not just domestically but internationally,” Rosensweig said.

Shares of Chegg are up about 260% since March.

Disclaimer: We have no position in any of the companies mentioned and have not been compensated for this article.