Datadog, Inc. Earnings Recaps
Q1 2026
May 9, 2026
Datadog’s stock soared 39.3% post-earnings, driven by significant revenue acceleration, milestone ARR, and rapid adoption of AI-related products that clearly outpaced market expectations.
Key takeaways
- Q1 revenue grew 32% year-over-year to $9.1 billion, above the high end of guidance, marking acceleration from 29% growth last quarter.
- Total ARR surpassed $4 billion, with quarterly revenue exceeding $1 billion for the first time in company history.
- Significant expansion in large customers: 4,550 customers now generate $100,000+ ARR, up from 3,770 a year ago, accounting for about 90% of total ARR.
- AI integrations now used by 6,500 customers (20% of base) generating approximately 80% of ARR; usage metrics such as MCP server calls and AI security investigations grew multiple fold quarter-over-quarter.
- Product adoption deepened: 56% of customers use 4+ products (up from 51%), and 20% use 8+ products (up from 13%), supporting cross-sell momentum.
Q3 2025
Nov 8, 2025
Datadog's Q3 2025 results exceeded expectations, driven by robust demand amid cloud migration, showcasing strong revenue growth and enhanced customer engagement across its product suite.
Key takeaways
- Revenue reached $886 million, a 28% year-over-year increase, above guidance expectations.
- Customer base expanded to approximately 32,000, with significant growth in high-value accounts generating 89% of ARR.
- Free cash flow stood at $214 million, reflecting a 24% margin, underscoring strong operational efficiency.
- Adoption of multi-product usage increased, with 84% of customers using two or more products and steady growth in digital experience and security offerings.
- Enthusiastic feedback for AI innovations, particularly the new Bits AI agents, indicates high customer interest and potential for operational transformation.