Duolingo Inc (DUOL)
Quick ratio
| Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 829,713 | 747,610 | 701,737 | 678,665 | 641,091 | 608,180 | 599,967 | 591,160 | 577,331 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | 76,421 | 88,975 | 61,711 | 53,406 | 52,509 | 46,728 | 30,197 | 28,209 | 28,573 |
| Total current liabilities | US$ in thousands | 303,722 | 277,362 | 234,934 | 217,106 | 202,813 | 181,766 | 155,630 | 147,326 | 135,775 |
| Quick ratio | 2.98 | 3.02 | 3.25 | 3.37 | 3.42 | 3.60 | 4.05 | 4.20 | 4.46 |
March 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($829,713K
+ $—K
+ $76,421K)
÷ $303,722K
= 2.98
Duolingo Inc's quick ratio has shown a decreasing trend over the past several quarters, from a high of 5.78 in the third quarter of 2021 to 2.98 in the first quarter of 2024. Despite the decline, the quick ratio remains above 1.0 in all periods, indicating that the company is able to cover its short-term liabilities with its most liquid assets. The quick ratio exceeding 2.0 in all periods suggests that Duolingo Inc has a strong ability to meet its short-term obligations using its quick assets, such as cash and accounts receivable. Overall, while the decreasing trend warrants monitoring, the consistently healthy quick ratios suggest strong liquidity and financial stability for Duolingo Inc.
Peer comparison
Mar 31, 2024