NYSE$GDDY

GoDaddy Inc. · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

GoDaddy experienced a strong third quarter, marked by accelerated growth in bookings and revenue, and a significant increase in net new customers.

GoDaddy reported a strong Q3 2020 with revenue of $844.4 million, up 11% year-over-year. The company added over 400,000 net new customers this quarter and over 1 million in 2020 to date. GoDaddy also saw accelerated growth in bookings and revenue across all three product categories.

  • Total revenue reached $844.4 million, an 11.0% increase year-over-year (or 11.2% on a constant currency basis).
  • Total bookings amounted to $945.0 million, reflecting an 11.0% increase year-over-year (or 11.2% on a constant currency basis).
  • Unlevered free cash flow was $223.9 million, up 17.0% year-over-year.
  • Over 1 million net new customers were added in 2020.

Headline financials

Total Revenue

$844M

Previous: $761M+11.0%
EPS (adj)

$0.38

Previous: $0.31+22.6%
Total Bookings

$945M

Previous: $851M+11.0%
Capital Expenditures

-$39.1M

Previous: -$71.1M+45.0%
Free Cash Flow

$25.6M

Previous: $5.1M+402.0%
Net Income

$64.7M

Previous: $76.2M-15.1%
Operating Income

$92.4M

Previous: $91.4M+1.1%
Gross Profit

-$340M

Previous: -$314M-8.4%
Cash & Equivalents

$622M

Previous: $967M-35.7%
Total Assets

$6.21B

Previous: $6.17B+0.7%

Revenue & EPS history

GoDaddy · Revenue · Quarterly

$844M

Q3 2020+11%vs Q3 2019
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

GoDaddy · $363M total across 1 segment · Q3 2023

  • Applications and Commerce
    $363M+11.4%

Forward guidance

For the fourth quarter ending December 31, 2020, GoDaddy expects revenue of approximately $865 million, or approximately 11% year over year growth. For the full year, GoDaddy expects unlevered free cash flow of approximately $820 million, representing full year growth of 11% versus 2019.

Tailwinds

  • Revenue is expected to be approximately $865 million, representing approximately 11% year-over-year growth.
  • Domains revenue growth is expected to approximate double-digit growth.
  • Business Applications revenue growth is expected to approximate high-teens growth.
  • Hosting and Presence revenue growth is expected to approximate mid-single-digit growth.
  • Full year unlevered free cash flow is expected to be approximately $820 million, representing full year growth of 11% versus 2019.

Headwinds

  • 2020 includes 27 pay periods versus 26 in a normal year, resulting in an incremental cash outflow of approximately $18 million in the fourth quarter.
  • Projections of changes in individual balance sheet amounts are not possible without unreasonable effort
  • Release of reconciliations would imply an inappropriate degree of precision.
  • Unpredictable nature of rapidly evolving market
  • Fluctuations in financial and operating results

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2020

Historical avgQ3 2020

+1.3%

Avg return

Earnings day

+0.4%

Avg return

5 days after

+1.5%

Avg return

30 days after

55%

24 / 44 earnings

Positive

+18.0%

Q3 2015

Best reaction

-14.3%

Q4 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.2%+2.0%-0.2%
Q4 2025-1.7%-4.4%-13.4%
Q3 2025+6.6%+5.0%+0.9%
Q1 2025-8.6%-4.8%-5.3%
Q4 2024-14.3%-16.9%-17.1%
Q3 2024+3.4%+2.6%+22.4%
Q2 2024+4.0%+4.5%+15.1%
Q1 2024+1.1%+7.4%+14.2%
Q4 2023-0.7%-2.1%+4.3%
Q3 2023+16.5%+18.4%+38.9%
Q2 2023-7.7%-6.2%-3.8%
Q1 2023-2.5%-3.0%+6.1%
Q4 2022-0.9%-4.2%-10.1%
Q3 2022-8.3%-4.8%+6.9%
Q2 2022+4.5%+7.0%+1.2%
Q1 2022-4.2%-14.5%-11.0%
Q4 2021+7.6%+15.2%+4.4%
Q3 2021+10.9%+5.9%+2.6%
Q2 2021-13.0%-12.3%-10.8%
Q1 2021-1.5%-1.9%-1.9%
Q4 2020-6.5%-7.3%-21.1%
Q3 2020+2.2%-4.7%+13.1%
Q2 2020+7.9%+6.0%+8.6%
Q1 2020+6.4%+10.0%+14.5%
Q4 2019+10.6%+9.5%-22.5%
Q3 2019+17.5%+11.0%+8.3%
Q2 2019-4.0%-11.4%-13.7%
Q1 2019-2.1%-3.1%-8.3%
Q4 2018+4.4%+3.7%+3.2%
Q3 2018-8.9%-11.7%-9.8%
Q2 2018+1.3%+2.4%+8.6%
Q1 2018+4.2%+4.8%+9.4%
Q4 2017+10.4%+8.4%+9.5%
Q3 2017+3.7%+2.8%-0.2%
Q2 2017+3.1%-2.6%+3.2%
Q1 2017-3.1%-2.0%+4.7%
Q4 2016-1.3%+1.0%+2.3%
Q3 2016-5.7%-6.9%-5.7%
Q2 2016+8.3%+13.6%+11.4%
Q1 2016-1.5%
Q4 2015+3.4%
Q3 2015+18.0%
Q2 2015-8.3%
Q1 2015+3.2%
Q4 2014
Q3 2014
Q2 2014
Q1 2014
Q4 2013
Q3 2013
Q2 2013
Q1 2013

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro