What is Duolingo, Inc.'s earnings per share (EPS)?

Duolingo, Inc. (DUOL) reported diluted earnings per share of $8.57 for fiscal year 2025. This represents a 355.9% change compared to the previous fiscal year. EPS represents the portion of a company's net income allocated to each outstanding share of common stock and is widely used to evaluate profitability on a per-share basis.

Duolingo, Inc. Financials

DUOL

Source SEC Filings (10-K/10-Q) Updated Dec 31, 2025 Currency USD FYE December

This page shows Duolingo, Inc. (DUOL) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 6 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).

Financial Health Signals

Financial Profile 78/100

Based on FY2025 annual data. Scores normalized against common benchmarks. How we calculate these scores

Profitability

Duolingo, Inc. has an operating margin of 13.1%, meaning the company retains $13 of operating profit per $100 of revenue. This results in a moderate score of 51/100, indicating healthy but not exceptional operating efficiency. This is up from 8.4% the prior year.

Growth

Duolingo, Inc.'s revenue surged 38.7% year-over-year to $1.0B, reflecting rapid business expansion. This strong growth earns a score of 98/100.

Leverage

Duolingo, Inc. carries a low D/E ratio of 0.48, meaning only $0.48 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 92/100, indicating a strong balance sheet with room for future borrowing.

Liquidity

Duolingo, Inc.'s current ratio of 2.61 indicates adequate short-term liquidity, earning a score of 49/100. The company can meet its near-term obligations, though with limited headroom.

Cash Flow

100

Duolingo, Inc. converts 35.6% of revenue into free cash flow ($369.7M). This strong cash generation earns a score of 100/100.

Returns

Duolingo, Inc. earns a strong 30.7% return on equity (ROE), meaning it generates $31 of profit for every $100 of shareholders' equity. This efficient capital use earns a returns score of 79/100. This is up from 10.7% the prior year.

Altman Z-Score Safe

5.70

Duolingo, Inc. scores 5.70, well above the 2.99 safe threshold. The score is driven primarily by a large market capitalization ($4.5B) relative to total liabilities ($645.2M). This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.

Piotroski F-Score Weak

3/9

Duolingo, Inc. passes 3 of 9 financial strength tests. 3 of 4 profitability signals pass, no leverage/liquidity signals pass (rising debt, declining liquidity, or share dilution), neither operating efficiency signal passes.

Earnings Quality Mixed

0.94x

For every $1 of reported earnings, Duolingo, Inc. generates $0.94 in operating cash flow ($387.8M OCF vs $414.1M net income). This mixed ratio suggests some earnings may rely on non-cash accounting items.

Key Financial Metrics

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Earnings & Revenue

Revenue

$1.0B

YoY+38.7%

5Y CAGR+45.0%

Duolingo, Inc. generated $1.0B in revenue in fiscal year 2025. This represents an increase of 38.7% from the prior year.

EBITDA

$150.0M

YoY+104.2%

Duolingo, Inc.'s EBITDA was $150.0M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 104.2% from the prior year.

Net Income

$414.1M

YoY+367.5%

Duolingo, Inc. reported $414.1M in net income in fiscal year 2025. This represents an increase of 367.5% from the prior year.

EPS (Diluted)

$8.57

YoY+355.9%

Duolingo, Inc. earned $8.57 per diluted share (EPS) in fiscal year 2025. This represents an increase of 355.9% from the prior year.

Cash & Balance Sheet

Free Cash Flow

$369.7M

YoY+35.2%

5Y CAGR+91.6%

Duolingo, Inc. generated $369.7M in free cash flow in fiscal year 2025, representing cash available after capex. This represents an increase of 35.2% from the prior year.

Cash & Debt

$1.0B

YoY+31.9%

5Y CAGR+53.8%

Duolingo, Inc. held $1.0B in cash against $0 in long-term debt as of fiscal year 2025.

Dividends Per Share

N/A

Shares Outstanding

N/A

Margins & Returns

Gross Margin

72.2%

YoY-0.5pp

5Y CAGR+0.7pp

Duolingo, Inc.'s gross margin was 72.2% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is down 0.5 percentage points from the prior year.

Operating Margin

13.1%

YoY+4.7pp

5Y CAGR+23.0pp

Duolingo, Inc.'s operating margin was 13.1% in fiscal year 2025, reflecting core business profitability. This is up 4.7 percentage points from the prior year.

