证券研究报告 ＃industryId＃ 教育 ＃ investSuggestio n＃ ＃ investSuggestionChang 无评级e＃ ＃DUOL.O ＃dyCompany＃ DUOLINGO ＃title＃ MAU 首次破亿，业绩超预期增长 ＃createTime1＃ 2024 年 08 月 10 日 ＃市场ma数rk据etData＃ 日期 2024.08.09 收盘价（美元） 187.38 总股本（亿股） 0.44 总市值（亿美元） 82 净资产（亿美元） 7.67 总资产（亿美元） 11.39 每股净资产(美元) 17.63 数据来源：Wind，兴业证券经济与金融研究院整理 ＃相关rel报ate告dReport＃ 《增长潜力仍然很大》20240511 《业绩持续高速增长，盈利能力 提升》20240304 《保持高速成长，拓展学习赛 道》20231110 《 展 现 优 美 的 增 长 曲 线 》 20230814 songjian@xyzq.com.cn SFC：BMV912 SAC：S0190518010002 我们的观点：公司继续取得超预期的季度业绩，公司不断提升产品的用户 体验，通过多 ...

This company integrated artificial intelligence into its core business, and it's already successfully monetizing the technology. Artificial intelligence (AI) is a red-hot theme in the stock market right now, and while there is a ton of hype, many companies are finding tangible and highly valuable use cases for the technology. Duolingo (DUOL 4.69%) is the world's largest digital language education platform, and its business was an incredible success before AI came along. However, the company is using it to c ...

Duolingo (NASDAQ:DUOL) is a company really taking off today. Despite the overall market being up considerably today, investors may look at the 14% surge in DUOL stock this afternoon and wonder what the company is doing to propel so much investor interest. Well, the online language learning company just released its second-quarter earnings to the cheer of investors. On the revenue front, Duolingo brought in $178.3 million, higher than the $177.1 million analysts had penciled in. But it was really the company ...

Core Insights - Duolingo's shares experienced a significant drop of 17.6% in July, attributed to a lack of news and unfavorable market conditions, despite the S&P 500 rising by 1% during the same period [1][2] - The company reported impressive second-quarter financial results on August 7, leading to a rebound in its stock price [3] Financial Performance - Duolingo's monthly active users surpassed 100 million, with revenue increasing by 41% year-over-year to $178 million, driven by a 52% growth in paid subscribers [4] - The company generated nearly $55 million in free cash flow for Q2, compared to $34 million in the same period last year [4] User Engagement and Growth Strategy - User growth and engagement are critical for Duolingo's revenue generation, with high engagement leading to either ad revenue from free users or subscription payments from engaged users [5] - The acquisition of animation studio Hobbes aims to enhance user experience through improved animation, making the platform more visually appealing [6] Future Outlook - Duolingo anticipates full-year revenue between $731.3 million and $738.3 million, indicating a year-over-year growth of approximately 38% to 39% [8] - The company is expected to remain profitable, which is notable for a high-growth company [8] Valuation Considerations - Duolingo's current trading valuation is slightly over 10 times its expected full-year sales, which may be considered pricey, but the strong business fundamentals provide a positive outlook for investors [9]

Duolingo stock costs 10% more today -- and is worth every penny. Shares of Duolingo (DUOL 12.91%), the AI-powered language learning company, jumped 9.5% through noon ET Thursday after crushing analyst forecasts for second-quarter earnings last night. Heading into the quarter, Wall Street forecast Duolingo would earn $0.32 per share on sales of $177.1 million. Instead, Duolingo reported a profit of $0.51 per share. Sales were $178.3 million. Duolingo's Q2 earnings The news was actually even better than that ...

Duolingo, Inc. (NASDAQ:DUOL) Q2 2024 Earnings Conference Call August 7, 2024 5:30 PM ET Company Participants Debbie Belevan - Head, Investor Relations Luis von Ahn - Co-Founder and CEO Matt Skaruppa - Chief Financial Officer Conference Call Participants Andrew Boone - JMP Securities Bryan Smilek - JPMorgan Ralph Schackart - William Blair Curt Nagle - BofA Alex Sklar - Raymond James Shweta Khajuria - Wolfe Research Ryan MacDonald - Needham Arvind Ramnani - Piper Sandler Aaron Kessler - Seaport Eric Sheridan ...

