Duolingo (DUOL) FY2025 Bookings Top $1.16B as DAUs Hit 50M Despite Slowing Growth

Duolingo Inc. (NASDAQ:DUOL) is one of the best get-rich-quick stocks to buy according to hedge funds. On February 26, Duolingo reached financial milestones in 2025, surpassing $1 billion in bookings and $300 million in adjusted EBITDA. The company also reached a record 50 million DAUs, a 5x increase since its 2021 IPO. Despite these achievements, management noted a deceleration in user growth throughout the year, prompting a shift toward aggressive reinvestment. To lead this transition, the company welcomed Gillian Munson as the new CFO, succeeding Matt Skaruppa.

For 2026, Duolingo Inc. (NASDAQ:DUOL) prioritized growing-the-pie by focusing on teaching quality and user acquisition. The company set a medium-term goal to reach 100 million DAUs by 2028. Key initiatives for the coming year include enhancing the free user experience and scaling newer subjects like math, music, and chess. To support these goals, Duolingo plans to share AI-powered features with a larger portion of its user base, a move expected to increase the cost of goods sold and lower overall gross margins in the short term.

Duolingo (DUOL) FY2025 Bookings Top $1.16B as DAUs Hit 50M Despite Slowing Growth

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The financial guidance for 2026 reflects this foundational year approach, with projected bookings growth of 10% to 12% and revenue growth of 15% to 18%. Adjusted EBITDA margins are expected to land around 25%, as spending on R&D and marketing is anticipated to outpace revenue growth. Additionally, the board has authorized a $400 million share buyback program to be executed over the coming year.

Duolingo Inc. (NASDAQ:DUOL) operates as a mobile learning platform in the US, the UK, and internationally.

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