Databases are in vogue and that means MongoDB Inc.’s hot streak continued as it posted yet another earnings beat in its second-quarter results today.

The company reported a loss before certain costs such as stock compensation of 24 cents per share on revenue of $198.7 million during the period, up an impressive 44% from a year ago. It was better than expected too, with Wall Street looking for a bigger loss of 41 cents per share on revenue of just $182.4 million.

Investors rejoiced and MongoDB’s stock rose more than 13% in extended trading.

MongoDB Chief Executive Dev Ittycheria (pictured) said the company’s strong growth reflects the desire of almost every business to use a modern application data platform that helps them to accelerate the pace of digital innovation.

“Our introduction of MongoDB 5.0, with new product enhancements like Atlas Serverless, Live Resharding, Versioned API and native time series support, is the latest example of how we address a growing set of critical business issues for customers,” he added.

The bulk of MongoDB’s revenue growth was driven by subscription sales, which accounted for $191.4 million of the total, up 44%. Services revenue came to $7.4 million, up 27% from a year ago.

MongoDB sells an enterprise-grade version of the open-source MongoDB database. Known as one of the most powerful document-oriented databases around, it’s used for numerous types of data-hungry applications. Developers especially like MongoDB because the database is said to be easy to use and can store information in many different formats.

The company has also created a special version of MongoDB for customers who prefer to run it in the cloud, called MongoDB Atlas, as well as a mobile version known as MongoDB Realm.

Adoption of MongoDB Atlas has accelerated as the company transitions to a subscription-based software-as-a-service business model, and has now become its flagship platform.

The company reported today that sales of MongoDB Atlas rose 83% year over year, reflecting demand among major corporate clients.

Customer adoption is growing fast too. MongoDB reported total downloads of its database passed 200 million during the quarter, with 75 million of those coming in the last 12 months.

Holger Mueller, an analyst with Constellation Research Inc., told SiliconANGLE MongoDB is the perfect showcase for the need to create a vendor-maintained, cloud-based offering that run across all of the main public cloud infrastructure platforms.

“MongoDB is on a roll, growing by more than 40% again,” he said. “MongoDB Atlas especially is on a roll and proves that enterprises have a need for managed databases that run in the cloud. The only worry is MongoDB raked in a larger loss compared to one year ago. Still, its revenue is growing faster than the losses are, so invstors aren’t too worried. The challenge for MongoDB’s management remains to drive the company to a black zero.”

MongoDB feels the good times are set to continue. For the third quarter it said it’s looking for revenue of $202 million to $204 million, ahead of Wall Street’s consensus forecast of $198.3 million. For the full year, it raised its guidance to total revenue of between $805 million and $811 million, which would amount to year-over-year sales growth of 37%.

Photo: SiliconANGLE