DigitalOcean Holdings Inc (NYSE:DOCN) shares are volatile in early trading Tuesday after the company reported first-quarter results.
- Q1 Revenue: $165.13 million beat estimates of $164.11 million
- Q1 EPS: 28 cents in line with estimates
Revenue was up 30% year-over-year. Annual run-rate revenue jumped 28%.
DigitalOcean ended the quarter with cash, equivalents and marketable securities of $613 million.
“We are excited to report strong first quarter results in the midst of the weak economic backdrop, a testament to DigitalOcean’s differentiation of simple and easy to use solutions bundled with high touch customer service that enable us to help our customers navigate the uncertainty in their business,” said Yancey Spruill, CEO of DigitalOcean.
Outlook: Digital Ocean sees second-quarter revenue between $169.5 million and $170.5 million versus estimates of $169.79 million. The company expects second-quarter adjusted earnings of 40 to 41 cents per share versus estimates of 38 cents per share.
Digital Ocean Sees full-year 2023 revenue in a range of $700 million to $720 million versus estimates of $703.82 million. The company anticipates full-year earnings between $1.70 and $1.73 per share versus estimates of $1.67 per share.
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DOCN Price Action: Digital Ocean shares initially traded down below $32 per share before bouncing and turning positive. The stock was up 1.22% at $33.62 at the time of publication, according to Benzinga Pro.
This illustration was generated using artificial intelligence via MidJourney.
