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Datadog S-1

sec.gov

11–20 of 101 posts

Re: Datadog S-1

#11
These are the two juiciest paragraphs for SaaS geeks:

> We have a highly efficient go-to-market model, which consists of a self-service tier, a high velocity inside sales team, and an enterprise sales force. As of June 30, 2019, we had approximately 8,800 customers, increasing from approximately 7,700, 5,400 and 3,800 customers as of December 31, 2018, 2017 and 2016, respectively. Approximately 590 of our customers as of June 30, 2019 had annual run-rate revenue, or ARR, of $100,000 or more, increasing from approximately 450, 240 and 130 customers as of December 31, 2018, 2017 and 2016, respectively, accounting for approximately 72%, 68%, 60% and 48% of our ARR, respectively. Further, as of June 30, 2019, we had 42 customers with ARR of $1.0 million or more, up from 29, 12 and two customers as of December 31, 2018, 2017 and 2016, respectively. As of June 30, 2019, our 10 largest customers represented approximately 14% of our ARR and no single customer represented more than 5% of our ARR.

... and ...

> Our business has experienced rapid growth and is capital efficient. Since inception, we have raised $92.0 million of capital, net of share repurchases, and we had $63.6 million of cash, cash equivalents and restricted cash as of June 30, 2019. We generated revenue of $100.8 million and $198.1 million in 2017 and 2018, respectively, representing year-over-year growth of 97%. Our revenue was $85.4 million in the six months ended June 30, 2018 compared to $153.3 million in the six months ended June 30, 2019, representing period-over-period growth of 79%. Substantially all of our revenue is subscription software sales. Our net (loss) income was $(2.6) million, $(10.8) million, $0.5 million and $(13.4) million for the years ended December 31, 2017 and 2018 and the six months ended June 30, 2018 and 2019, respectively. We generated operating cash flow of $13.8 million, $10.8 million, $10.6 million and $3.0 million in 2017 and 2018 and the six months ended June 30, 2018 and 2019, respectively. Our free cash flow was $6.0 million, $(5.0) million, $1.5 million and $(6.4) million in 2017 and 2018 and the six months ended June 30, 2018 and 2019, respectively.

Very impressive SaaS business, especially in such a competitive space. And I'm a happy customer for several years. This chart of their quarterly revenue run rate going back to 2016 is truly amazing and will make every SaaS founder green with envy:

https://www.sec.gov/Archives/edgar/data/1561550/000119312519...

Re: Datadog S-1

#12
post #9

This was already submitted at https://news.ycombinator.com/item?id=20781524 , not sure why it didn't get marked as a duplicate.

[deleted]

Re: Datadog S-1

#13
Just for curiosity, what's the legal process to go from being a French startup to a public US company? I guess there is some paperwork.

Re: Datadog S-1

#14

I've been meaning to learn how to read and understand an S1. Does anybody have any recommendations?

There are two interesting parts to an S1 (or a 10K):

* a qualitative description of the business, as the management sees it. I find this super interesting and it's usually in the middle of the document - look for "management's discussion and analysis ..", or go here: https://www.sec.gov/Archives/edgar/data/1561550/000119312519...

* the quantitative part. There are three key, but interrelated concepts to learn. The income statement, balance sheet, and cash flow statement. A intro course to accounting should be great, I can recommend this one: https://www.wallstreetprep.com/self-study-programs/accountin...

Re: Datadog S-1

#15
post #8

Seems like more S-1 filings have been making it to the front page of HN. Is that because more people on HN are interested in them, or because there's been a recent uptick in S-1 filings? And if the latter, is there any reason?

HN is always interested in tech-related S-1s, but there has been a recent uptick in filings. The most common explanation I've seen for the increase is economic uncertainty -- everyone is trying to get their S-1s in while investors are available.

Re: Datadog S-1

#16
post #8

Seems like more S-1 filings have been making it to the front page of HN. Is that because more people on HN are interested in them, or because there's been a recent uptick in S-1 filings? And if the latter, is there any reason?

A lot of tech IPOs recently after a decently long drought. There is conjecture that people are rushing to get them filed before a recession hits and it's more difficult to go public.

Re: Datadog S-1

#18
post #16
post #8

Seems like more S-1 filings have been making it to the front page of HN. Is that because more people on HN are interested in them, or because there's been a recent uptick in S-1 filings? And if the latter, is there any reason?

A lot of tech IPOs recently after a decently long drought. There is conjecture that people are rushing to get them filed before a recession hits and it's more difficult to go public.

And more difficult to continue to secure funding for companies that have yet to make a profit.

Re: Datadog S-1

#19

I've been meaning to learn how to read and understand an S1. Does anybody have any recommendations?

Take an introduction to accounting course (https://www.coursera.org/learn/wharton-accounting is very good, and it's free to audit), and you should be able to understand the meaty part of S-1 (and 10-Q/10-K)

Re: Datadog S-1

#20

I've been meaning to learn how to read and understand an S1. Does anybody have any recommendations?

There are two interesting parts to an S1 (or a 10K): * a qualitative description of the business, as the management sees it. I find this super interesting and it's usually in the middle of the document - look for "management's discussion and analysis ..", or go here: https://www.sec.gov/Archives/edgar/data/1561550/000119312519... * the quantitative part. There are three key, but interrelated concepts to learn. The in…

Thanks. These look very helpful. Going to set some time aside this weekend to get to it
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