DigitalOcean Holdings, Inc. (DOCN): restructuring charge — DigitalOcean Q4 rev $163M (+36% YoY), FY rev $576M, approves $500M buyback, 11% staff cut

to accelerate free cash flow margins to 20% or better and increase our share buyback program by up to $500 million." Fourth Quarter 2022 Financial Highlights: • Revenue was $163.0 million, an increase of 36% year-over-year. • Annual Run-Rate Revenue (ARR) ended the quarter at $658.8 million, representing 34% year-over-year growth. • Gross profit of $99.6 million

spending more than $500 per month. In 2022, the revenue from these cohorts grew 30% and 45%, respectively, year over year. Fiscal Year 2022 Financial Highlights: • Revenue was $576.3 million, an increase of 34% year-over-year. • Gross profit of $364.4 million or 63% of revenue, an increase of 300 basis points year-over-year. • Loss from operations was $26.2 million

On January 27, 2023, the Board of Directors of the Company approved a restructuring plan to adjust its cost structure and accelerate its timeline to achieve greater than 20% free cash flow margins (the “Restructuring Plan”). The Restructuring Plan includes both the elimination of positions across the Company as well as the shifting of additional positions across a broader geographical footprint over the next several months. As a result of these headcount actions, the Company’s total employee base will be reduced by approximately 11%. The Company estimates that it will incur approximately $25 million to $27 million in restructuring charges in connection with the Restructuring Plan, consisting of (i) approximately $22 million to $23 million in cash expenditures for employee transition, notice period and severance payments, and employee benefits, and (ii) approximately $3 million to $4 million in stock-based compensation.