MongoDB Shares Soar Over 22% on Strong Earnings, AI Demand
Database firm boosts full-year forecast as its Atlas cloud platform sees accelerating growth, capitalizing on the boom in artificial intelligence applications.
Shares of MongoDB surged more than 22% in after-hours trading Tuesday after the database software company reported second-quarter financial results that significantly outpaced analyst expectations and raised its full-year guidance, citing strong momentum from customers building artificial intelligence applications.
The New York-based company announced revenue of $591.4 million for the quarter ending July 31, a 24% increase from the same period last year and well above the consensus estimate of $552.45 million. Profitability was even more impressive, with non-GAAP earnings per share hitting $1.00, crushing the 66 cents analysts had forecast.
The stellar performance was driven by the accelerating growth of its cloud database platform, Atlas, which saw revenue jump 29% year-over-year and now accounts for 74% of the company's total revenue. MongoDB also expanded its customer base, adding 2,800 new clients during the quarter to reach a total of over 59,900.
"MongoDB delivered strong second quarter results across the board," said Dev Ittycheria, President and CEO of MongoDB, in a statement. He highlighted the record customer additions in the first half of the year and "meaningful margin outperformance."
Ittycheria directly linked the company's success to the burgeoning AI sector. "Many of our recently added customers are building AI applications, underscoring how our value proposition is resonating in the AI era and why MongoDB is emerging as a key component of the AI infrastructure stack," he added.
Reflecting its confidence, MongoDB boosted its financial outlook for the remainder of fiscal year 2026. The company now expects full-year revenue between $2.34 billion and $2.36 billion, up from a consensus estimate of $2.29 billion. It also raised its adjusted earnings guidance to a range of $3.64 to $3.73 per share, significantly higher than the $3.10 analysts were anticipating.
For the upcoming third quarter, MongoDB projects revenue between $587 million and $592 million and adjusted earnings per share of 76 to 79 cents, both beating current Wall Street estimates.
The strong results and optimistic forecast sent the company's stock soaring in extended trading. According to data from Benzinga Pro, MongoDB's shares were up 22.9% to $263.43 after the market close on Tuesday.