Net Margin

39.9%

YoY+28.1pp

5Y CAGR+49.7pp

Duolingo, Inc.'s net profit margin was 39.9% in fiscal year 2025, showing the share of revenue converted to profit. This is up 28.1 percentage points from the prior year.

Return on Equity

30.7%

YoY+20.0pp

Duolingo, Inc.'s ROE was 30.7% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is up 20.0 percentage points from the prior year.

Capital Allocation

R&D Spending

$306.3M

YoY+30.2%

5Y CAGR+42.0%

Duolingo, Inc. invested $306.3M in research and development in fiscal year 2025. This represents an increase of 30.2% from the prior year.

Share Buybacks

N/A

Capital Expenditures

$18.1M

YoY+49.4%

5Y CAGR+39.9%

Duolingo, Inc. invested $18.1M in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents an increase of 49.4% from the prior year.

DUOL Income Statement

Metric	FY25	FY24	FY23	FY22	FY21	FY20
Revenue	$1.0B+38.7%	$748.0M+40.8%	$531.1M+43.7%	$369.5M+47.3%	$250.8M+55.1%	$161.7M
Cost of Revenue	$288.1M+41.5%	$203.6M+43.3%	$142.1M+42.9%	$99.4M+43.7%	$69.2M+50.4%	$46.0M
Gross Profit	$749.5M+37.7%	$544.4M+39.9%	$389.0M+44.0%	$270.1M+48.7%	$181.6M+56.9%	$115.7M
R&D Expenses	$306.3M+30.2%	$235.3M+21.1%	$194.4M+29.2%	$150.4M+44.9%	$103.8M+95.8%	$53.0M
SG&A Expenses	$181.9M+16.6%	$156.0M+18.1%	$132.1M+12.1%	$117.8M+50.0%	$78.6M+79.8%	$43.7M
Operating Income	$135.6M+116.6%	$62.6M+572.1%	-$13.3M+79.7%	-$65.2M-8.6%	-$60.0M-274.8%	-$16.0M
Interest Expense	N/A	N/A	N/A	N/A	N/A	N/A
Income Tax	-$231.7M-1787.0%	$13.7M+703.0%	$1.7M+82.3%	$938K+429.9%	$177K+160.3%	$68K
Net Income	$414.1M+367.5%	$88.6M+451.3%	$16.1M+127.0%	-$59.6M+0.9%	-$60.1M-281.2%	-$15.8M
EPS (Diluted)	$8.57+355.9%	$1.88+437.1%	$0.35+123.2%	$-1.51+41.2%	$-2.57-107.3%	$-1.24

Metric	Q4'25	Q3'25	Q2'25	Q1'25	Q4'24	Q3'24	Q2'24	Q1'24
Revenue	$282.9M+4.1%	$271.7M+7.7%	$252.3M+9.3%	$230.7M+10.1%	$209.6M+8.8%	$192.6M+8.0%	$178.3M+6.4%	$167.6M
Cost of Revenue	$77.0M+2.9%	$74.8M+7.3%	$69.7M+4.6%	$66.6M+13.1%	$58.9M+12.9%	$52.2M+10.2%	$47.3M+4.8%	$45.2M
Gross Profit	$205.9M+4.5%	$196.9M+7.8%	$182.6M+11.3%	$164.1M+8.9%	$150.6M+7.3%	$140.4M+7.2%	$131.0M+7.0%	$122.4M
R&D Expenses	$79.6M-3.8%	$82.7M+12.3%	$73.7M+4.7%	$70.4M+6.0%	$66.4M+5.6%	$62.9M+14.0%	$55.1M+8.4%	$50.9M
SG&A Expenses	$48.5M+10.3%	$44.0M-4.4%	$46.0M+5.8%	$43.5M-4.6%	$45.5M+18.6%	$38.4M+3.9%	$37.0M+5.2%	$35.1M
Operating Income	$43.5M+23.6%	$35.2M+5.4%	$33.4M+41.4%	$23.6M+70.0%	$13.9M+2.3%	$13.6M-27.4%	$18.7M+13.8%	$16.4M
Interest Expense	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Income Tax	$12.5M+105.1%	-$245.7M-14824.1%	$1.7M+1435.2%	-$125K-101.5%	$8.4M+316.2%	$2.0M-53.5%	$4.4M+494.8%	-$1.1M
Net Income	$42.0M-85.6%	$292.2M+552.5%	$44.8M+27.5%	$35.1M+152.6%	$13.9M-40.5%	$23.4M-4.1%	$24.4M-9.7%	$27.0M
EPS (Diluted)	N/A	$5.95+553.8%	$0.91+26.4%	$0.72	N/A	$0.49-3.9%	$0.51-10.5%	$0.57

