Digitalocean Holdings, Inc. · NYSE:DOCN
Digitalocean — Q2 2026 Earnings Presentation
30 slides from Digitalocean's earnings presentation, Aug 4, 2026
Slide 1: Q2 2026 Earnings Presentation
Q2 2026 Earnings Presentation August 4, 2026
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation contains forward-looking statements within the meaning of Section (12) the effects of acquisitions and their integration; (13) general market, political, 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities economic, and business co
Slide 3: Accelerating Growth, Disciplined Execution
Accelerating Growth, Disciplined Execution 1 2 3 4 Accelerating Inference Traction AI Native Cloud Disciplined Growth Rate Flywheel Execution Revenue grew 29%, more Inference services grew Our five-layer platform is Delivered 40% adjusted than double a year ago, nearly 800% year over year becoming a
Slide 4: Record Q2 Revenue Results & Strong Profitability
Record Q2 Revenue Results & Strong Profitability Q2 Revenue Incremental ARR $281M $93M 29% YoY 191% YoY 40% 24% 17% Q2 Adjusted Operating Income Q2 Adjusted EBITDA Margin TTM Adjusted FCF Margin Margin Note: Refer to the Appendix for definitions of metrics and reconciliations of Non-GAAP measures to
Slide 5: $1M+ Customer ARR Reached $259M, Growing 214% YoY
$1M+ Customer ARR Reached $259M, Growing 214% YoY $100K+ Customer ARR($M) $500K+ Customer ARR($M) $1M+ Customer ARR($M) +98% +160% +214% Q2 2025 Q2 2026 Q2 2025 Q2 2026 Q2 2025 Q2 2026 % of total ARR 23% 35% 13% 26% 9% 23% Note: Refer to the Appendix for definitions of customer categories, customer
Slide 6: AI Customer ARR Reached $234M, Growing 212% YoY
AI Customer ARR Reached $234M, Growing 212% YoY Q2 YoY AI Customer ARR($M) ARR Growth Total Core Cloud Inference Services Bare Metal % Non 43% 61% 70% 81% 85% Bare-metal Note: Refer to the Appendix for definitions of AI Customers and AI Customer ARR. Core Cloud includes: VM, VPC, Storage, High Perfo
Slide 7: DigitalOcean AI-Native Cloud
DigitalOcean AI-Native Cloud Inference Engine has become a full production runtime solving today’s most pressing needs Key updates since April Open harness · Agent sandboxes · Tools · State · Planning Managed Agents Web search · MCP calling · Function calling · Knowledge retrieval Data & Learning DB
Slide 8: Rapid Innovation Across All AI-Native Cloud Layers
Rapid Innovation Across All AI-Native Cloud Layers 80+ product releases since April ‘26 • OpenCode integration • Codex in the Cloud / DigitalOcean for Codex Managed Agents • Grok Build marketplace integration • Server-Side Tools for agentic applications • Knowledge Bases • Managed Weaviate • Managed
Slide 9: The AI-Native Cloud Flywheel
The AI-Native Cloud Flywheel Every layer a customer adopts pulls them into the next Better More consumption price-performance Inference Engine ADOPTION UNIT ECONOMICS Five Layers Compounding on One Integrated Platform infrastructure we own Owned Infrastructure Cloud Primitives Managed Agents Data &
Slide 10: AI Builders Are Spinning The Growth Flywheel
AI Builders Are Spinning The Growth Flywheel Open-source AI coding agent Secure AI sandbox platform for Agentic infrastructure Leading LLM routing used by over 7.5M developers running AI-generated code and platform where humans and marketplace connecting monthly to build, test, and ship autonomous a
Slide 11: DigitalOcean Competitive Advantage
Strength DigitalOcean Competitive Advantage Partial Gap Serving AI-Natives with one integrated platform, purpose built for agentic applications Hyperscalers Neoclouds Inference Providers Large enterprises & frontier labs Optimized for training clusters Optimized for inference layer only Native agent
Slide 12: Disciplined Execution
Disciplined Execution Adding capacity while maintaining strong and flexible balance sheet 155MW Committed Capacity 20 data centers, 200+ Network PoPs ● ~60MW secured in Q1 across 4 new sites, Toronto Amsterdam ramping through 2027 Kansas City · NEW New York London Frankfurt Richmond · NEW ● ~20MW in
Slide 13: Accelerating Growth With Strong Profitability
Accelerating Growth With Strong Profitability Revenue($M) $1M+ Customer ARR($M) AI Customer ARR($M) 29% 214% 212% 2Q23 2Q24 2Q25 2Q26 2Q23 2Q24 2Q25 2Q26 2Q23 2Q24 2Q25 2Q26 Adjusted Operating Income ($M) & TTM Adjusted Free Cash Flow($M) & Adjusted EBITDA($M) & Margin Margin Margin 27% 9% 47% 2Q23
Slide 14: Strengthened Balance Sheet To Create Capacity For Growth
Strengthened Balance Sheet To Create Capacity For Growth Transaction Overview Balance Sheet Implications Repurchased ~$472M principal of 0.00% 2030 convertible $1.1B Total Liquidity + increased debt capacity notes $767M cash + $407M undrawn revolver Funded by concurrent registered direct offering Mi
Slide 15: Raising 2026 Outlook