For the quarter ended June 2024, Duolingo, Inc. (DUOL) reported revenue of $178.33 million, up 40.6% over the same period last year. EPS came in at $0.51, compared to $0.08 in the year-ago quarter. The reported revenue represents a surprise of +0.82% over the Zacks Consensus Estimate of $176.88 million. With the consensus EPS estimate being $0.33, the EPS surprise was +54.55%. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determi ...

Duolingo, Inc. (DUOL) came out with quarterly earnings of $0.51 per share, beating the Zacks Consensus Estimate of $0.33 per share. This compares to earnings of $0.08 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 54.55%. A quarter ago, it was expected that this company would post earnings of $0.30 per share when it actually produced earnings of $0.57, delivering a surprise of 90%. Over the last four quarters, the company ha ...

Financial Performance - Total revenues for Q2 2024 reached $178.3 million, a 40.6% increase from $126.8 million in Q2 2023[22] - Gross profit for Q2 2024 was $131.0 million, up 40.5% from $93.1 million in Q2 2023[22] - Net income for Q2 2024 was $24.4 million, compared to $3.7 million in Q2 2023, representing a significant increase[22] - Total revenues for the three months ended June 30, 2024, were $178,327,000, representing a 40.6% increase from $126,839,000 in the same period of 2023[53] - Subscription revenue for the six months ended June 30, 2024, was $275,597,000, up 52.0% from $181,343,000 in the prior year[53] - Net income for the three months ended June 30, 2024, was $24.4 million, compared to $3.7 million in the same period of 2023[113] - Adjusted EBITDA for the three months ended June 30, 2024, was $48.1 million, significantly up from $20.9 million in the prior year[111] - Free cash flow for the six months ended June 30, 2024, was $134.5 million, compared to $63.1 million in the same period of 2023[100] Assets and Cash Flow - Cash and cash equivalents increased to $888.2 million as of June 30, 2024, up from $747.6 million at the end of 2023[20] - Total assets grew to $1.14 billion as of June 30, 2024, compared to $954.0 million at the end of 2023[20] - The company reported a net cash provided by operating activities of $145.9 million for the first half of 2024, significantly higher than $66.8 million in the same period of 2023[28] - Cash provided by operating activities increased by $79.1 million, or 119%, to $145.9 million for the six months ended June 30, 2024, compared to $66.8 million for the same period in 2023[155] - Cash used for investing activities increased by $9.0 million, or 192%, to $13.7 million for the six months ended June 30, 2024, from $4.7 million for the same period in 2023[156] Expenses - Operating expenses for Q2 2024 totaled $112.3 million, a 14.7% increase from $97.9 million in Q2 2023[22] - Research and development expenses for Q2 2024 were $55.1 million, compared to $47.9 million in Q2 2023, reflecting ongoing investment in new technologies[22] - Total operating expenses increased by $609,000, or 37%, to $2,243,000 for the three months ended June 30, 2024, compared to $1,634,000 for the same period in 2023[136] - General and administrative expenses increased by $4.7 million, or 15%, to $37.0 million for the three months ended June 30, 2024, mainly due to increased personnel costs and travel expenses[146] User Metrics - For the three months ended June 30, 2024, the company reported approximately 103.6 million monthly active users (MAUs), a 40% increase from 74.1 million MAUs in the same period of 2023[101] - Daily active users (DAUs) reached approximately 34.1 million for the three months ended June 30, 2024, representing a 59% increase from 21.4 million DAUs in the prior year[102] - The company had approximately 8.0 million paid subscribers as of June 30, 2024, up 52% from 5.2 million in the same period of 2023[103] Revenue Sources - Subscription bookings for the three months ended June 30, 2024, were $156.5 million, a 47% increase from $106.3 million in the prior year[105] - Total bookings for the same period were $190.1 million, reflecting a 38% increase from $137.5 million in the previous year[105] - The Duolingo English Test revenue for the three months ended June 30, 2024, was $10,698,000, up from $9,809,000 in the same period of 2023, a 9.0% increase[54] - In-app purchases revenue for the six months ended June 30, 2024, reached $20,100,000, compared to $16,527,000 in the same period of 2023, reflecting a 21.0% growth[54] Deferred Revenue - Deferred revenues increased to $291.5 million as of June 30, 2024, up from $249.2 million at the end of 2023[20] - Deferred revenue as of June 30, 2024, increased to $291,477,000 from $192,753,000 as of June 30, 2023, reflecting a 51.1% growth[56] - As of June 30, 2024, the company had deferred revenues of $291.5 million, expected to be recognized as revenue in the next 12 months[154] Market and Competition - The online language learning industry is highly competitive, with low switching costs and a consistent stream of new products and entrants[175] - Many competitors have greater financial and technical resources, which may allow them to offer more appealing products and respond more quickly to market changes[177] - The company faces competition from free online language-learning products and larger companies that can invest more in marketing and product development[179] Risks and Challenges - User engagement and conversion to paying subscribers are critical for the company's financial performance, with potential fluctuations in user base expected[172] - The company has not entered into any hedging arrangements for foreign currency risk, which may affect its financial results[162] - Inflationary pressures could adversely affect the company's results of operations if costs increase significantly[164] - The company acknowledges the potential for litigation or activism related to DEI initiatives, which could have adverse effects on its operations[220] Employee and Culture - The company has grown its employee headcount from approximately 140 to 720 from December 31, 2018, to June 30, 2024, indicating rapid expansion[184] - Intense competition for highly skilled employees in the industry may hinder the company's ability to attract and retain talent, impacting operational effectiveness[220] - The company's culture and core values are critical to fostering innovation and teamwork, which are essential for operational support[220]

