OnlineDomain.com Domain Name News & Opinions
GoDaddy Inc. (NYSE: GDDY), today reported financial results for the first quarter ended March 31, 2017.
Domains revenue of $240.8 million, up 10.0% year over year.
“GoDaddy delivered another very good quarter, with strong customer growth, revenue growth and great cash flow,” said GoDaddy CEO Blake Irving. “We are off to a strong start in 2017 with the delivery of GoCentral, our new mobile-optimized website builder, and the acquisition of Host Europe Group, which significantly expands our presence internationally. We continue to see tremendous opportunity for solid growth over the long-term, as we expand both our product offerings and the markets we serve.”
First Quarter Financial Highlights
|
Three Months Ended March 31, |
||||||||||||||||||||||
|
2017 |
2016 |
Change |
||||||||||||||||||||
|
(in millions, except customers in thousands and ARPU) |
||||||||||||||||||||||
|
GAAP Results |
||||||||||||||||||||||
|
Revenue |
$ |
489.7 |
$ |
433.7 |
12.9 |
% |
||||||||||||||||
|
Net loss(1) |
$ |
(3.1) |
$ |
(18.3) |
NM |
|||||||||||||||||
|
Net cash provided by operating activities |
$ |
126.6 |
$ |
105.3 |
20.2 |
% |
||||||||||||||||
|
Non-GAAP Results |
||||||||||||||||||||||
|
Unlevered Free Cash Flow(2) |
$ |
114.1 |
$ |
100.6 |
13.4 |
% |
||||||||||||||||
|
Operating Metrics |
||||||||||||||||||||||
|
Total Bookings |
$ |
624.8 |
$ |
557.8 |
12.0 |
% |
||||||||||||||||
|
Total customers at period end |
15,085 |
14,107 |
6.9 |
% |
||||||||||||||||||
|
ARPU |
$ |
130 |
$ |
123 |
6.4 |
% |
||||||||||||||||
|
______________________________________ |
|
|
(1) |
Net loss for the three months ended March 31, 2017 includes acquisition-related expenses of $3.5 million, primarily related to our April 2017 acquisition of Host Europe Group (HEG), and includes $3.2 million of financing-related fees related to our recent debt modification. Net loss for the three months ended March 31, 2016 includes acquisition-related expenses of $0.4 million. |
|
(2) |
GoDaddy had one additional pay period in Q1 2017 versus Q1 2016, without which uFCF would have increased more than 25% in Q1 2017. |
- Total revenue of $489.7 million, up 12.9% year over year, or 13.7% on a constant currency basis.
- Total bookings of $624.8 million, up 12.0% year over year, or 12.7% on a constant currency basis.
- Net cash provided by operating activities of $126.6 million, up 20.2% year over year.
- Unlevered free cash flow of $114.1 million, up 13.4% year over year, or 25% if not for the additional pay period in Q1 2017 versus Q1 2016.
- Customers were nearly 15.1 million at quarter end, up 6.9% year over year. Including HEG customers of over 1.7 million, GoDaddy had approximately 16.8 million customers at the beginning of the second quarter.
- Average revenue per user (ARPU) of $130, up 6.4% year over year.
- Domains revenue of $240.8 million, up 10.0% year over year.
- Hosting and Presence revenue of $178.3 million, up 11.2% year over year.
- Business Applications revenue of $70.6 million, up 29.8% year over year.
- International revenue of $134.3 million, up 17.0% year over year, or 19.9% on a constant currency basis.
Business Highlights
- GoDaddy completed the acquisition of HEG in April 2017, establishing a market leading position in Europe for small business cloud services.
- GoDaddy launched GoCentral, a new service combining a mobile-optimized website builder with an integrated set of marketing and e-commerce tools to help anyone connect with the audience for their idea or business.
- GoDaddy acquired Sucuri in April 2017, advancing digital security for small business owners with a suite of security tools designed to protect website owners from emerging online threats.
- GoDaddy launched business hosting for fast-growing small businesses, including a simple cPanel giving customers with limited technical skills the ability to manage new and existing websites and their DNS in an easy-to-use control panel interface.
- GoDaddy and The Onion launched a new campaign bringing ‘The Internet’ to life as a spokesperson for GoDaddy.
- GoDaddy partnered with WP Elevation and OSTraining providing free WordPress education resources for WordPress users, developers and designers.
- GoDaddy won multiple 2017 Stevie® Awards for exceptional customer service, marking its sixth consecutive year of wins at the Stevie® Awards.
- GoDaddy launched GoCommunities, a social impact program empowering entrepreneurs in low-income areas with training, tools and peer networks to accelerate their ventures.
