Photo: Farragutful / CC BY-SA 4.0 (archive photo, cropped)
Duolingo shares jumped 32% to $169.40 in late-morning trading Wednesday, according to a Proactive Investors snapshot at 11:58 a.m. Eastern, after the language-learning company reported another quarter of rapid user growth.
Daily active users reached 64.9 million in the third quarter, up 29% from a year earlier, while paid subscribers rose 14% to 13.1 million, the company said in its quarterly results. Revenue grew 14% to $309.0 million and bookings rose 12% to $316.1 million.
Adjusted EBITDA came in at $78.7 million, down from $80.0 million a year earlier, with margin at 25.5% versus 29.5%. Gross margin was 72.9%. Net income totaled $27.2 million, compared with $292.2 million a year ago, a figure that included a one-time $222.7 million tax benefit.
The stock was among the biggest gainers in CNBC’s midday trading snapshot.
For the app’s tens of millions of learners, the growth figures signal continued investment in new courses and features; for investors, the question is whether user growth can keep outpacing pressure on profitability.
JBizNews Desk | New York
© JBizNews.com. All rights reserved. Unauthorized reproduction or redistribution is strictly prohibited.