DUOL Balance Sheet

Metric	FY25	FY24	FY23	FY22	FY21	FY20
Total Assets	$2.0B+53.0%	$1.3B+36.5%	$954.0M+27.6%	$747.3M+13.0%	$661.3M+276.3%	$175.7M
Current Assets	$1.4B+30.4%	$1.1B+22.7%	$897.8M+28.8%	$697.2M+12.6%	$619.3M+291.0%	$158.4M
Cash & Equivalents	$1.0B+31.9%	$785.8M+5.1%	$747.6M+22.9%	$608.2M+9.8%	$553.9M+359.7%	$120.5M
Inventory	N/A	N/A	N/A	N/A	N/A	N/A
Accounts Receivable	$162.8M+26.3%	$128.9M+44.9%	$89.0M+90.4%	$46.7M+40.9%	$33.2M+62.2%	$20.4M
Goodwill	$35.3M+235.3%	$10.5M+160.2%	$4.0M0.0%	$4.0M	$0	N/A
Total Liabilities	$645.2M+35.2%	$477.2M+59.9%	$298.5M+45.4%	$205.3M+38.5%	$148.3M-42.2%	$256.4M
Current Liabilities	$551.1M+30.5%	$422.2M+52.2%	$277.4M+52.6%	$181.8M+52.6%	$119.1M+81.4%	$65.7M
Long-Term Debt	N/A	N/A	N/A	N/A	N/A	N/A
Total Equity	$1.3B+63.4%	$824.5M+25.8%	$655.5M+20.9%	$542.1M+5.7%	$513.1M+735.8%	-$80.7M
Retained Earnings	$288.2M+329.0%	-$125.8M+41.3%	-$214.4M+7.0%	-$230.5M-34.9%	-$170.9M-54.3%	-$110.8M

Metric	Q4'25	Q3'25	Q2'25	Q1'25	Q4'24	Q3'24	Q2'24	Q1'24
Total Assets	$2.0B+5.7%	$1.9B+22.2%	$1.5B+9.9%	$1.4B+7.8%	$1.3B+6.7%	$1.2B+7.0%	$1.1B+6.6%	$1.1B
Current Assets	$1.4B+5.1%	$1.4B+3.3%	$1.3B+8.6%	$1.2B+10.7%	$1.1B+4.1%	$1.1B+1.6%	$1.0B+6.6%	$977.3M
Cash & Equivalents	$1.0B+2.5%	$1.0B+3.6%	$976.2M+10.4%	$884.0M+12.5%	$785.8M-8.0%	$854.4M-3.8%	$888.2M+7.1%	$829.7M
Inventory	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accounts Receivable	$162.8M+30.8%	$124.5M+10.2%	$112.9M-1.1%	$114.2M-11.4%	$128.9M+36.8%	$94.2M+21.2%	$77.7M+1.7%	$76.4M
Goodwill	$35.3M0.0%	$35.3M+235.3%	$10.5M0.0%	$10.5M0.0%	$10.5M0.0%	$10.5M+160.2%	$4.0M0.0%	$4.0M
Total Liabilities	$645.2M+11.6%	$578.1M+2.2%	$565.5M+11.0%	$509.3M+6.7%	$477.2M+20.2%	$397.1M+6.6%	$372.5M+4.2%	$357.6M
Current Liabilities	$551.1M+13.7%	$484.5M+2.8%	$471.4M+3.7%	$454.5M+7.6%	$422.2M+23.4%	$342.1M+7.7%	$317.7M+4.6%	$303.7M
Long-Term Debt	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Total Equity	$1.3B+3.0%	$1.3B+33.8%	$977.0M+9.3%	$893.8M+8.4%	$824.5M+0.3%	$822.5M+7.2%	$766.9M+7.9%	$711.1M
Retained Earnings	$288.2M+17.0%	$246.3M+636.2%	-$45.9M+49.4%	-$90.7M+27.9%	-$125.8M+10.0%	-$139.8M+14.3%	-$163.1M+13.0%	-$187.5M

