Duolingo Inc (DUOL)
Pretax margin
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | 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 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 102,306 | 95,087 | 72,630 | 46,326 | 17,777 | -10,570 | -31,894 | -49,208 | -58,636 | -62,831 | -73,358 | -58,629 | -59,958 | -52,933 | -27,167 | -26,941 | -15,708 |
| Revenue (ttm) | US$ in thousands | 748,024 | 689,459 | 634,489 | 583,001 | 531,109 | 483,948 | 442,389 | 403,936 | 369,495 | 338,685 | 306,215 | 276,632 | 250,772 | 226,026 | 207,736 | 188,944 | 161,696 |
| Pretax margin | 13.68% | 13.79% | 11.45% | 7.95% | 3.35% | -2.18% | -7.21% | -12.18% | -15.87% | -18.55% | -23.96% | -21.19% | -23.91% | -23.42% | -13.08% | -14.26% | -9.71% |
December 31, 2024 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $102,306K ÷ $748,024K
= 13.68%
Duolingo Inc's pretax margin has shown a significant improvement over the analyzed period, starting at negative values and steadily increasing to positive percentages. The company experienced negative pretax margins in the range of -9.71% to -23.91% from December 2020 to December 2022. However, by March 2023, the pretax margin improved to 3.35% and continued to grow positively thereafter. By December 2024, the pretax margin reached 13.68%, reflecting a notable turnaround in the company's profitability before tax expenses. This positive trend indicates that Duolingo Inc has effectively managed its costs and improved its operational efficiency over time.
Peer comparison
Dec 31, 2024