Nerdy (NRDY) 28th Annual Needham Growth Conference Virtual summary

Business overview and strategy

• Operates a leading live learning platform in the U.S., offering 3,000 subjects and multiple learning modalities for both consumers and institutions.

• Consumer business is 85% of revenue, with 35,000 active families paying $375/month for memberships.

• Institutional business targets school districts, providing AI-powered intervention and personalized learning at scale.

• Focuses on delivering longitudinal, highly personalized learning journeys using AI and live instruction.

• Differentiates by combining AI tools with human expertise, enhancing both online and offline learning experiences.

Technology and AI integration

• Completed a full replatforming to AI-native services by year-end, reducing tech debt and enabling rapid innovation.

• AI enables real-time lesson preparation, tutor suggestions, and post-session content creation, deeply personalizing the experience.

• AI tools support both students and tutors, increasing engagement and learning outcomes.

• Platform now supports rapid testing and deployment of new features and subject-specific content.

• AI-driven automation has reduced manual processes and headcount by 27% year-over-year.

Market trends and growth outlook

• Sequential revenue growth accelerated each quarter in 2025, expected to continue and further accelerate in 2026.

• Product-led growth and new marketing channels are driving consumer business expansion.

• Institutional market is benefiting from increased openness to AI and normalization of federal funding.

• High-dosage tutoring and AI-enhanced live instruction are positioned as key solutions for learning recovery.

• Offline-to-online market shift remains a significant growth opportunity.