Datadog (DDOG.US) reported a robust third quarter with a 25% increase in year-over-year revenue, reaching $547.5 million. The company's stock saw a substantial 30% gain following the earnings release, buoyed by the positive results and an upbeat full-year guidance that exceeded analyst expectations.
This growth was attributed to strong new logo bookings and a persistent effort to address customers' DevSecOps challenges. Olivier Pomel, the co-founder and CEO, highlighted the widespread adoption of cloud applications across industries, driving user growth, revenue, operational productivity, and cost savings. Datadog's integrated platform for observability and security places it in a prime position to aid customers in achieving their objectives. Impressively, Datadog closed the quarter with some 3130 customers in the group generating annual recurring revenue (ARR) of $100,000 or more, a significant 20% increase over the previous year.
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Open account Try demo Download mobile app Download mobile app- Revenue Growth: Datadog's revenue for Q3 2023 was $547.5 million, marking a 25% increase from the same quarter last year.
- Operating Income and Margin: operating income stood at $130.8 million
- Net Income per Share: net income per diluted share reported at $0.45.
* Guidance: For Q4 2023, revenue is expected to be between $564 million and $568 million. The full-year 2023 revenue forecast is between $2.103 billion and $2.107 billion, with non-GAAP net income per share projected to be between $1.52 and $1.54.
Datadog raised its revenue forecast for the fourth quarter to between $564 million and $568 million, with a full-year target of around $2.1 billion. The forecast was the highest of the year, especially after recent lower forecasts in August due to weaker industry data. Datadog's offerings are crucial for organizations using major cloud services such as AWS, Google Cloud and Microsoft Azure. Pomel's CEO remains optimistic about the direction of growth and the outlook for the industry in the coming quarters.
Datadog (DDOG.US), following the release of quarterly results, gains 30% piercing the key level of $100 per share. Source: x Station 5
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