DUOL Cash Flow Statement

Metric	FY25	FY24	FY23	FY22	FY21	FY20
Operating Cash Flow	$387.8M+35.8%	$285.5M+85.9%	$153.6M+186.3%	$53.7M+485.1%	$9.2M-48.2%	$17.7M
Capital Expenditures	$18.1M+49.4%	$12.1M+279.7%	$3.2M-42.6%	$5.6M+55.1%	$3.6M+6.2%	$3.4M
Free Cash Flow	$369.7M+35.2%	$273.4M+81.8%	$150.4M+212.8%	$48.1M+761.3%	$5.6M-61.0%	$14.3M
Investing Cash Flow	-$107.7M+50.5%	-$217.3M-1499.9%	-$13.6M+4.2%	-$14.2M-128.4%	-$6.2M-54.6%	-$4.0M
Financing Cash Flow	-$29.5M+1.5%	-$30.0M-1505.2%	$2.1M-85.6%	$14.8M-96.6%	$430.5M+816.8%	$47.0M
Dividends Paid	N/A	N/A	N/A	N/A	N/A	N/A
Share Buybacks	N/A	N/A	$0	$0-100.0%	$868K	$0

Metric	Q4'25	Q3'25	Q2'25	Q1'25	Q4'24	Q3'24	Q2'24	Q1'24
Operating Cash Flow	$107.3M+27.3%	$84.2M-7.1%	$90.7M-14.2%	$105.6M+26.7%	$83.3M+48.1%	$56.3M-9.8%	$62.4M-25.3%	$83.5M
Capital Expenditures	$10.7M+120.6%	$4.9M+305.8%	$1.2M-8.5%	$1.3M-33.2%	$2.0M-38.3%	$3.2M-42.9%	$5.6M+293.4%	$1.4M
Free Cash Flow	$96.6M+21.6%	$79.4M-11.3%	$89.5M-14.2%	$104.3M+28.2%	$81.4M+53.3%	$53.1M-6.6%	$56.8M-30.8%	$82.1M
Investing Cash Flow	-$43.2M+16.4%	-$51.7M-2174.4%	-$2.3M+78.5%	-$10.5M+90.4%	-$110.4M-18.3%	-$93.3M-977.7%	-$8.7M-72.4%	-$5.0M
Financing Cash Flow	-$39.2M-1528.8%	$2.7M-28.3%	$3.8M+22.7%	$3.1M+107.5%	-$41.6M-1404.0%	$3.2M-33.5%	$4.8M+32.8%	$3.6M
Dividends Paid	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Share Buybacks	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

DUOL Financial Ratios

Metric	FY25	FY24	FY23	FY22	FY21	FY20
Gross Margin	72.2%-0.5pp	72.8%-0.5pp	73.2%+0.2pp	73.1%+0.7pp	72.4%+0.8pp	71.6%
Operating Margin	13.1%+4.7pp	8.4%+10.9pp	-2.5%+15.1pp	-17.6%+6.3pp	-23.9%-14.0pp	-9.9%
Net Margin	39.9%+28.1pp	11.8%+8.8pp	3.0%+19.1pp	-16.1%+7.9pp	-24.0%-14.2pp	-9.8%
Return on Equity	30.7%+20.0pp	10.7%+8.3pp	2.5%+13.4pp	-11.0%+0.7pp	-11.7%	N/A
Return on Assets	20.8%+14.0pp	6.8%+5.1pp	1.7%+9.6pp	-8.0%+1.1pp	-9.1%-0.1pp	-9.0%
Current Ratio	2.610.0	2.61-0.6	3.24-0.6	3.84-1.4	5.20+2.8	2.41
Debt-to-Equity	0.48-0.1	0.58+0.1	0.46+0.1	0.38+0.1	0.29+3.5	-3.18
FCF Margin	35.6%-0.9pp	36.5%+8.2pp	28.3%+15.3pp	13.0%+10.8pp	2.2%-6.6pp	8.9%

