NASDAQ$DUOL

Duolingo · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Duolingo achieved a 51% DAU growth and record bookings and revenue.

Duolingo reported a strong third quarter with significant growth in users, engagement, and subscriptions. Total bookings and revenue reached record levels, driven by the increasing popularity of Super Duolingo. The company has raised its full-year guidance.

  • Total bookings increased by 41% year-over-year to $102.7 million.
  • Subscription bookings grew by 42% year-over-year to $78.9 million.
  • Paid subscribers increased by 68% year-over-year, reaching 3.7 million.
  • Total revenues increased by 51% year-over-year to $96.1 million.

Headline financials

Total Revenue

$96.1M

Previous: $63.6M+51.1%
EPS (adj)

-$0.46

Previous: -$0.98+53.1%
Monthly Active Users

56.5M

Previous: 41.7M+35.5%
Daily Active Users

14.9M

Previous: 9.8M+52.0%
Paid Subscribers

3.7M

Previous: 2.2M+68.2%
Total Bookings

$103M

Previous: $73.1M+40.5%
Subscription Bookings

$78.9M

Previous: $55.4M+42.3%
Capital Expenditures

-$5.27M

Previous: -$3.06M-72.1%
Free Cash Flow

-$23.7M

Previous: -$32M+26.0%
Net Income

-$18.4M

Previous: -$29M+36.3%
Operating Income

-$20.2M

Previous: -$28.7M+29.7%
Gross Profit

$69.8M

Previous: $45.5M+53.3%
Cash & Equivalents

$600M

Previous: $549M+9.2%
Total Assets

$714M

Previous: $618M+15.5%
Stock-Based Comp

$20.5M

Previous: $20.7M-0.8%

Revenue & EPS history

Duolingo · Revenue · Quarterly

$96.1M

Q3 2022+51.1%vs Q3 2021
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Revenue by segment

Duolingo · $77.3M total across 2 segments · Q3 2022

  • Subscription bookings
    $72.2M+56.8%
  • Other bookings
    $5.08M+176.0%

Forward guidance

Duolingo provided guidance for the fourth quarter and full year ending December 31, 2022.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2022

Historical avgQ3 2022

+5.3%

Avg return

Earnings day

+2.3%

Avg return

5 days after

+9.4%

Avg return

30 days after

61%

14 / 23 earnings

Positive

+42.5%

Q1 2022

Best reaction

-25.5%

Q3 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.9%-3.0%-4.7%
Q4 2025+12.0%-18.1%-18.8%
Q3 2025-25.5%-25.0%-23.2%
Q1 2025+21.6%+23.9%+29.9%
Q4 2024-17.0%-22.1%-16.2%
Q3 2024+4.2%+5.0%+21.6%
Q2 2024+8.4%+10.1%+26.2%
Q1 2024-19.4%-27.3%-24.1%
Q4 2023+22.8%+15.5%+13.4%
Q3 2023+23.4%+29.7%+30.5%
Q2 2023+3.4%-0.9%+11.5%
Q1 2023+12.0%+7.3%+19.4%
Q4 2022+24.7%+34.0%+52.8%
Q3 2022-4.6%-4.1%-10.8%
Q2 2022-1.4%-5.9%-11.2%
Q1 2021+27.1%+18.5%+39.4%
Q1 2022+42.5%+29.0%+48.2%
Q4 2021-3.0%+3.9%+24.3%
Q3 2020-7.3%-6.8%-36.8%
Q3 2021+3.3%-4.3%-34.8%
Q2 2020+0.5%-1.8%+27.5%
Q4 2020+0.5%-1.8%+27.5%
Q2 2021-4.4%-3.6%+23.8%
Q1 2020

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