Digitalocean Hldgs Inc Stock Price, News & Analysis

DigitalOcean Holdings, Inc. (NYSE: DOCN) has announced updates to its role-based access control (RBAC) system, introducing a new set of predefined roles to streamline user access management. The update includes three new roles: Modifier, Billing viewer, and Resource viewer, each designed to provide specific levels of access and permissions.

These roles complement existing basic roles and aim to enhance security and simplify permission management. DigitalOcean's CISO, Tyler Healy, emphasized that this update allows businesses to scale while minimizing risk and meeting compliance requirements. The company plans to release additional identity and access management (IAM) features in the coming months, including per-bucket Spaces access keys and custom RBAC roles.

DigitalOcean (NYSE: DOCN) announced Q2 2024 financial results, reporting revenue of $192 million, a 13% year-over-year increase. Gross profit rose 15% to $117 million with a 61% margin. GAAP net income was $19 million, and Adjusted EBITDA was $82 million, reflecting a 42% margin. The company also introduced several new products, including GPU droplets for AI/ML applications and Premium CPU Optimized 96 vCPU Droplets. ARR ended the quarter at $781 million, up 15% year-over-year. ARPU grew 9% to $99.45. Guidance for Q3 2024 includes estimated revenue of $196-$197 million and a 37%-38% Adjusted EBITDA margin. Full-year 2024 revenue guidance was adjusted to $770-$775 million with an Adjusted EBITDA margin of 37%-39% and non-GAAP diluted net income per share of $1.60-$1.70.

DigitalOcean Holdings, Inc. (NYSE: DOCN) has appointed Larry D'Angelo as its new Chief Revenue Officer. With over 30 years of tech industry experience, D'Angelo will oversee the company's go-to-market strategy and drive rapid growth. He will be responsible for new business growth through direct sales, channel partnerships, customer success, support, and corporate communications.

D'Angelo's extensive leadership experience includes roles as Chief Customer Officer at Rapid7 and Chief Sales Officer at LogMeIn, where he helped grow revenue from $100M to $1.4B. CEO Paddy Srinivasan praised D'Angelo's expertise in data-driven, high-velocity sales and customer success functions, highlighting his potential to complement DigitalOcean's product-led growth strategy.

DigitalOcean Holdings has scheduled the release of its financial results for Q2 2024 on August 8, 2024, after the market closes. The company will host a conference call at 2:00 PM PT / 5:00 PM ET to discuss these results and its financial outlook. Investors and analysts can pre-register for the webcast via a provided link, and all associated materials will be available on the DigitalOcean investor relations website.

DigitalOcean Holdings (NYSE: DOCN) announced the appointment of Wade Wegner as Chief Ecosystem and Growth Officer.

Wegner, with extensive experience from companies like RapidAPI, Twilio, Salesforce, and Microsoft, will oversee Developer Relations, Marketing, Growth, and Partnerships.

His role will bridge research and development with go-to-market strategy, focusing on strengthening DigitalOcean's developer community and driving innovation in AI/ML.

CEO Paddy Srinivasan emphasized Wegner's blend of technical expertise and strategic vision, highlighting his past success in building robust developer communities.

Wegner aims to expand DigitalOcean's mission by enhancing developer advocacy, partnerships, and alignment with the external community.

DigitalOcean Holdings has appointed Bratin Saha as Chief Product and Technology Officer (CPTO), effective immediately. Saha, formerly of Amazon Web Services (AWS) and Nvidia, will steer DOCN's product strategy, development, infrastructure, and security. He is recognized for his expertise in AI, machine learning, and data infrastructure, having played a significant role in building AWS's multi-billion-dollar generative AI business. Saha holds a Ph.D. in Computer Science from Yale University and has over 70 patents. DigitalOcean CEO Paddy Srinivasan notes that Saha's extensive experience will drive DOCN's innovation in the developer cloud space.

DigitalOcean Holdings announced it will host its next Deploy virtual conference on July 9, 2024. The free event aims to unite developers, startups, and founders to advance cloud applications and AI development. Keynote speaker CEO Paddy Srinivasan will showcase new innovations and strategic visions for the company. The event features technical demos, engineering insights, and sessions on building generative AI SaaS applications. Special guest Eric Ries will join Srinivasan to offer advice on sustainable business growth. Registration is now open, and attendees can sign up at https://do.co/Deploy24.

DigitalOcean (NYSE: DOCN) has unveiled a revamped App Platform, designed to simplify application development and scaling.

This platform now features a pay-as-you-go pricing model, offering up to a 35% reduction in dedicated instance prices and an 80% reduction in bandwidth overage fees.

Additionally, it supports autoscaling based on CPU usage, enhancing resource optimization. A new Dedicated Egress IP feature improves security by allowing specific source IP addresses.

The platform is aimed at startups, ISVs, and growing tech businesses, supporting popular languages such as Node.js, React, Python, and Docker.

DigitalOcean reported a strong first quarter for 2024 with revenue growth increasing to 12% driven by core cloud performance and AI platform demand. The company achieved strong profitability with a net income margin of 8% and adjusted EBITDA margin of 40%. Financial highlights include $185 million in revenue, $112 million in gross profit, and $14 million in net income attributable to common stockholders. Operational highlights feature an 8% increase in ARPU and a 97% Net Dollar Retention Rate. The company also provided a positive financial outlook for the second quarter and full year of 2024.