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DigitalOcean Holdings Inc
F:0SU

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DigitalOcean Holdings Inc
F:0SU
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Price: 109 EUR 11.7%
Market Cap: €9.9B

DigitalOcean Holdings Inc
Investor Relations

DigitalOcean is a cloud infrastructure company that helps developers and small businesses build and run software on the internet. It sells simple cloud servers, storage, networking tools, managed databases, and related services that customers use to host websites, apps, and data without building their own data centers. Its main customers are software developers, startups, and small to mid-sized businesses that want cloud tools that are easier to set up and manage than the large enterprise clouds. DigitalOcean makes money by charging customers for the computing and storage they use, plus fees for higher-level services such as managed databases, application hosting, and support. What makes DigitalOcean different is its focus on simplicity and a narrower customer base. Instead of trying to be the biggest all-purpose cloud provider, it packages core cloud services in a way that is more approachable for smaller teams, making it a practical choice for customers that want fast setup and predictable usage-based pricing.

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Last Earnings Call
Fiscal Period
Q2 2026
Call Date
Aug 4, 2026
AI Summary
Q2 2026

Strong quarter: DigitalOcean said Q2 was “exceptional,” with revenue of $281 million, up 29% year over year and above the high end of guidance across every key metric.

AI traction: Inference services were the standout, growing almost 800% year over year, with more than 6,000 customers and token volume up 30x over the last 60 days.

Guidance raised: Management lifted full-year 2026 revenue growth outlook to approximately 30% and now expects an exit growth rate of 35% or more by Q4.

Large customers: ARR from $100,000-plus, $500,000-plus and $1 million-plus customers all accelerated sharply, while the top 25 customers still represented only 20% of ARR.

Balance sheet: The company retired about $472 million of 2030 convertible notes in July, reducing leverage and leaving it with a stronger, more flexible balance sheet.

2027 outlook: Management would not give formal 2027 guidance yet, but said they are more confident than 90 days ago and still believe 50% plus revenue growth in 2027 is possible.

Key Financials
Revenue
$281 million
Adjusted EBITDA margin
40%
Operating income margin
24%
Free cash flow margin
17%
Incremental ARR
$93 million
AI customer ARR
$234 million
Inference services growth
almost 800% year over year
Inference engine customers
over 6,000 customers
Token volume
30x over the last 60 days
Open weight token mix
close to 75% of token volume
Remaining performance obligations
$894 million
Net dollar retention
102%
Adjusted EBITDA
$114 million
GAAP operating income
$29 million
Diluted net income per share
$0.45
Adjusted free cash flow
$61 million
Top 25 customers share of ARR
20%
Revenue commitments
first 9-figure annual commitment
Additional capacity
20 megawatts
Committed capacity
approximately 155 megawatts
Debt retired
$472 million
Pro forma net leverage
0.7x
Q3 revenue guidance
$304 million to $307 million
Q4 exit growth rate guidance
35% or more
Full-year revenue guidance
$1.17 billion to $1.18 billion
Earnings Call Recording
Other Earnings Calls

Management

Mr. Warren J. Adelman
Executive Chairman
No Bio Available
Mr. W. Matthew Steinfort
Chief Financial Officer
No Bio Available
Mr. Padmanabhan T. Srinivasan
CEO & Director
No Bio Available
Ms. Cherie Barrett
Senior VP & Chief Accounting Officer
No Bio Available
Mr. Bratin Saha
Chief Product & Technology Officer
No Bio Available
Melanie Strate
Head of Investor Relations
No Bio Available
Mr. Alan Shapiro J.D.
General Counsel & Secretary
No Bio Available
Mr. Wade Wegner
Chief Ecosystem & Growth Officer
No Bio Available
Mr. Lawrence M. D'Angelo
Chief Revenue Officer
No Bio Available

Contacts

Address
NEW YORK
New York City
101 Avenue Of The Americas, 10Th Floor
Contacts
+13419850306.0
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