Godaddy Inc. · NYSE:GDDY
Godaddy — Q3 2017 Earnings Presentation
18 slides from Godaddy's earnings presentation, Nov 8, 2017
Slide 1: GoDaddy Q3 2017 Results
Slide 2: Forward Looking Statements
GoDaddy Fomwerd loos Statements This which are subject to the safe harbor provisions of the Private Saati tnigaicn ee Act of 1995. These statements are based on estimates a rman ‘vale {D us atthe imo of ths press release and are not guarantees of future perf ents in this release innit risks, uncerta
Slide 3: Mission: radically shift the global economy toward independent ventures
eos is to — } radically shift the 4 global economy a toward life-fulfilling © independent _ ventures.
Slide 4: Q3 2017 Top Line
GoDaddy Q3 2017 Top Line Customers ARPU $ Millions Q3 2016 Q3 2017 Q3 2016 Q3 2017 Unless otvervise nod, all numbers are ae of September 30, 2017 Revenue Bookings $ Millions $ Millions Q3 2016 Q3 2017* Q3 2016 Q3 2017 YoY growth 24% measured YoY growth 25% measured in constant currency. in constant
Slide 5: Pro Managed WordPress
GoDaddy Pro Managed WordPress Features + High-performance and highly-reliable hosting + End-to-end security + Essential tools to efficiently manage multiple clients and sites + SSL on every domain + Sucuri site monitoring, backup and firewall + WordPress-centric 24/7 expert customer port service Tec
Slide 6: Accomplishments & Future
GoDaddy Accomplishments & Future Our Accomplishments Strong value proposition for our customers. Scaled international business with growth and attractive LTV/CAC addressing global needs. Tech platform and care with genuine distinction. Meaningful top-line and cash flow growth. Our Future Product and
Slide 7: GoCentral
GoDaddy GoCentral Strong Momentum * Continued solid adoption rates + Increasing conversion from free to paid + Rising Net Promoter scores + Positive customer feedback Rapid Product Iteration + Simplicity and ease of use remains core + Better imagery for hundreds of verticals + Lighting up new vertic
Slide 8: Exceptional Unlevered Free Cash Flow (uFCF)
GoDaddy Exceptional Unlevered Free Cash Flow (uFCF) Trailing Twelve Month uFCF $ Millions $ Millions 23.5% 20.2% sever? Q3 2016 Q3 2017 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 mmm UFCF * * * *% of Revenue Unioss otherwise noted, a numbers areas of September 30,2017
Slide 9: Domains Outgrowing Industry
GoDaddy Domains Outgrowing be tter . ~ Industry and differentiated ‘ } search across the oo pevene desktop and mobile devices. Yes! Your domains available. Buy Continued | someone alee dose: strong renewals. Broader domain secondary market bringing liquidity to a growing aftermarket. More Protect yo
Slide 10: Faster Growth in Hosting & Presence
GoDaddy" Faster Growth in Hosting & Presence Revenue $ Millions Q3 2016 Q3 2017 Unless oterwise noted, all numbers areas of September 20, 2017 Build, customize, or update your fully mobile- responsive site on-the-go entirely from a phone or tablet. Integrated Marketing &
Slide 11: Strong Growth in Business Apps
GoDaddy Strong Growth in Business Apps Revenue $ Millions Q3 2016 Q3 2017 Unless oterwise noted, all numbers areas of September 20, 2017. Marketing Integrated with Workspace Renewals ~~ ye” remain strong
Slide 12: Bold Expansion 50+ Markets and 100+ Countries Globally
GoDaddy Bold Expansion 50+ Markets and 100+ Countries Globally International Revenue $ Millions Q3 2016 Q3 2017 YoY growth 52% measured inconstant currency. Unless oterwis noted, all numbers areas of September 20, 2017.
Slide 13: GoDaddy's Global Leadership
GoDaddy GoDaddy’s Global Leadership 17 M customers 73 M domains 7 K employees 0 a of September 30,2017 and inde HEG. Expect $20M in annualized from HEG integration synergies in 2018. Executing on multiple cost opportunities with HEG integration. Integrated European Customer Care operation with A+ su
Slide 14: Q4 & Full Year 2017 Outlook
GoDaddy Q4 & Full Year 2017 Outlook Q4 2017 Full Year 2017 Revenue $591M-$596M $2,221M-$2,226M ~22% growth ~20% growth Unlevered Free Cash Flow $485M 36% growth
Slide 15: Non-GAAP Reconciliation: Bookings & uFCF
GoDaddy Non-GAAP Reconciliation: Bookings & uFCF 30 30 Reconciliation of Bookings ($M) 2016 2017 2016 2017 Total revenue $472.1 $582.2 $1,362.0 $1,629.7 Change in deferred revenue 27.3 44.5 158.3 204.3 Net refunds 35.4 43.4 108.8 125.1 Other (0.5) (2.1) 1.6 12 Total Bookings $534.3 $668.0 $1,630.7 $
Slide 16: Non-GAAP Reconciliation: Net Debt
GoDaddy Non-GAAP Reconciliation: Net Debt September 30, 2017 Reconciliation of Net Debt (in millions) Actual Current portion of long-term debt $16.1 Long-term debt 2,415.8 Unamortized original issue discount on long-term debt 34.0 Unamortized debt issuance costs 22.7 Total debt $2,488.6 Less: Cash a
Slide 17: Non-GAAP Reconciliation: Trailing Twelve Months uFCF
GoDaddy Non-GAAP Reconciliation: Trailing Twelve Months & uUFCF Reconciliation of Q3-15 415 1-16 = Q2-46 Q3-16 9 416 = QI-17,— 217 Q3-17 uFCF ($M) Net cash provided by ererainig Settes $223.8 $259.2 $202.4 $337.5 $358.5 $386.5 $407.8 $4287 $460.4 Impact of discontinued _ _ _ _ _ _ _ (3.0) (3.5) oper
Slide 18: Daddy
Daddy