Datadog Inc. received strong early reviews in its earnings debut Tuesday afternoon, as shares jumped more than 10% following its first report since going public. The enterprise-software company, which specializes in monitoring and overseeing cloud-based network traffic, priced its IPO at $27 a share in September ( ), and has traded higher than that price since. On Tuesday, it reported third-quarter losses of $4.2 million, or 4 cents a share, on sales of $95.9 million, up from $51.1 million a year ago. After adjusting for stock-based compensation and other effects, the company reported profit of $695,000, less than a penny a share. Analysts on average expected adjusted losses of 14 cents a share on sales of $84.7 million, according to FactSet. The company also said it expects to surpass $100 million in quarterly revenue in the fourth quarter, easily surpassing analysts' average estimate of $92.3 million, and adjusted losses of 11 cents to 12 cents for the full year on revenue of at least $350 million. Analysts had been projecting full-year adjusted losses of 30 cents a share on sales of $330.1 million, according to FactSet. After closing with a 2.5% gain at $34.40 Tuesday, shares popped to around $39 in the extended session following release of the results.
-Jeremy C. Owens; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
November 12, 2019 16:24 ET (21:24 GMT)
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