DigitalOcean Holdings, Inc. (DOCN): auditor change — DigitalOcean restates Q1 financials, reports Q2 revenue growth but cannot report net income due to tax accounting errors

31, 2023, as included in the Company’s Quarterly Report on Form 10-Q for the three months ended March 31, 2023 filed with the Securities and Exchange Commission (the “SEC”) on May 9, 2023 (the “First Quarter 2023 10-Q”) should no longer be relied upon due to the discovery, in the course of preparing the Company’s interim financial statements for the fiscal quarter ended June 30, 2023, of errors in the Company’s accounting for income tax expense primarily relating to the calculation of certain capitalized research or experimental expenditures under Section 174 of the Internal Revenue Code of 1986, which impacted the Company’s income tax provision ("Section 174 Error"). Primarily as a result of the Section 174 Error, accrued taxes as of March 31, 2023 were overstated and the income tax expense for the three months ended March 31, 2023 was overstated by approximately $18 million. Additional

This information is intended to be furnished under Item 2.02 and --- EX-99.1 (EX-99.1) --- DigitalOcean Announces Second Quarter 2023 Financial Results Revenue grew 27% to $170 million Loss from Operations was $1.5 million and Adjusted EBITDA was $72 million $64 million of Operating Cash Flow and $45 million of Adjusted Free Cash Flow NEW YORK, August 3, 2023 –