Databricks Hits $7B ARR at 80% Growth, Raises $5B at $190B Valuation
Databricks crossed $7 billion in revenue run-rate in Q2 with 80% year-over-year growth and closed a $5 billion round at a $190 billion valuation led by Coatue.
Databricks Reports $7B Run-Rate
Databricks announced it crossed a $7 billion revenue run-rate in Q2, growing more than 80% year over year, and closed a $5 billion strategic round at a $190 billion valuation led by Coatue. The company also reported $100 million-plus revenue run-rate for Lakebase and $1.5 billion-plus revenue run-rate for Lakehouse, growing over 100% year over year, along with continued positive adjusted free cash flow.
Growth Reacceleration
Growth increased from 50% to 80% in four quarters, representing a 30-point acceleration between $4 billion and $7 billion of run-rate. This quarter held at 80% rather than climbing further. The acceleration occurred between the $4 billion and $7 billion marks according to SaaStr.
Lakehouse Versus Snowflake
Databricks passed Snowflake three quarters ago when annualizing Snowflake’s product revenue against Databricks’ reported run-rate. Databricks went past Snowflake in the October 2025 quarter and has widened the gap every quarter since. Snowflake’s product revenue grew 34% last quarter, up from 30%, with 126% net revenue retention and a raised full-year guide of $5.84 billion. Lakehouse passed $1.5 billion growing over 100%.
Agents and Customer Metrics
Agents generate far more queries than humans, contributing to margin compression in consumption-based models. More than 1,000 customers now consume at over $1 million run-rate, up from 650-plus in September 2025. More than 100 customers consume at over $10 million run-rate. Net retention was last disclosed above 140%. The company serves 20,000-plus organizations, including 70% of the Fortune 500 according to SaaStr.
