Duolingo Inc (DUOL)

Total asset turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021
Revenue	US$ in thousands	531,109	369,495	250,772
Total assets	US$ in thousands	953,957	747,347	661,311
Total asset turnover		0.56	0.49	0.38

December 31, 2023 calculation

Total asset turnover = Revenue ÷ Total assets
= $531,109K ÷ $953,957K
= 0.56

Duolingo Inc's total asset turnover has been improving over the past three years. The ratio increased from 0.38 in 2021 to 0.49 in 2022, and further rose to 0.56 in 2023. This trend indicates that the company is generating more revenue from its assets, which is a positive sign of efficiency in asset utilization. A higher total asset turnover ratio suggests that Duolingo is making better use of its assets to generate sales. This improvement could be attributed to more effective management of inventory, increased sales volume, or better asset utilization strategies. Overall, the increasing trend in total asset turnover reflects positively on Duolingo's operational efficiency and financial performance.