Sad day for our Duolingo as the stock is falling..

https://www.ebc.com/forex/why-is-duol-stock-tanking-after-hours-despite-an-earnings-beat

Duolingo’s Q1 earnings beat and focusing on three forward-looking concerns: monthly active users came in below Wall Street expectations, bookings growth is slowing, and heavier AI feature usage could pressure margins later in the year. 

The quarter itself was strong; the selloff is about expectations, not a collapse in Duolingo’s fundamentals. According to company-reported results, Duolingo posted $292.0 million in revenue, up 27% year over year, and $308.5 million in total bookings, up 14%. The company also reported $43.5 million in net income, $83.4 million in adjusted EBITDA, 56.5 million daily active users, and 12.5 million paid subscribers.

The headline numbers beat expectations. MarketBeat reported Duolingo Q1 EPS of $0.89, above the $0.79 consensus estimate, and revenue of $291.97 million, above the $288.60 million estimate. But the stock still fell sharply in extended trading, with MarketBeat showing DUOL at $95.28 after hours, down 13.56% from its $110.23 regular-session close. (1)