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Exhibit 99.1 DigitalOcean Announces Second Quarter 2021 Financial Results Revenue Grew 35 % to $ 103.8 million and ARR Increased to $ 426 million , Up 36 % year - over - year Net Dollar Retention Rate Increased to 113 % and Average Revenue Per Customer Grew 25 % year - over - year NEW YORK , August 5 , 2021 – DigitalOcean Holdings , Inc. ( NYSE : DOCN ) , the cloud for developers , startups and SMBs , today announced results for its second quarter ended June 30 , 2021 . " We had an outstanding second quarter with strong revenue growth acceleration and continued improvement in our capital efficiency , " said Yancey Spruill , CEO of DigitalOcean . " We are excited about the progress we have made in leveraging simplicity across our business to better serve our customers and believe we have a path to a durable 30 % + growth rate for 2021 and next year . Adding to the strong quarter , we introduced Managed MongoDB which will continue to drive the revenue growth from our managed service offerings . " Second Quarter 2021 Financial Highlights : • Revenue was $ 103.8 million , an increase of 35 % year - over - year . • Annual Run - Rate Revenue ( ARR ) ended the quarter at $ 426 million , an increase of 36 % year - over - year . • GAAP Gross Profit of $ 60.7 million or 58 % of revenue and adjusted Gross Profit of $ 81.1 million or 78 % of revenue . • . Loss from operations was $ 2.6 million and operating margin was ( 3 ) % as compared to income from operations of $ 1.8 million and operating margin of 2 % in the prior year period . Adjusted EBITDA was $ 31.4 million and adjusted EBITDA margin was 30 % of revenue as compared to adjusted EBITDA of $ 23.9 million and adjusted EBITDA margin of 31 % in the prior year period . Capital expenditures were $ 26.0 million or 25 % of revenue as compared to $ 30.8 million or 40 % of revenue in the prior year period . • Cash , cash equivalents , and restricted cash were $ 579.4 million with zero debt as of June 30 , 2021 . Second Quarter 2021 Operational Highlights : • Total customers of approximately 602K at the end of the quarter , up 9 % as compared to the second quarter 2020 . • Net Dollar Retention Rate ( NDR ) was 113 % , an increase of 1,100 basis points from the second quarter 2020 . • Average Revenue Per Customer ( ARPU ) in the quarter was $ 58.07 , an increase of 25 % over the second quarter 2020 . Launch of Managed MongoDB : In late Q2 , at DigitalOcean's virtual conference for developers and startups , deploy , the company announced Managed MongoDB , a new , fully - managed database as a service ( DBaaS ) offering which helps developers of all skill levels easily spin up MongoDB clusters on DigitalOcean . Financial Outlook : Based on information available as of August 5 , 2021 , for the third quarter of 2021 we expect : . Total revenue of $ 106 to $ 109 million . • Adjusted EBITDA margin of 30 % to 31 % . • Fully diluted weighted average shares outstanding of 119 to 121 million shares . For the full year 2021 , we expect : Total revenue of $ 419 to $ 423 million . 1