Duolingo (DUOL) Q4 Earnings: Taking a Look at Key Metrics Versus Estimates

Zacks Zacks
Duolingo (DUOL) Q4 Earnings: Taking a Look at Key Metrics Versus Estimates

Duolingo, Inc. (DUOL) reported $282.87 million in revenue for the quarter ended December 2025, representing a year-over-year increase of 35%. EPS of $0.94 for the same period compares to $0.31 a year ago.

The reported revenue represents a surprise of +2.19% over the Zacks Consensus Estimate of $276.79 million. With the consensus EPS estimate being $0.79, the EPS surprise was +19.24%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Duolingo performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Paid subscribers (at period end): 12.2 million versus 12.12 million estimated by three analysts on average. Subscription bookings: $296.6 million versus the three-analyst average estimate of $296.58 million. Daily active users (DAUs): 52.7 million compared to the 52.33 million average estimate based on three analysts. Monthly active users (MAUs): 133.1 million compared to the 137.98 million average estimate based on three analysts. Total bookings: $336.8 million versus $335.84 million estimated by three analysts on average. Revenues- Subscription: $242.29 million versus the four-analyst average estimate of $237.33 million. The reported number represents a year-over-year change of +39%. Revenues- Other- Other (including Advertising, DET and others): $31.03 million versus the four-analyst average estimate of $39.91 million. The reported number represents a year-over-year change of +14.9%. Revenues-Other- In-App Purchases: $9.55 million versus $10.12 million estimated by two analysts on average. Revenues- Other- Advertising: $20.22 million compared to the $17.55 million average estimate based on two analysts. The reported number represents a change of +41.5% year over year. Revenues- Other- Duolingo English Test: $10.28 million versus $10.42 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -9.9% change.

View all Key Company Metrics for Duolingo here>>>

Shares of Duolingo have returned -15.8% over the past month versus the Zacks S&P 500 composite's -0.5% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.

Zacks' Research Chief Names "Stock Most Likely to Double"

Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.

This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.

Free: See Our Top Stock And 4 Runners Up

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report


 
Duolingo, Inc. (DUOL): Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research

Other news