GoDaddy Q4 & 2015 Results: Revenue Up 14%, Domain Revenue Up 9.5%

“GoDaddy posted strong top-line growth and exceptional cash flow throughout 2015. Our revenue topped $1.6 billion and we delivered nearly $300 million in unlevered free cash flow, up 54% from 2014. We now serve 14 million customers globally with localized products and customer care, and with our recent launch across Asia, we now operate in 53 markets and 26 languages. With a huge addressable market of small businesses, a proven strategy and consistent execution, we’re well positioned for continued growth at scale in 2016 and beyond,” said Blake Irving, GoDaddy Chief Executive Officer.

Fourth Quarter Financial Highlights:

• Revenue of $425.4 million, up 14.4% year over year, or approximately 16.7% on a constant currency basis.
• Total Bookings of $464.0 million, up 13.3% year over year, or approximately 16.7% on a constant currency basis.
• Adjusted EBITDA of $73.5 million, up 30.3% year over year.
• Unlevered free cash flow of $52.3 million, up 146.7% year over year.
• Customers were 13.8 million at December 31, 2015, up 8.7% year over year.
• Annual ARPU of $121, up 6.3% year over year.

Fourth Quarter Operating Highlights

• Domains revenue of $218.1 million, up 9.5% year over year.
• Hosting and Presence revenue of $155.5 million, up 12.7% year over year.
• Business Applications revenue of $51.8 million, up 50.1% year over year.
• International revenue of $110.6 million, up 16.9% year over year, or approximately 25.3% on a constant currency basis.
• GoDaddy launched localized websites, product offerings and customer care across Asia in January. GoDaddy now operates in 10 languages and 14 markets inAsia and 26 languages and 53 markets globally.
• GoDaddy now has 62 million domains under management, representing over 20% of the global total.

Balance Sheet

At December 31, 2015, total cash and cash equivalents and short-term investments were $352.5 million, total long-term debt outstanding, including current portion, was $1,044.0 million, gross debt was $1,083.5 million and net debt was $731.0 million.

Business Outlook

For the first quarter ending March 31, 2016, the Company expects revenues in the range of $428 – $432 million and adjusted EBITDA in the range of $111 – $114 million.

For the full year ending December 31, 2016, the Company expects revenues in the range of $1,820 – $1,845 million and adjusted EBITDA in the range of $400 – $410 million.