Duolingo

Q2 FY2026 EarningsQ2 FY26 results beat consensus across most key financial metrics: revenue reached $298.5M vs. $295.5M expected, and diluted GAAP EPS was $0.66 vs. $0.61. Gross margin outperformed significantly at 72.6% (+1.69pct above consensus) driven by lower per-unit third-party AI costs. While operating cash flow of $88.3M exceeded the $73.8M mean estimate, free cash flow of $78.6M fell slightly below the $80.1M analyst low due to increased capital expenditures for office expansion. User growth remains robust with DAUs increasing 23% YoY to 58.7 million.