Duolingo Reports Strong Growth in Q3 2024 Earnings

Duolingo, Inc. Class A ( (DUOL) ) has released its Q3 earnings. Here is a breakdown of the information Duolingo, Inc. Class A presented to its investors.

Duolingo, Inc. is a leading mobile learning platform focused on providing language learning experiences through its popular app, which is known for its fun and engaging approach and is the top-grossing app in the education category on major app stores.

In its third-quarter fiscal year 2024 earnings report, Duolingo reported impressive growth across multiple user engagement and financial metrics. The company exceeded expectations in terms of user growth, revenue, and profitability, and showcased exciting new product features.

Key highlights of Duolingo’s performance include a significant increase in daily active users by 54% year over year, reaching 37.2 million, and monthly active users rising by 36% to 113.1 million. Paid subscribers saw a 47% increase, totaling 8.6 million. Financially, the company recorded a 40% increase in revenue, reaching $192.6 million, and a significant jump in net income from $2.8 million to $23.4 million. Additionally, adjusted EBITDA more than doubled to $47.5 million, reflecting improved profit margins.

Strategically, Duolingo introduced a new Video Call feature, part of its Duolingo Max subscription, which enhances conversational learning with AI-powered interactions. This is part of a broader initiative to offer a tutor-like experience, especially benefiting English learners, and is expected to contribute to further user engagement and retention.

Looking ahead, Duolingo remains optimistic about its growth trajectory, raising its guidance for the year and planning to expand the availability of its new features. The company is poised to continue capitalizing on the global demand for language learning and aims to sustain its momentum in user engagement and financial performance.