Raising 2026 Outlook FY 2026 FY 2026 FY Delta Metric Q3 2026 (as of 5/5) (as of 8/4) (at midpoint) Revenue ($M) $304 - $307 $1,130 - $1,145 $1,170 - $1,180 +37.5M Revenue Growth 32% - 34% 25% - 27% 30% - 31% +416bps Adjusted EBITDA Margin 38% - 39% 37% - 39% 38.5% - 39.5% +100bps Non-GAAP Diluted Ne
Slide 16: Accelerating Growth
Accelerating Growth YoY Revenue Growth Note: Refer to the Appendix for definitions of metrics and reconciliations of Non-GAAP measures to GAAP. 2026 DigitalOcean. All rights reserved 16
Slide 17: Accelerating Growth, Disciplined Execution
Accelerating Growth, Disciplined Execution 1 2 3 4 Accelerating Inference Traction AI Native Cloud Disciplined Growth Rate Flywheel Execution Revenue grew 29%, more Inference services grew Our five-layer platform is Delivered 40% adjusted than double a year ago, nearly 800% year over year becoming a
Slide 18: Appendix
#) DigitalOcean Appendix
Slide 19: Financial Highlights and Key Business Metrics
Financial Highlights and Key Business Metrics Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 Revenue (M) $218.7 $229.6 $242.4 $257.9 $281.2 Revenue Growth Year-over-year 14% 16% 18% 22% 29% ARR (M) $875 $919 $970 $1,032 $1,125 ARR Increase (M) $32 $44 $51 $62 $93 Adj. Operating Income (M) $62 $70 $64 $64 $
Slide 20: Metrics Definitions
Metrics Definitions Customers We calculate customer count as the average number of customers as of the last day of the month for each month in the most recent quarter. Customers are classified in the following categories based on the amount of their spend in a given month and individual customers ma
Slide 21: Metrics Definitions
Metrics Definitions Remaining Performance Obligation Remaining performance obligation (“RPO”) represents commitments in customer contracts for future services that have not yet been recognized in the condensed consolidated financial statements. RPO is not necessarily indicative of future revenue gro
Slide 22: Use of Non-GAAP Metrics
Use of Non-GAAP Metrics This presentation includes certain non-GAAP metrics, which have not been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”). These non-GAAP metrics are in addition to, and not as a substitute for, or superior to, financial measu
Slide 23: Adjusted Operating Income and Adjusted Operating Income Margin
Adjusted Operating Income and Adjusted Operating Income Margin 1) For the three months ended June 30, 2024, primarily consists of executive reorganization charges. For the three months ended June 30, 2023, primarily consists of salary continuation charges. 2026 DigitalOcean. All rights reserved 23
Slide 24: Adjusted EBITDA and Adjusted EBITDA Margin
Adjusted EBITDA and Adjusted EBITDA Margin 1) For the three months ended June 30, 2024, primarily consists of executive reorganization charges. For the three months ended June 30, 2023, primarily consists of salary continuation charges. 2) For the three months ended for all periods presented, primar
Slide 25: Non-GAAP Net Income
Non-GAAP Net Income 1) For the three and six months ended June 30, 2026, excludes tax impact which is presented in Non-GAAP income tax adjustment. 2) For the periods in fiscal year 2026 and 2025, we used a tax rate of 16%, which we believe is a reasonable estimate of our long-term effective tax rate
Slide 26: Non-GAAP Diluted Net Income per Share
Non-GAAP Diluted Net Income per Share 1) For the three and six months ended June 30, 2026, excludes tax impact which is presented in Non-GAAP income tax adjustment. 2) For the periods in fiscal year 2026 and 2025, we used a tax rate of 16%, which we believe is a reasonable estimate of our long-term
Slide 27: Adjusted Free Cash Flow, Unlevered Adjusted Free Cash Flow, and Margins
Adjusted Free Cash Flow, Unlevered Adjusted Free Cash Flow, Adjusted Free Cash Flow Margin and Unlevered Adjusted Free Cash Flow Margin 2026 DigitalOcean. All rights reserved 27
Slide 28: TTM Adjusted Free Cash Flow and TTM Adjusted Free Cash Flow Margin
TTM Adjusted Free Cash Flow and TTM Adjusted Free Cash Flow Margin 1) For the periods ended June 30, 2023 through December 31, 2023, primarily consists of salary continuation charges and executive reorganization charges, including CEO search firm fees and other legal and professional service costs.
Slide 29: Non-GAAP Operating Expenses
Non-GAAP Operating Expenses 2026 DigitalOcean. All rights reserved 29
Slide 30: Net Leverage
Net Leverage 1) On July 23, 2026, we repurchased $471,828 in aggregate principal amount of our 2030 Convertible Notes using the net proceeds from a concurrent registered direct offering of 12,543,915 shares of our common stock at $117.54 per share. Cash on hand was used to pay estimated transaction
DigitalOcean Holdings — Q2 2026 Earnings Presentation on 6ix