DigitalOcean Q3 revenue rises 40% to $321 million; raises Q4 and 2027 growth outlook
DigitalOcean reported third-quarter 2026 revenue of $321 million, up 40% year over year, and raised its fourth-quarter 2026 and full-year 2027 growth outlook. Its GAAP net loss was $43 million, including a $57 million induced conversion expense tied to a partial repurchase of its 2030 Convertible Notes. The company also agreed to an at-the-market program to sell up to $1.0 billion of common stock, which could dilute existing shareholders.
Key points
- Q3 2026 revenue was $321 million, up 40% year over year; ARR ended the quarter at $1,285 million.
- Net loss attributable to common stockholders was $43 million, or $0.37 per diluted share, including a $57 million induced conversion expense.
- Q4 2026 revenue guidance is $348 to $351 million, up 44% to 45%; full-year 2026 revenue guidance is $1.208 to $1.211 billion.
- Equity distribution agreement dated November 2, 2026 with eight managers allows sales of up to $1.0 billion of common stock, with commissions of up to 2.0% of gross proceeds.
The filing
Written by AI (Anthropic Claude, claude-haiku-5-5) on Nov 7, 2026, 11:17 PM ET, from the text of the filing and its press-release exhibits only.
Briefs are written by AI from the filing text (each brief's own page names the model) and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the model's reading of the filing for shareholders, not a price forecast. Not investment advice.