Datadog early Thursday reported March-quarter earnings and revenue that topped analyst estimates, while revenue guidance came in just below expectations. DDOG stock rose on the news.
Datadog's first-quarter earnings came in at 28 cents per share on an adjusted basis, up 16% from a year earlier. The enterprise software maker's revenue jumped 33% to $482 million.
Meanwhile, analysts expected Datadog to report profit of 23 cents a share on revenue of $470 million. A year earlier, Datadog earned 24 cents on revenue of $363 million.
Billings, a sales growth metric, rose 15% to $510.7 million, missing estimates of $538.2 million. In the fourth quarter, billings rose 32%.
New York-based Datadog reported earnings before the market open. Datadog stock jumped 14.5% to close at 75.40 on the stock market today.
DDOG Stock: Revenue Outlook Light
For the current quarter ending in June, Datadog forecasts profit of 28 cents vs. estimates of 26 cents. Datadog said it expects revenue of $500 million at the midpoint of its outlook range vs. estimates of $502 million.
Started in 2010, Datadog operates a monitoring and analytics platform for software developers and information-technology departments. Datadog has a partnership with Amazon Web Services, the cloud computing unit of Amazon.com. Worries over slowing cloud computing growth have pressured Datadog stock.
Heading into the Datadog earnings report, the software stock was down 67% from its November 2021 high. It had a Relative Strength Rating of 18 out of a best-possible 99, according to IBD Stock Checkup.
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