DigitalOcean Holdings, Inc. 8K

DigitalOcean announced strong Q2 2026 results, raised its 2026 revenue outlook, highlighted rapid AI and large-customer growth, and reduced leverage by repurchasing $472 million of 2030 convertible notes funded by a direct equity offering.

DigitalOcean Holdings, Inc. reported strong second quarter 2026 results with revenue of $281 million and ARR of $1.125 billion, both up 29% year-over-year, highlighted by explosive AI-related growth (AI Customer ARR up 212% to $234 million) and significant expansion among large customers, including new nine-figure annual commitments that drove remaining performance obligations to $894 million from $71 million a year ago. The company launched its Inference Engine as part of its AI-Native Cloud, shipped more than 80 product releases since April, secured an additional 20 MW of data center capacity (bringing total committed capacity to ~155 MW), and was added to the Russell 1000 Index. Management raised full-year 2026 revenue guidance to $1.170–$1.180 billion (30–31% growth) and forecast improved growth acceleration to 35%+ by Q4 2026 and over 50% in 2027, while maintaining robust profitability with a 40% adjusted EBITDA margin in Q2. In a notable capital structure move, DigitalOcean repurchased approximately $472 million of its 0.00% Convertible Senior Notes due 2030, funded by a concurrent registered direct equity offering and paired with an intended repurchase of ~500,000 shares, thereby reducing leverage with minimal cash outlay and limited net dilution.

Filing Facts

CIK

1582961

Ticker

-

Form

8K

Source Type

sec

Accession

0001628280-26-052135

Alert Tier

7