By Rob Curran
DigitalOcean Holdings posted third-quarter earnings growth and boosted its sales projection for the year as the cloud-computing company seeks to capitalize on the popularity of AI.
The provider of cloud-computing software and services logged net income of $32.9 million, or 33 cents a share, up from $19.2 million, or 20 cents a share, a year earlier.
Revenue rose 12% to $198 million.
The cloud-computing company launched its first generative artificial-intelligence product to certain users during the quarter.
For the fourth quarter, DigitalOcean targeted adjusted earnings in a range between 27 cents a share and 32 cents a share, on revenue in a range between $199 million and $201 million.
For 2024, DigitalOcean forecast revenue in a range between $775 million and $777 million, higher than its previous target range of $770 million to $775 million.
DigitalOcean shares fell 5% to $38.76 premarket.
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
November 04, 2024 08:34 ET (13:34 GMT)
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