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Sep 30, 2021

Datadog Q3 2021 Earnings Report

Revenue growth accelerated, driven by broad-based strength across customer segments and products.

Key Takeaways

Datadog announced financial results for its third quarter ended September 30, 2021. Third quarter revenue grew 75% year-over-year to $270 million. They saw strong growth of larger customers, with 1,800 $100k+ ARR customers.

Revenue was $270.5 million, an increase of 75% year-over-year.

GAAP operating loss was $(4.9) million; GAAP operating margin was (2)%.

Non-GAAP operating income was $44.0 million; non-GAAP operating margin was 16%.

As of September 30, 2021, they had 1,800 customers with ARR of $100,000 or more, an increase of 66% from 1,082 as of September 30, 2020.

Total Revenue
$270M
Previous year: $155M
+74.9%
EPS
$0.13
Previous year: $0.05
+160.0%
Customers with $100k+ ARR
1.8K
Previous year: 1.11K
+62.6%
Gross Profit
$207M
Previous year: $121M
+71.6%
Cash and Equivalents
$287M
Previous year: $199M
+44.6%
Free Cash Flow
$57.1M
Previous year: $28.6M
+99.6%
Total Assets
$2.19B
Previous year: $1.81B
+20.9%

Datadog

Datadog

Forward Guidance

Datadog is providing the following guidance: Revenue between $290 million and $292 million. Non-GAAP operating income between $38 million and $40 million. Non-GAAP net income per share between $0.11 and $0.12, assuming approximately 347 million weighted average diluted shares outstanding.

Positive Outlook

  • Revenue between $290 million and $292 million.
  • Non-GAAP operating income between $38 million and $40 million.
  • Non-GAAP net income per share between $0.11 and $0.12, assuming approximately 347 million weighted average diluted shares outstanding.