Metric	Q4'25	Q3'25	Q2'25	Q1'25	Q4'24	Q3'24	Q2'24	Q1'24
Gross Margin	72.8%+0.3pp	72.5%+0.1pp	72.4%+1.3pp	71.1%-0.8pp	71.9%-1.0pp	72.9%-0.5pp	73.5%+0.4pp	73.0%
Operating Margin	15.4%+2.4pp	12.9%-0.3pp	13.2%+3.0pp	10.2%+3.6pp	6.6%-0.4pp	7.0%-3.4pp	10.5%+0.7pp	9.8%
Net Margin	14.8%-92.7pp	107.5%+89.8pp	17.8%+2.5pp	15.2%+8.6pp	6.6%-5.5pp	12.1%-1.5pp	13.7%-2.4pp	16.1%
Return on Equity	3.1%-19.2pp	22.4%+17.8pp	4.6%+0.6pp	3.9%+2.2pp	1.7%-1.2pp	2.8%-0.3pp	3.2%-0.6pp	3.8%
Return on Assets	2.1%-13.4pp	15.5%+12.6pp	2.9%+0.4pp	2.5%+1.4pp	1.1%-0.8pp	1.9%-0.2pp	2.1%-0.4pp	2.5%
Current Ratio	2.61-0.2	2.82+0.0	2.81+0.1	2.68+0.1	2.61-0.5	3.09-0.2	3.28+0.1	3.22
Debt-to-Equity	0.48+0.0	0.44-0.1	0.580.0	0.570.0	0.58+0.1	0.480.0	0.49-0.0	0.50
FCF Margin	34.1%+4.9pp	29.2%-6.3pp	35.5%-9.7pp	45.2%+6.4pp	38.8%+11.3pp	27.6%-4.3pp	31.9%-17.1pp	49.0%

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Frequently Asked Questions

What is Duolingo, Inc.'s annual revenue?

Duolingo, Inc. (DUOL) reported $1.0B in total revenue for fiscal year 2025. This represents a 38.7% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.

How fast is Duolingo, Inc.'s revenue growing?

Duolingo, Inc. (DUOL) revenue grew by 38.7% year-over-year, from $748.0M to $1.0B in fiscal year 2025.

Is Duolingo, Inc. profitable?

Yes, Duolingo, Inc. (DUOL) reported a net income of $414.1M in fiscal year 2025, with a net profit margin of 39.9%.

What is Duolingo, Inc.'s EBITDA?

Duolingo, Inc. (DUOL) had EBITDA of $150.0M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.

What is Duolingo, Inc.'s gross margin?

Duolingo, Inc. (DUOL) had a gross margin of 72.2% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.

What is Duolingo, Inc.'s operating margin?

Duolingo, Inc. (DUOL) had an operating margin of 13.1% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.

What is Duolingo, Inc.'s net profit margin?

Duolingo, Inc. (DUOL) had a net profit margin of 39.9% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.

What is Duolingo, Inc.'s return on equity (ROE)?

Duolingo, Inc. (DUOL) has a return on equity of 30.7% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.

What is Duolingo, Inc.'s free cash flow?

Duolingo, Inc. (DUOL) generated $369.7M in free cash flow during fiscal year 2025. This represents a 35.2% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.

What is Duolingo, Inc.'s operating cash flow?

Duolingo, Inc. (DUOL) generated $387.8M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.

What are Duolingo, Inc.'s total assets?

Duolingo, Inc. (DUOL) had $2.0B in total assets as of fiscal year 2025, including both current and long-term assets.

What are Duolingo, Inc.'s capital expenditures?

Duolingo, Inc. (DUOL) invested $18.1M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.

How much does Duolingo, Inc. spend on research and development?

Duolingo, Inc. (DUOL) invested $306.3M in research and development during fiscal year 2025.

What is Duolingo, Inc.'s current ratio?

Duolingo, Inc. (DUOL) had a current ratio of 2.61 as of fiscal year 2025, which is generally considered healthy.

What is Duolingo, Inc.'s debt-to-equity ratio?

Duolingo, Inc. (DUOL) had a debt-to-equity ratio of 0.48 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.

What is Duolingo, Inc.'s return on assets (ROA)?

Duolingo, Inc. (DUOL) had a return on assets of 20.8% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.

What is Duolingo, Inc.'s Altman Z-Score?

Duolingo, Inc. (DUOL) has an Altman Z-Score of 5.70, placing it in the Safe Zone (low bankruptcy risk). The Z-Score combines five financial ratios—working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets—to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.

What is Duolingo, Inc.'s Piotroski F-Score?

Duolingo, Inc. (DUOL) has a Piotroski F-Score of 3 out of 9, indicating weak financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7–9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.

Are Duolingo, Inc.'s earnings high quality?

Duolingo, Inc. (DUOL) has an earnings quality ratio of 0.94x, considered mixed quality. This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.

How financially healthy is Duolingo, Inc.?

Duolingo, Inc. (DUOL) scores 78 out of 100 on our Financial Profile, indicating strong overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.