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Dec 31, 2023

Datadog Q4 2023 Earnings Report

Datadog's Q4 2023 financial results were announced, showcasing revenue growth and customer expansion.

Key Takeaways

Datadog reported a 26% year-over-year increase in revenue for Q4 2023, reaching $589.6 million. The company also saw strong growth in larger customers, with a 25% increase in customers with ARR of $1 million or more.

Revenue increased by 26% year-over-year, reaching $589.6 million.

GAAP operating income was $27.7 million, representing a 5% operating margin.

The company had 396 customers with ARR of $1 million or more, a 25% increase year-over-year.

Operating cash flow was $220.2 million, with free cash flow of $201.3 million.

Total Revenue
$590M
Previous year: $469M
+25.6%
EPS
$0.44
Previous year: $0.26
+69.2%
Total customers
3.19K
Previous year: 317
+906.3%
Gross Profit
$485M
Previous year: $373M
+30.0%
Cash and Equivalents
$330M
Previous year: $339M
-2.6%
Free Cash Flow
$201M
Previous year: $96.4M
+108.8%
Total Assets
$3.94B
Previous year: $3B
+31.0%

Datadog

Datadog

Forward Guidance

Datadog provided guidance for Q1 2024 and fiscal year 2024. For Q1 2024, Datadog expects revenue between $587 million and $591 million, non-GAAP operating income between $128 million and $132 million, and non-GAAP net income per share between $0.33 and $0.35. For fiscal year 2024, Datadog expects revenue between $2.555 billion and $2.575 billion, non-GAAP operating income between $535 million and $555 million, and non-GAAP net income per share between $1.38 and $1.44.

Positive Outlook

  • Revenue between $587 million and $591 million for Q1 2024.
  • Non-GAAP operating income between $128 million and $132 million for Q1 2024.
  • Non-GAAP net income per share between $0.33 and $0.35 for Q1 2024.
  • Revenue between $2.555 billion and $2.575 billion for fiscal year 2024.
  • Non-GAAP operating income between $535 million and $555 million for fiscal year 2024.