Datadog Gains After Customer Growth And Multi-Product Adoption Drives Q1 Beat - Datadog (NASDAQ:DDOG)

Datadog, Inc DDOG reported first-quarter FY23 revenue growth of 33% year-on-year to $481.7 million, beating the consensus of $468.3 million.
As of March 31, Datadog had 2,910 customers with an ARR of $100,000 or more, increasing 29% Y/Y.
The non-GAAP gross margin remained firm at 80%. The non-GAAP operating margin decreased by 500 bps to 18%.
Non-GAAP EPS of $0.28 beat the consensus of $0.24.
Datadog held cash and equivalents of $2 billion and generated $116.3 million in free cash flow.
"We are pleased with our execution in the first quarter, with 33% year-over-year revenue growth, continued customer growth, and increased multi-product adoption by our customers," said Olivier Pomel, co-founder and CEO of Datadog.
Outlook: Datadog sees Q2 revenue of $498 million - $502 million versus the consensus of $500.69 million. It sees non-GAAP EPS of $0.27 - $0.29 versus the consensus of $0.26.
Datadog lifted FY23 revenue to $2.08 billion - $2.10 billion, up from $2.07 billion - $2.09 billion versus the consensus of $2.09 billion. It raised non-GAAP EPS to $1.13 - $1.20, up from $1.02 - $1.09 versus the consensus of $1.08.
Price Action: DDOG shares traded higher by 6.70% at $70.25 premarket on the last check Thursday.