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Duolingo DUOL IAPs — Revenue from contract with customer, excluding assessed tax

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Other financials

Income statement

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Revenue$298.5M+18.3%
Gross profit$216.7M+18.7%
Operating income$33.9M+1.7%
Net income$33.2M-26.0%
EPS (diluted)$0.66-27.5%

Balance sheet

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Cash & equivalents$184.9M+104%
Total debt$86.1M+121%
Total equity$1.4B+44.3%
Total assets$2.1B+34.4%

Cash flow

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Operating cash flow$88.3M-2.7%
CapEx$6.9M+476%
Free cash flow$81.4M-9.1%

Valuation

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Market cap$5.74B-63.3%
Enterprise value$5.64B-63.8%
P/E14×-119×
P/S-12.6×

Profitability

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Gross margin72.7%+0.7pp
Operating margin13.7%+4.2pp
Net margin35.9%+22.6pp
FCF margin35.6%-1.5pp

Returns & leverage

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Return on equity34.4%+21.0pp
Debt / equity0.1×0.0×
Current ratio2.7×-0.1×

Where this comes from

Reported directly by Duolingo in its filing.

Tagged under the XBRL concept us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax.

The source filing: Duolingo’s 10-K, filed February 27, 2026.

Filed
Feb 26, 2026, 7:00 PM EST
Fiscal year
FY2025
Accession
0001628280-26-012494
(In thousands)Year Ended December 31, 2025Year Ended December 31, 20242023
Advertising$79,725$54,907$49,858
Duolingo English Test42,00645,64041,212
IAPs40,47938,65334,673
Other1,9371,293682
Total other revenue$164,147$140,493$126,425

Item 8. Financial Statements

FAQ

What is Duolingo's iaps — revenue from contract with customer, excluding assessed tax?
Duolingo (DUOL) reported iaps — revenue from contract with customer, excluding assessed tax of $10.12M in Q4 2025.
How has Duolingo's iaps — revenue from contract with customer, excluding assessed tax changed year-over-year?
Duolingo's iaps — revenue from contract with customer, excluding assessed tax increased by 4.7% year-over-year, from $9.66M to $10.12M.
What is the long-term trend for Duolingo's iaps — revenue from contract with customer, excluding assessed tax?
Over 2 years (2023 to 2025), Duolingo's iaps — revenue from contract with customer, excluding assessed tax has grown at a 8.0% compound annual growth rate (CAGR), from $34.67M to $40.48M.
What does iaps — revenue from contract with customer, excluding assessed tax mean?
This metric represents the total revenue generated from in-app purchases within a specific product segment, excluding any assessed taxes. It reflects the direct monetization performance of digital goods or premium features sold to users through the platform's mobile application ecosystem. This figure serves as a key indicator of user willingness to pay for enhanced functionality and the overall commercial viability of the specific product line.

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