Filing Flows › Datadog (DDOG) › Q2 2025
Datadog (DDOG) Q2 2025 earnings results (second quarter 2025)
10-Q filed Aug 8, 2025
Datadog (DDOG) reported revenue of $827M for the second quarter 2025 (Q2 2025), +28% from a year earlier and +9% from the quarter before. Operating margin was -4.3%, net earnings $2.6M (0.3% of revenue).
Datadog, Q2 2025: revenue $827M (+28% year over year), operating margin -4.3%, net earnings $2.6M, operating cash flow $200M. The chart follows the revenue to costs, profit and cash.
| Q2 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $827M | +9% | +28% |
| Operating profit | −$35.5M | — | — |
| Net earnings | $2.6M | -89% | — |
| Operating cash flow | $200M | -26% | +22% |
| Free cash flow | $165M | — | +15% |
What changed
Revenue was $826.8M in Q2 2025, up 28% year over year and up 9% from the previous quarter.
Gross margin was 79.9%, down 0.9 points from a year earlier. Operating costs exceeded revenue by $35.5M, an operating margin of -4.3%. Operating expenses grew 37% against revenue growth of 28%. The fastest-growing cost line was General & admin (+47%). Net earnings were $2.6M, down 94% year over year. The effective tax rate was 56.5%. Non-operating items added $41.6M, 683% of pre-tax earnings, so the bottom line overstates operating performance.
Operating cash flow was $200.1M (up 22% year over year), 7558% of net earnings. Non-cash charges added back $12.8M of depreciation and amortization and $180.5M of share-based compensation. After capitalized software development costs ($19.6M) and purchases of property and equipment ($15.2M), free cash flow as the company reports it was $165.4M.
Questions
What was Datadog's revenue in the second quarter 2025?
Datadog (DDOG) reported revenue of $827M for the second quarter 2025 (Q2 2025), +28% from a year earlier and +9% from the quarter before.
Was Datadog profitable in the second quarter 2025?
Operating loss was $35.5M (-4.3% of revenue) and net earnings $2.6M.
Source: Datadog 10-Q on SEC EDGAR.