•
Jun 30, 2023

GoDaddy Q2 2023 Earnings Report

GoDaddy's Q2 2023 financial results were released, showing growth in Applications and Commerce revenue and progress in AI integration.

Key Takeaways

GoDaddy reported Q2 2023 financial results, with total revenue of $1,048.1 million, a net income of $83.1 million, and normalized EBITDA of $264.6 million. Applications and Commerce revenue grew by 11% year-over-year, and the company repurchased $746 million in shares through July 2023.

Applications and Commerce revenue increased by 11% year-over-year to $352 million.

Annualized recurring revenue (ARR) for Applications and Commerce reached $1.3 billion, up 10% year-over-year.

GoDaddy implemented generative AI tools into Websites + Marketing.

The company repurchased $746 million in shares through July 2023, reducing share count by 16%.

Total Revenue
$1.05B
Previous year: $1.02B
+3.1%
EPS
$0.54
Previous year: $0.56
-3.6%
Total Bookings
$1.14B
Previous year: $1.12B
+2.0%
ARPU
$199
Total Customers
20.99K

GoDaddy

GoDaddy

GoDaddy Revenue by Geographic Location

Forward Guidance

For Q3 2023, GoDaddy targets revenue between $1.055 billion and $1.075 billion, with a Normalized EBITDA margin of approximately 26%. For the full year 2023, the company expects a Normalized EBITDA margin of approximately 26% and unlevered free cash flow of approximately $1.2 billion.

Positive Outlook

  • Targeting Q3 2023 revenue between $1.055 billion and $1.075 billion, representing year-over-year growth of 3% at the midpoint.
  • Targeting Normalized EBITDA margin of approximately 26% for Q3 2023.
  • Expecting Normalized EBITDA margin of approximately 26% for the full year 2023.
  • Expecting unlevered free cash flow of approximately $1.2 billion for the full year 2023, representing growth of 9% year-over-year.
  • Expecting free cash flow of approximately $1.0 billion for the full year 2023, representing growth of 3% year-over-year.