Datadog Raises Full-Year Outlook After 125+ AI Feature Launches, But OpenAI Pullback Clouds Long-Term Growth

Datadog (NASDAQ:DDOG) reported its quarterly results on Thursday.

The software-as-a-service (SaaS) platform’s fiscal second-quarter revenue increased 28% year-over-year to $826.76 million, beating the analyst consensus estimate of $790.97 million.

Adjusted EPS of 46 cents beat the analyst consensus estimate of 42 cents. 

Also Read: Datadog’s S&P 500 Debut, AI Growth Spark Analyst Upgrade, Is More Upside Ahead?

As of June 30, Datadog had 3,850 customers with an ARR of $100,000 or more, an increase of 14% Y/Y. The adjusted gross margin declined by 100 bps to 81%, and the adjusted operating margin decreased by 400 bps to 20%. 

As of June 30, Datadog had cash and equivalents of $3.9 billion, generating $165 ...