Shares of Duolingo rose after the language-learning platform raised its outlook for the year.

The stock climbed 11%, to $142, in after-hours trading Tuesday. Through the close, shares were down 27% this year.

The company now expects full-year revenue to be $1.22 billion, up from its prior guidance of $1.21 billion. Bookings are now anticipated to be $1.3 billion, up from $1.29 billion.

For the fourth quarter, Duolingo expects $322 million in sales, which would be ahead of the $314.7 million that analysts are projecting.

In the third quarter, revenue rose 14%, to $309 million, ahead of analysts' forecast of $303.2 million.

Profit fell to $27.2 million from $292.2 million the year before.

Daily active users climbed 29%, to 64.9 million, beating Wall Street's estimate of 62.4 million. Paid subscribers rose 14%, to 13.1 million, just below the anticipated 13.2 million.

Duolingo has been testing and implementing several new product features to try to drive more engagement from users, including experiments with notifications and streaks.

"At the beginning of the year, we laid out a plan to prioritize teaching better and user growth, knowing it would take time to see results. We're now seeing the user acceleration we hoped for," Chief Executive Luis von Ahn said.

Duolingo said it expects momentum to continue, with daily active user growth in the current quarter expected to be similar to the third quarter. Bookings in the current fourth quarter are slightly ahead of the guidance implied by the company's previous full-year outlook, von Ahn said.