Duolingo Inc (DUOL)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,101,590 | 897,798 | 697,183 | 619,271 | 158,380 |
| Total current liabilities | US$ in thousands | 422,231 | 277,362 | 181,766 | 119,131 | 65,690 |
| Current ratio | 2.61 | 3.24 | 3.84 | 5.20 | 2.41 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,101,590K ÷ $422,231K
= 2.61
The current ratio of Duolingo Inc has exhibited fluctuations over the past five years. In December 31, 2020, the current ratio was 2.41, indicating the company had $2.41 in current assets for every dollar of current liabilities. This ratio increased significantly to 5.20 by December 31, 2021, reflecting a strong liquidity position.
However, in the following years, the current ratio experienced some variations. By December 31, 2022, the ratio decreased to 3.84, although it remained at a healthy level. In December 31, 2023, the current ratio further declined to 3.24, indicating a slight decrease in liquidity compared to the previous year.
By December 31, 2024, the current ratio dropped to 2.61, signaling a decrease in the company's liquidity position. While the current ratio has fluctuated over the years, Duolingo Inc generally maintained a solid liquidity position, with the ratio consistently above 1, indicating the company's ability to meet its short-term obligations with its current assets.
Peer comparison
Dec 31, 2024