User Engagement and Growth - Daily Active Users (DAUs) increased to 34.1 million, up 59% YoY[3][4] - Monthly Active Users (MAUs) reached 103.6 million, up 40% YoY[3][4] - Japan saw 93% DAU growth and 58% bookings growth YoY[6] - Daily Active Users (DAUs) averaged over the three months ended June 30, 2024, reflecting consistent global user engagement[26] Paid Subscribers and Bookings - Paid Subscribers totaled 8.0 million, up 52% YoY[3][4] - Total Bookings were $190.1 million, up 38% YoY[3][4] - Q3 2024 Bookings guidance is $194.5 million to $197.5 million, with YoY growth of 26.6% to 28.6%[20] - Paid subscribers are users with active subscriptions as of the end of the measurement period, excluding free trials and non-paying family plan members[26] - Subscription bookings represent amounts received from Duolingo subscription purchases, while total bookings include advertising income, Duolingo English Test purchases, and in-app virtual goods[27] Financial Performance - Total Revenue grew to $178.3 million, up 41% YoY[3][4] - Net Income increased to $24.4 million, compared to $3.7 million in the prior year quarter[3][4] - Adjusted EBITDA rose to $48.1 million, with a margin of 27.0%[3][4] - Revenues grew from $126.84 million in Q2 2023 to $178.33 million in Q2 2024[37] - Net income rose significantly from $3.73 million in Q2 2023 to $24.35 million in Q2 2024[37] - Adjusted EBITDA increased from $20.87 million in Q2 2023 to $48.12 million in Q2 2024, with the margin improving from 16.5% to 27.0%[41] Cash Flow and Liquidity - Cash and cash equivalents increased from $747.61 million in December 2023 to $888.24 million in June 2024[36] - Net cash provided by operating activities surged from $66.77 million in the first half of 2023 to $145.90 million in the first half of 2024[38] - Free cash flow improved from $34,340 thousand in Q2 2023 to $54,867 thousand in Q2 2024[49] - Free cash flow margin increased from 27.1% in Q2 2023 to 30.8% in Q2 2024[49] - Net cash provided by operating activities rose from $37,167 thousand in Q2 2023 to $62,388 thousand in Q2 2024[49] Expenses and Investments - Stock-based compensation expenses related to equity awards increased from $24.26 million in Q2 2023 to $27.54 million in Q2 2024[41] - Total GAAP Operating Expense increased from $97,916 thousand in Q2 2023 to $112,278 thousand in Q2 2024[43] - Non-GAAP R&D Expense rose from $36,219 thousand in Q2 2023 to $40,176 thousand in Q2 2024[44] - Non-GAAP S&M Expense grew from $16,473 thousand in Q2 2023 to $18,735 thousand in Q2 2024[45] - Non-GAAP G&A Expense increased from $19,636 thousand in Q2 2023 to $24,205 thousand in Q2 2024[46] - Capitalized software development costs and purchases of intangible assets increased from $2,544 thousand in Q2 2023 to $3,093 thousand in Q2 2024[49] - Purchases of property and equipment surged from $827 thousand in Q2 2023 to $5,563 thousand in Q2 2024[49] - Taxes paid related to stock-based compensation equity awards increased from $544 thousand in Q2 2023 to $798 thousand in Q2 2024[49] Product Expansion - Duolingo Max is now available in 5 courses and 27 countries, covering 15% of DAUs[9] Asset Growth - Total assets expanded from $953.96 million in December 2023 to $1.14 billion in June 2024[36]