SCOTTSDALE, Ariz.,
Aug. 1, 2019 /PRNewswire/
-- GoDaddy Inc. (NYSE: GDDY), the company that empowers
everyday entrepreneurs, today reported financial results for the
second quarter ended June 30, 2019 and the appointment of Aman
Bhutani, previously President of Brand Expedia Group, as the
company's new CEO, effective September 4th,
2019. Scott Wagner, Chief
Executive Officer, has stepped down for health reasons.
"It has been a great privilege to lead GoDaddy and to have
grown with the company for almost eight years," said Scott Wagner, GoDaddy's Chief Executive Officer.
"The Board and I have worked to identify a tremendous successor and
lay the groundwork for a smooth transition. Aman brings a wealth of
experience to GoDaddy - an extraordinary track record in growing a
scaled business, deep expertise in product and engineering, and
strong delivery across go-to-market. Aman is an exceptional leader
and has created strong followings in every organization he's led.
He will fit in well with GoDaddy's culture, while drawing upon his
comprehensive skills, mindset and experience to lead the company
into the future."
A nine-year veteran of Expedia Group Inc., Bhutani most
recently served as the President of Brand Expedia Group, the
largest contributor to the company's 19% annual growth over the
last five years. The Brand Expedia Group encompasses the flagship
Expedia brand, Travelocity, and Orbitz, among others. In his prior
role as Chief Technology Officer and Senior Vice President of
Engineering, Bhutani led the vision and development of a single
global technology platform designed to support multiple brands and
partners, serving 90 million monthly unique visitors and driving
more than $50 billion in annual gross
bookings value. Under his leadership, Brand Expedia grew revenue at
a healthy double-digit pace through a mixture of organic and
inorganic growth. The organic growth strategy was driven by
extending the product portfolio, offering more options to
travelers, and improving the efficiency and effectiveness of a
$1 billion annual performance market
spend through automation and machine learning.
"Aman is a proven, extraordinary leader with a strong
track record at Expedia for delivering operational excellence in a
complex, global business. His extensive knowledge and experience in
product and engineering teams, and his belief in culture and
leadership as differentiators, will serve GoDaddy well," said
Chuck Robel, Chair of the GoDaddy
Board of Directors. "We are extremely grateful for Scott's vision
and leadership - he's delivered incredible value to customers,
employees and shareholders over a sustained period of time. Scott
is a stellar strategist and operator, a genuine person and is
universally respected. We are incredibly sad to see Scott step down
but fully understand and support his decision," continued
Robel.
"I am honored to have the opportunity to lead this
incredible company," said Bhutani. "GoDaddy's extraordinary focus
on constantly innovating and improving for its entrepreneurs has
built a devoted and rapidly growing customer base. I look forward
to working closely with everyone at the company to seize the vast
opportunities that lie ahead."
Consolidated Second Quarter Financial
Highlights(1)
|
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
|
2019
|
|
2018
|
|
Change
|
|
2019
|
|
2018
|
|
Change
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(in millions, except
customers in thousands and ARPU)
|
GAAP Results
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
$
|
737.2
|
|
|
$
|
651.6
|
|
|
13.1
|
%
|
|
$
|
1,447.2
|
|
|
$
|
1,284.8
|
|
|
12.6
|
%
|
Net cash provided by
operating activities(2)
|
$
|
161.3
|
|
|
$
|
128.9
|
|
|
25.1
|
%
|
|
$
|
361.0
|
|
|
$
|
277.3
|
|
|
30.2
|
%
|
Non-GAAP Results
|
|
|
|
|
|
|
|
|
|
|
|
Unlevered free cash
flow
|
$
|
167.8
|
|
|
$
|
154.7
|
|
|
8.5
|
%
|
|
$
|
366.6
|
|
|
$
|
317.1
|
|
|
15.6
|
%
|
Operating Metrics
|
|
|
|
|
|
|
|
|
|
|
|
Total
bookings
|
$
|
846.1
|
|
|
$
|
754.2
|
|
|
12.2
|
%
|
|
$
|
1,716.6
|
|
|
$
|
1,537.3
|
|
|
11.7
|
%
|
Total customers at
period end
|
18,968
|
|
|
17,980
|
|
|
5.5
|
%
|
|
18,968
|
|
|
17,980
|
|
|
5.5
|
%
|
ARPU
|
$
|
153
|
|
|
$
|
142
|
|
|
7.8
|
%
|
|
$
|
153
|
|
|
$
|
142
|
|
|
7.8
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
See reconciliation
tables for a detailed listing of certain items included in our
condensed consolidated statements of operations.
|
(2)
|
Net cash provided by
operating activities in 2018 includes cash tax payments made in
connection with the gain on the August 2017 sale of
PlusServer.
|
- Total revenue of $737.2
million, up 13.1% year over year, or approximately 14.7% on
a constant currency basis.
- Total bookings of $846.1
million, up 12.2% year over year, or approximately 13.9% on
a constant currency basis.
- Net cash provided by operating activities of $161.3 million, up 25.1% year over
year.
