Duolingo Inc (DUOL)
Debt-to-equity ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — |
| Total stockholders’ equity | US$ in thousands | 655,501 | 542,078 | 513,056 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $655,501K
= 0.00
The debt-to-equity ratio for Duolingo Inc has been consistently 0.00 for the past three years, including as of December 31 in 2023, 2022, and 2021. This indicates that the company has not utilized any debt financing to support its operations and growth, relying solely on equity funding. A debt-to-equity ratio of 0.00 signifies that there is no debt in relation to the equity of the company, reflecting a strong financial position with a low risk of financial distress due to debt obligations. Duolingo's ability to operate without debt may provide it with greater financial flexibility and lower interest expenses, although it could also mean potentially missing out on the tax benefits associated with debt financing. Overall, the consistent 0.00 debt-to-equity ratio suggests a conservative financial strategy and a solid capital structure for Duolingo Inc.
Peer comparison
Dec 31, 2023