Duolingo's stock soars more than 20% after 'record' bookings, quarterly profit for company
By Claudia Assis
Guidance for first quarter, year also come in above expectations
Shares of Duolingo Inc. jumped 22% in the extended session Wednesday after the learning company said that a "record" fourth quarter capped an "exceptional" year thanks to more bookings, revenue and profitability.
Duolingo (DUOL) said that its daily active users rose 65% year on year to nearly 27 million people, and monthly active users rose 46% year on year to about 88 million. The company also guided for better-than-expected revenue for the current quarter and for 2024.
Duolingo earned $12.1 million, or 26 cents a share, in the fourth quarter, versus a loss of $13.9 million, or 35 cents a share, in the prior-year quarter.
Revenue rose 45% to $151.0 million.
Analysts polled by FactSet expected the company to report earnings of 4 cents a share on sales of $148 million.
"In 2024, we'll remain relentlessly focused on the same strategy: delighting our users, growing subscribers, teaching better and scaling our mission to more learners around the world," co-founder and Chief Executive Luis von Ahn said in a statement.
The company ended the quarter with 6.6 million paid subscribers, an increase of 57% from a year ago.
Duolingo guided for first-quarter revenue between $164 million and $167 million, and 2024 revenue between $717.5 million and $729.5 million.
That compares with FactSet consensus of first-quarter revenue of $159 million, and of $701 million for the year.
Shares of Duolingo ended the regular trading day up 0.5%. In the past 12 months, the stock has gained 115%, which compares with an advance of around 28% for the S&P 500 index SPX.
-Claudia Assis
This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
02-28-24 2012ET
Copyright (c) 2024 Dow Jones & Company, Inc.-
Never Mind Market Efficiency: Are the Markets Sensible?
-
Starbucks Stock Could Use a Pick-Me-Up After Big Selloff; Is it a Buy?
-
5 Cheap Stocks to Buy From an Attractive Part of the Market
-
Markets Brief: All Eyes On Inflation
-
5 Things We Learned From the Q1 Earnings Season
-
After Earnings, Is Palantir Stock a Buy, a Sell, or Fairly Valued?
-
What’s Happening In the Markets This Week
-
Can the Fed Declare Victory on Inflation?
-
The Best REITs to Buy
-
3 Hot Stocks to Buy That Still Look Undervalued
-
After Earnings, Is Eli Lilly Stock a Buy, a Sell, or Fairly Valued?
-
Today’s Market Volatility Could Provide Tomorrow’s Opportunities
-
40 of the Best Investment Picks
-
Tech Stock Dividends Are Changing the Face of Dividend Growth Investing
-
Roblox Earnings: Weakening Engagement Has Weighed On Growth
-
The Best Gaming Stocks to Buy