Web Hosting Provider GoDaddy Announces Strong Third Quarter 2015 Results, Revenue up 15.2%

GoDaddy (NYSE: GDDY), one of the world’s largest web hosting providers dedicated to small businesses, has reported Q3 revenue of $411.1 million, up 15.2% year over year. GoDaddy was especially doing well selling its business application services to small businesses. The company reported revenue of $45.3 million related to business applications, up 47.1% year over year.

web-hosting-godaddy“Our third quarter results demonstrate that consistent execution against our strategy yields positive results for our shareholders,” said Blake Irving, GoDaddy’s Chief Executive Officer (CEO). “We’re growing revenue across all of our business lines by delivering products and services that meet the needs of our customers globally. With 15% revenue growth and adjusted EBITDA up over 22% in the quarter, our combination of products, technology and care will continue to differentiate us and produce strong financial results.”

GoDaddy’s Third Quarter Financial Highlights

  • Revenue of $411.1 million, up 15.2% year over year.
  • Total Bookings of $475.6 million, up 14.1% year over year.
  • Adjusted EBITDA of $87.7 million, up 22.5% year over year.
  • Unlevered free cash flow of $79.7 million, an increase of 40.6% year over year.
  • Customers were 13.6 million at quarter end, up 8.8% year over year.
  • Annual ARPU of $119, up 6.8% year over year.

GoDaddy’s Thrird Quarter Operating Highlights:

  • Domains revenue of $215.0 million, up 10.5% year over year.
  • Hosting and Presence revenue of $150.8 million, up 14.7% year over year.
  • Business Applications revenue of $45.3 million, up 47.1% year over year.
  • International revenue of $105.3 million, up 17.4% year over year.
  • GoDaddy topped 4 million international customers during the quarter, more than doubling its total international customer base over the last 4 years.
  • GoDaddy now has more than 61 million domains under management.
  • godaddy-web-hostingGoDaddy Pro continues to grow, with over 50,000 web professionals now signed up.
  • GoDaddy expanded its Online Store with more than a dozen new features, including the integration of GoDaddy Email Marketing; Shippo, a customized shipping solution; and McAfee SECURE Certification.
  • GoDaddy extended its Search Engine Visibility (SEV) service, which allows a website using GoDaddy’s Domain Name System (DNS) to rank better in search results without requiring manual code updates. SEV was previously offered with GoDaddy’s Website Builder and Managed WordPress products, and is now available for use with any website, regardless of how it was built or how it is hosted.

For the fourth quarter ending December 31, 2015, GoDaddy expects revenues in the range of $421 – $424 million and adjusted EBITDA in the range of $70 – $73 million.

For the full year ending December 31, 2015, the company expects revenues in the range of $1,603 – $1,606 million and adjusted EBITDA in the range of $334 – $337 million.

Furlow consulting