DDOG · 10-Q · 2026Q2 · Full report

Operating Cash Flow Trends

Datadog, Inc. · 2026-08-06 · Importance 64 · Surprise 56 · Matches filing data

Operating cash flow increased 38% to $650.5 million in the six months ended June 30, 2026, from $471.6 million in the prior-year period. The $178.9 million increase was driven by $69.8 million of higher net income, $97.0 million of higher non-cash charges, $69.5 million of higher accounts payable and $67.9 million of higher deferred revenue. Stock-based compensation contributed $72.4 million to the increase in non-cash charges, while higher accounts receivable and deferred contract costs reduced the benefit by $84.1 million and $26.2 million, respectively. Free cash flow increased 39% to $567.8 million from $409.7 million after $82.7 million of property and equipment purchases and capitalized software development costs.

Key facts

• Operating cash flow was $650,495 thousand for the six months ended June 30, 2026. source
• Operating cash flow was $471,596 thousand for the six months ended June 30, 2025. source
• Net cash provided by operating activities increased by $178.9 million for the six months ended June 30, 2026 compared to the six months ended June 30, 2025, primarily driven by an increase in net income of $69.8 million, an increase in non-cash charges of $97.0 million, an increase in accounts payable of $69.5 million, and an increase in deferred revenue of $67.9 million; partially offset by an increase in accounts receivable of $84.1 million and an increase in deferred contract costs of $26.2 million. source

Impact estimates