DigitalOcean reported second-quarter 2026 revenue of $281.2 million, up 29% year-over-year, and raised its full-year 2026 revenue outlook to roughly 30% growth. ARR ended the quarter at $1,125 million with record $93 million of incremental ARR added in Q2; net income attributable to common stockholders was $35.4 million (diluted EPS $0.29). The company also reported adjusted EBITDA of $114 million and increased cash and cash equivalents to $767 million as of June 30, 2026.

Financial Highlights

  • Revenue: $281.2 million for Q2 2026, representing 29% year-over-year growth.
  • Gross profit: $154.7 million for Q2 2026 (gross profit figure reported; gross margin percentage not explicitly provided).
  • Operating income: $29.4 million for Q2 2026; operating income margin reported at 10%.
  • Net income attributable to common stockholders: $35.4 million for Q2 2026; diluted net income per share $0.29.
  • Adjusted EBITDA: $114 million for Q2 2026; adjusted EBITDA margin reported at 40%. Cash and cash equivalents: $767 million as of June 30, 2026.

Business Highlights

  • Annual Run-Rate Revenue (ARR) ended the quarter at $1,125 million, up 29% year-over-year; AI Customer ARR was $234 million, up 212% year-over-year.
  • Recorded $93 million of incremental ARR added during the quarter, a 191% increase year-over-year; Remaining Performance Obligation (RPO) increased to $894 million (with $366 million expected within 12 months).
  • Launched Inference Engine as part of its AI-Native Cloud and shipped over 80 product releases since April, supporting inference and agentic workloads.
  • Signed first nine-figure annual customer commitments with leading AI-native customers, extending weighted average contract life from 1.6 years to over 3 years; large-customer penetration increased with $1M+ Customer ARR growing 214% year-over-year.
  • Secured an incremental 20 MW of committed data center capacity expected online in 2027–2028, bringing total committed capacity to ~155 MW; capacity delivery noted as on or ahead of schedule.

Original SEC Filing:

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