- Unlevered free cash flow of $167.8
million, up 8.5% year over year.
- Customers of 19.0 million, up 5.5% year over
year.
- Average revenue per user (ARPU) of $153, up 7.8% year over year.
- Domains revenue of $334.4
million, up 9.7% year over year.
- Hosting and Presence revenue of $279.8 million, up 14.4% year over
year.
- Business Applications revenue of $123.0 million, up 20.4% year over
year.
- International revenue of $247.7
million, up 6.2% year over year, or approximately 10.5% on a
constant currency basis.
Operating Highlights
- GoCentral, GoDaddy's website builder, and Managed
WordPress continue to see robust subscription growth, driven by
feature expansion and improvements in awareness.
- GoDaddy introduced a new template interface in GoCentral
that delivers unparalleled flexibility in the design process,
allowing customers to see in real-time what their website could
look like with 20 different layouts and hundreds of font and color
combinations.
- GoCentral continues its evolution as a full-fledged
marketing and publishing engine helping customers thrive in a
social and digital world. Adding to previous integrations with
Facebook, Yelp and Google My Business, GoDaddy added Instagram
allowing customers to view activity and engagement in GoCentral's
marketing dashboards.
- GoDaddy launched its pro tools for WordPress developers
using Amazon Lightsail on Amazon Web Services (AWS).
- GoDaddy's domain platform is in the process of being
integrated into AWS and will power AWS's new domain
registration.
- GoCentral and Smartline free trials are available to
Amazon Business' Business Prime members.
- GoDaddy partnered with Kabbage, the leading provider of
small business financing, to help customers get access to financing
solutions throughout their lifecycle.
- GoDaddy expanded its partnership with PayPal to enable
payment processing through the PayPal Commerce
Platform.
- In June 2019 GoDaddy issued
unsecured senior notes in an aggregate principal amount of
$600.0 million at par, the proceeds
of which were used to prepay $600.0
million of the outstanding principal balance of pre-existing
term loans. The senior notes bear interest at a rate of 5.25% per
annum, mature on December 1, 2027 and
provide greater financial flexibility and longer duration for our
debt.
Balance Sheet
At June 30, 2019, total cash, cash equivalents and
short-term investments were $1,222.4
million, total debt was $2,444.8
million and net debt was $1,222.4
million.
Business Outlook
For the full year 2019, GoDaddy expects revenue in the
range of $2.97 billion to
$3.00 billion, representing full-year
growth of 12% to 13% versus 2018. For the third quarter ending
September 30, 2019, GoDaddy expects
revenue of $755 million to
$765 million.
For the full year 2019, GoDaddy expects unlevered free
cash of approximately $730 million to
$745 million, representing full-year
growth of 18% to 20% versus 2018. GoDaddy expects full-year cash
interest payments of approximately $80
million to $85
million.
Our consolidated financial statements are prepared in
accordance with generally accepted accounting principles in
the United States (GAAP). We do
not provide reconciliations from non-GAAP guidance to GAAP, because
projections of changes in individual balance sheet amounts are not
possible without unreasonable effort, and release of such
reconciliations would imply an inappropriate degree of precision.
Our reported results provide reconciliations of non-GAAP financial
measures to their nearest GAAP equivalents.
Quarterly Conference Call and Webcast
GoDaddy will host a conference call and webcast to discuss
second quarter 2019 results at 5:00 p.m.
Eastern Time on August 1, 2019. To hear the call, dial
(833) 286-5800 in the United
States or (647) 689-4445 from international locations, with
passcode 2766257. A live webcast of the call, together with a slide
presentation including supplemental financial information and
reconciliations of certain non-GAAP measures to their nearest
comparable GAAP measures, will be available through GoDaddy's
Investor Relations website at
https://investors.godaddy.net. Following the call, a recorded
replay of the webcast will be available on the website.
GoDaddy Inc. uses its Investor Relations website at
https://investors.godaddy.net as a means of disclosing
material non-public information and for complying with its
disclosure obligations under Regulation FD. Accordingly, investors
should monitor GoDaddy's Investor Relations website, in addition to
following press releases, Securities and Exchange Commission (SEC)
filings, public conference calls and webcasts.
Forward-Looking Statements
This press release contains forward-looking statements
which are subject to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. These statements are
based on estimates and information available to us at the time of
this press release and are not guarantees of future performance.
Statements in this release involve risks, uncertainties and
assumptions. If the risks or uncertainties materialize or the
assumptions prove incorrect, our results may differ materially from
those expressed or implied by such forward-looking statements. All
statements other than statements of historical fact could be deemed
forward-looking statements, including, but not limited to: our CEO
transition; launches of new or expansion of existing products or
services, any projections of product or service availability,
technology developments and innovation, customer growth, or other
future events; any statements about historical results that may
suggest future trends for our business; any statements regarding
our plans, strategies or objectives with respect to future
operations, including international expansion plans and marketing
strategy; any statements regarding our future financial results;
and any statements of assumptions underlying any of the
foregoing.
