October 29, 2025. Udemy, a leading AI-powered skills acceleration platform, reported its Q3 results, demonstrating strong momentum. The company is accelerating its consumer subscription-first approach, impacting near-term Consumer segment growth but shortening the path to a more durable, predictable business model.
Udemy’s President and CEO, Hugo Sarrazin, emphasized the need for workers to develop new skills due to AI and automation. Udemy is building a comprehensive learning platform that bridges the gap between current and future skills.
Key highlights include surpassing the 2025 consumer subscription target, acquiring new Udemy Business customers globally, a Udemy Business Net Dollar Retention Rate (NDRR) of 93%, and positive free cash flow. For the three months ending December 31, 2025, Udemy expects revenue of $191 to $194 million and adjusted EBITDA of $18 to $20 million. It anticipates a basic weighted average share count of 148 million and a diluted weighted average share count of 150 million.
Udemy will host a conference call and webcast today at 2:00 p.m. PT / 5:00 p.m. ET to discuss these results.
Additional highlights include:
– Surpassed the 2025 consumer subscription target ahead of plan, ending the quarter with 294,000 paid consumer subscribers.
– Acquired new, or expanded existing, relationships with Udemy Business customers globally, including AMD (U.S.), BanRegio (Mexico), Bayer Corporation (U.S.), Capitec Bank Holdings (South Africa), Daifuku Oceania (New Zealand), Flutter Entertainment (Ireland), Galicia Seguros (Argentina), GB Group plc (UK), Hitachi Vantara (U.S.), Mazda Toyota Manufacturing (U.S.), McLane Company, Inc. (U.S.), OpenBet Limited (UK), Q2 Holdings, Inc. (U.S.), RIA Advisory (U.S.), and Tawuniya (Saudi Arabia).
– Udemy Business Net Dollar Retention Rate (NDRR) was 93%, and Udemy Business Large Customer Net Dollar Retention Rate was 97%.
– Net cash provided by operating activities was $15.7 million, while free cash flow for the quarter was positive $12.1 million. Year-to-date net cash provided by operating activities was $72.1 million, while free cash flow was positive $58.2 million.
– Repurchased approximately 4.1 million Udemy shares as part of Udemy’s $50 million stock repurchase program.
Hugo Sarrazin – President and CEO of Udemy
Source: Udemy
