DDOG · 10-Q · 2026Q2 · Full report
Liquidity and Debt Position
Datadog, Inc. · 2026-08-06 · Importance 49 · Surprise 6 · In source text
As of June 30, 2026, Datadog held $435.0 million of cash and cash equivalents and $4.6 billion of marketable securities. The company stated that cash, marketable securities and operating cash flow should fund requirements for the next 12 months and beyond. Datadog had $1.0 billion principal amount of 2029 Notes outstanding, with approximately $979.1 million of net issuance proceeds after discounts and debt issuance costs. Principal and future interest payments related to the 2029 Notes totaled $1.0 billion.
Key facts
- Datadog issued $1.0 billion aggregate principal amount of 2029 Notes in December 2024 with total net proceeds of approximately $979.1 million. source
- Principal and future interest payments related to the 2029 Notes are $1.0 billion. source
- Net cash used in investing activities increased by $30.2 million in the six months ended June 30, 2026 compared to the six months ended June 30, 2025, primarily driven by an increase in purchases of marketable securities of $715.7 million and an increase in capitalized software development costs of $23.5 million, partially offset by maturities and sales proceeds of marketable securities totaling $701.6 million ($391.6 million maturities + $310.0 million sales). source
- The absence in the six months ended June 30, 2026 of $635.5 million in repayments of the 2025 convertible senior notes that occurred during the six months ended June 30, 2025 primarily drove the $655.3 million increase in net cash provided by financing activities year-over-year. source
- Free cash flow was $567,796 thousand for the six months ended June 30, 2026, calculated as net cash provided by operating activities less purchases of property and equipment of $21,247 and capitalized software development costs of $61,452. source
- As of June 30, 2026, Datadog had $435.0 million in cash and cash equivalents and $4.6 billion in marketable securities. source
- Free cash flow was $409,744 thousand for the six months ended June 30, 2025, with purchases of property and equipment of $23,900 and capitalized software development costs of $37,952 in that period. source
- Net cash used in financing activities was $603,801 thousand for the six months ended June 30, 2025. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| liability | negative | realized | -13.3% | Datadog issued $1.0 billion aggregate principal amount of 2029 Notes in December 2024 with total net proceeds of approximately $979.1… |
| cash | positive | realized | +13.0% | Datadog issued $1.0 billion aggregate principal amount of 2029 Notes in December 2024 with total net proceeds of approximately $979.1… |
| cash | positive | realized | +8.7% | The absence in the six months ended June 30, 2026 of $635.5 million in repayments of the 2025 convertible senior notes that occurred… |
| cash | positive | realized | +7.5% | Free cash flow was $567,796 thousand for the six months ended June 30, 2026, calculated as net cash provided by operating activities less… |
| cash | negative | realized | -0.4% | Net cash used in investing activities increased by $30.2 million in the six months ended June 30, 2026 compared to the six months ended… |
| assets | positive | realized | +0.3% | Net cash used in investing activities increased by $30.2 million in the six months ended June 30, 2026 compared to the six months ended… |
| assets | positive | realized | +0.2% | Net cash used in investing activities increased by $30.2 million in the six months ended June 30, 2026 compared to the six months ended… |