Web hosting solutions provider GoDaddy has reported revenue of $1.1 billion (up 7 percent) and bookings of $1,261.9 million (up 10.6 percent) for the second quarter that ended June 30, 2024.
GoDaddy reported net income of $146.3 million in the second quarter, compared with $83.1 million, a year ago.
GoDaddy said Applications and Commerce (A&C) revenue grew 15 percent to $405.6 million. Annualized recurring revenue (ARR) for A&C grew 14 percent to $1.5 billion.
GoDaddy said Core Platform (Core) revenue totaled $718.9 million, growing 3 percent. Core ARR grew 2 percent to $2.3 billion.
GoDaddy CEO Aman Bhutani said: “We are making progress on our key initiatives, including growing discovery and engagement of our AI-powered experience, GoDaddy Airo. We see opportunity for long-term growth as we continue to create value for our customers with innovative solutions and seamless experiences.”
GoDaddy has 20.866 million customers at the end of June 2024 with ARPU of $210. GoDaddy’s customers comprises primarily of small- and medium-scale businesses that avail company’s services spanning from domains to online presence tools and payments.
STRATEGIES
GoDaddy said its strategies around pricing and bundling have contributed significantly to 24 percent Applications & Commerce bookings growth and margin expansion. GoDaddy has leveraged data, machine learning and experimentation across product suite.
GoDaddy, as part of its strategy in offering seamless experience to its customers, has removed friction in purchase and renewal paths across multiple products. GoDaddy has also expanded AI generated content into managed wordPress. GoDaddy also continued platform simplification.
GoDaddy has launched two SaaS plans offering premium features and discounted fees: Point-Of-Sale and Invoicing Plus. GoDaddy achieved continued strong growth in annualized Gross Payments Volume.
INNOVATION
The company rolled out its innovative GoDaddy Airo experience to its existing 20.9 million customer base. GoDaddy says over 1 million new customers have discovered Airo; over 500K engaged in the experience since launch.
GoDaddy Airo is now available with all new and existing domain purchases in English-speaking markets, with further expansion planned into over 90 additional countries later this year.
It launched the GoDaddy Digital Marketing suite, a customer onboarding path providing personalized marketing tools and content on one dashboard that customers can use to build their brand, generate leads and grow their businesses, even if they do not have a website.
FORECAST
GoDaddy is targeting revenue of $1.13 billion to $1.15 billion, representing growth of 7 percent at the midpoint, for the third quarter ending September 30, 2024.
Tempe, Arizona-based GoDaddy has raised its revenue expectations to $4.525 billion – $4.565 billion, representing growth of 7 percent at the midpoint for the full year ending December 31, 2024. It was targeting $4.50 billion – $4.56 billion revenue as per its prior forecast.
Baburajan Kizhakedath
