Dynatrace, Inc. earnings

Dynatrace opened fiscal 2027 with total revenue of $554.55 million for the quarter ended June 30, 2026, up 16.2% from $477.35 million in the prior-year quarter. Subscription revenue reached $530 million, up 16%, or 15% on a constant currency basis.

Dynatrace closed fiscal 2026 with fourth quarter total revenue of $531.7 million, up 19.4% from $445.2 million a year earlier. Full year revenue reached $2.02 billion, up 18.8%. Annual recurring revenue crossed $2 billion, finishing at $2,054 million, an increase of 18%, or 16% on a constant currency basis.

Dynatrace closed the third quarter of fiscal 2026 with revenue of $515.47 million, up 18.2% from the prior-year quarter. Gross profit rose 18.7% to $419.64 million, and operating income climbed 53.2% to $72.74 million. Operating margin expanded to 14.1%, a gain of 3.2 percentage points.

Dynatrace reported total revenue of $493.85 million for the second quarter of fiscal 2026, up 18.1% from the prior-year quarter. Subscription revenue of $473 million rose 18% and carried nearly all of the top line. Gross profit was $404.08 million, up 18.7%, and gross margin reached 81.8%, up 0.4 percentage points.

Dynatrace opened fiscal 2026 with growth across its reported results. Total revenue for the first quarter ended June 30, 2025 was $477.35 million, up 19.6% from the prior-year quarter. Gross profit was $392.14 million, up 20.9%, and gross margin was 82.1%, up 0.9 percentage points.

Dynatrace closed fiscal 2025 with a strong fourth quarter. Total revenue reached $445.16 million, up 16.9% from a year earlier. Subscription revenue was $424 million, up 18%, or 20% on a constant currency basis. Total ARR ended the period at $1,734 million, up 15%, or 17% in constant currency.

Dynatrace closed fiscal 2025 third quarter with total revenue of $436.17 million, up 19.5% from the prior-year quarter. Gross profit reached $353.61 million, up 19.0%. Operating income was $47.46 million, up 32.9%, and net income jumped to $361.75 million, up 747.4%. Diluted EPS was $1.19, up 750.0%.

Dynatrace's fiscal 2025 second quarter, ended September 30, 2024, showed healthy demand for its observability platform. Total revenue was $418.1 million, up 18.9% from the prior-year quarter. For the first six months of fiscal 2025, revenue was $817.3 million, up 19.4%.

Dynatrace opened fiscal 2025 with total revenue of $399.22 million in the quarter ended June 30, 2024, up 19.9% from the prior-year quarter. ARR reached $1,541 million, up 19% year over year, or 20% on a constant currency basis. Total revenue constant currency growth was 21%.

Dynatrace closed fiscal 2024 with a mixed GAAP picture. Fourth-quarter revenue was $380.85 million, up 21.1% from the prior-year quarter. Full-year revenue was $1.43 billion, up 23.5%. Gross profit followed the top line: $308.98 million in the quarter, up 21.2%, and $1.16 billion for the year, up 24.4%.

Growth held up at Dynatrace in the December quarter, but profitability at the GAAP line moved more slowly than the top line. Total revenue for the third quarter of fiscal 2024 was $365.1 million, up 22.7% from a year earlier.

Dynatrace reported second quarter fiscal 2024 revenue of $351.7 million, up 25.9% from the prior-year quarter. Gross profit was $287.3 million, up 28.5%, and gross margin expanded to 81.7%, up 1.6 percentage points. Operating income was $35.3 million, up 72.9%, and operating margin was 10.0%, up 2.7 percentage points.

Dynatrace reported total revenue of $332.89 million for the fiscal 2024 first quarter ended June 30, 2023, up 24.5% from $267.27 million in the prior-year quarter. Subscription revenue of $316 million rose 27%, while service revenue of $16.4 million fell 7%.

Dynatrace closed fiscal 2023 with fourth-quarter revenue of $314.48 million, up 24.5% from the prior-year quarter. Full-year revenue reached $1.16 billion, up 24.6%. Total ARR was $1,247 million, and adjusted ARR growth was 29% year over year.

Dynatrace closed the third quarter of fiscal 2023, ended December 31, 2022, with GAAP revenue of $297.46 million, up 23.5% from the prior-year quarter. Gross profit rose 23.1% to $241.63 million. Operating income climbed 59.7% to $33.89 million.

GAAP results for Dynatrace's fiscal 2023 second quarter, ended September 30, 2022, showed solid top-line growth alongside weaker profitability. Total revenue was $279.3 million, up 23.4% from the prior-year quarter. Gross profit was $223.6 million, up 21.1%, while gross margin was 80.1%, down 1.5 percentage points.

Dynatrace reported fiscal 2023 first-quarter revenue of $267.27 million, up 27.4% from the prior-year quarter. Gross profit rose 26.1% to $215.48 million. Gross margin was 80.6%, down 0.9 percentage points. The top line grew, but profitability compressed. Operating income fell 10.0% to $19.09 million.

Dynatrace closed fiscal 2022 with strong top-line momentum but weaker GAAP profitability. Fourth-quarter revenue rose 28.5% to $252.58 million, and full-year revenue rose 32.1% to $929.44 million. Total ARR reached $995 million, with Adjusted ARR growth of 35% year over year.

Dynatrace closed the December 2021 quarter with revenue of $240.77 million, up 31.6% from the prior-year quarter. Year-to-date revenue through the first nine months of fiscal 2022 reached $676.86 million, up 33.5%. Annual recurring revenue was $930 million, up 29% year over year, or 32% after adjusting for currency.

Dynatrace closed the second quarter of fiscal 2022 with total revenue of $226.35 million, up 34.3% from the prior-year quarter. Subscription revenue reached $213 million, up 35%, and represented 94% of total revenue.

Dynatrace reported fiscal 2022 first-quarter revenue of $209.74 million, up 34.9% from the prior-year quarter. Total annual recurring revenue reached $823 million, up 37% year over year, or 32% on a constant currency basis.

Dynatrace finished fiscal 2021 with a fourth quarter that kept the top line compounding at a fast clip. Total revenue rose 30.5% to $196.5 million from $150.6 million in the prior-year quarter. Total annual recurring revenue reached $774 million, up 35%, or 32% on a constant currency basis.

Dynatrace closed its fiscal 2021 third quarter with revenue of $182.9 million, up 27.6% as reported and 25% on a constant currency basis. Annual recurring revenue reached $722.0 million, up 35% as reported and 32% in constant currency.

Dynatrace reported fiscal 2021 second quarter revenue of $168.6 million, up 30.3% year over year. Gross profit increased 53.5% to $137.9 million, and gross margin reached 81.8%, up 12.3 percentage points. Operating income was $22.8 million, a swing to a profit from an operating loss in the prior-year quarter.

Dynatrace opened fiscal 2021 with a much cleaner GAAP income statement. Total revenue for the quarter ended June 30, 2020 was $155.5 million, up 26.9% from the prior-year quarter. Gross profit rose 36.5% to $127.0 million.

Dynatrace's fiscal Q4 2020 was shaped by its core subscription model and the external challenges introduced by the COVID-19 pandemic. A standout feature of its performance was the rapid growth in subscription revenue. Year-over-year, subscription revenue increased 39%, climbing from $349.8 million to $487.8 million.

Dynatrace has experienced considerable growth in recent quarters, primarily driven by subscription revenue. With a growth rate of 35.8% from the fiscal year ending March 31, 2018, to March 31, 2019, their transition to a subscription-based model continues to gain traction.

Dynatrace is facing some key challenges in maintaining its accelerated growth trajectory, coming to light in its latest quarterly report. Over the past few periods, Dynatrace has seen strong subscription revenue growth, with an impressive increase from $257.6 million to $349.8 million.

Dynatrace had a challenging quarter with several factors potentially affecting future performance. The company has been experiencing rapid growth in its subscription revenue, which increased by 35.8% from the fiscal year 2018 to 2019.