Actual results could differ materially from our current
expectations as a result of many factors, including, but not
limited to: our ability to manage our CEO transition successfully;
the unpredictable nature of our rapidly evolving market;
fluctuations in our financial and operating results; our rate of
growth; interruptions or delays in our service or our web hosting;
breaches of our security measures; the impact of any previous or
future acquisitions; our ability to continue to release, and gain
customer acceptance of, our existing and future products and
services; our ability to manage our growth; our ability to hire,
retain and motivate employees; the effects of competition;
technological, regulatory and legal developments; intellectual
property litigation; developments in the economy, financial markets
and credit markets; and execution of share repurchases.
Additional risks and uncertainties that could affect
GoDaddy's financial results are included in the other filings we
make with the SEC from time to time, including those described in
"Risk Factors" in our Quarterly Report on Form 10-Q for the quarter
ended March 31, 2019 as well as those
described in "Management's Discussion and Analysis of Financial
Condition and Results of Operations" in our Annual Report on Form
10-K for the year ended December 31,
2018 and in our Quarterly Report on Form 10-Q for the
quarter ended March 31, 2019, which
are available on GoDaddy's website at https://investors.godaddy.net
and on the SEC's website at www.sec.gov. Additional information
will also be set forth in other filings that GoDaddy makes with the
SEC from time to time. All forward-looking statements in this press
release are based on information available to GoDaddy as of the
date hereof. GoDaddy does not assume any obligation to update the
forward-looking statements provided to reflect events that occur or
circumstances that exist after the date on which they were
made.
Non-GAAP Financial Measures and Other Operating
Metrics
In addition to our results determined in accordance with
GAAP, this release includes certain non-GAAP financial measures and
other operating metrics. We believe that these non-GAAP financial
measures and other operating metrics are useful as a supplement in
evaluating our ongoing operational performance and enhancing an
overall understanding of our past financial performance. The
non-GAAP financial measures included in this release should not be
considered in isolation from, or as a substitute for, financial
information prepared in accordance with GAAP. A reconciliation
between each non-GAAP financial measure and its nearest GAAP
equivalent is included in this release following the financial
statements. We use both GAAP and non-GAAP measures to evaluate and
manage our operations.
Total bookings. Total bookings
represents cash receipts from the sale of products to customers in
a given period adjusted for products where we recognize revenue on
a net basis and without giving effect to certain adjustments,
primarily net refunds granted in the period. Total bookings
provides valuable insight into the sales of our products and the
performance of our business since we typically collect payment at
the time of sale and recognize revenue ratably over the term of our
customer contracts. We report total bookings without giving effect
to refunds granted in the period because refunds often occur in
periods different from the period of sale for reasons unrelated to
the marketing efforts leading to the initial sale. Accordingly, by
excluding net refunds, we believe total bookings reflects the
effectiveness of our sales efforts in a given period.
ARPU. We calculate ARPU as total
revenue during the preceding 12 month period divided by the average
of the number of total customers at the beginning and end of the
period. ARPU provides insight into our ability to sell additional
products to customers, though the impact to date has been muted due
to our continued growth in total customers.
Unlevered Free Cash Flow. Unlevered
free cash flow is a measure of our liquidity used by management to
evaluate our business prior to the impact of our capital structure
and purchases of property and equipment, such as infrastructure
investments, that can be used by us for strategic opportunities and
strengthening our balance sheet. However, given our debt
obligations, unlevered free cash flow does not represent residual
cash flow available for discretionary expenses.
Net Debt. We define net debt as total
debt less cash and cash equivalents and short-term investments.
Total debt consists of the current portion of long-term debt plus
long-term debt, unamortized original issue discount and unamortized
debt issuance costs. Our management reviews net debt as part of its
management of our overall liquidity, financial flexibility, capital
structure and leverage and we believe such information is useful to
investors. Furthermore, certain analysts and debt rating agencies
monitor our net debt as part of their assessments of our
business.
About GoDaddy
GoDaddy is empowering everyday entrepreneurs around
the world by providing all of the help and tools to succeed online.
With 19 million customers worldwide, GoDaddy is the place
people come to name their idea, build a professional website,
attract customers and manage their work. Our mission is to give our
customers the tools, insights and the people to transform their
ideas and personal initiative into success. To learn more about the
company visit www.GoDaddy.com.
GoDaddy
Inc.
|
Condensed
Consolidated Statements of Operations (unaudited)
|
(In millions,
except share amounts in thousands and per share
amounts)
|
|
|
Three Months Ended
June 30,
|
|
Six Months Ended
June 30,
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
Revenue:
|
|
|
|
|
|
|
|
Domains
|
$
|
334.4
|
|
|
$
|
304.8
|
|
|
$
|
654.0
|
|
|
$
|
596.5
|
|
Hosting and
presence
|
279.8
|
|
|
244.6
|
|
|
548.7
|
|
|
484.4
|
|
Business
applications
|
123.0
|
|
|
102.2
|
|
|
244.5
|
|
|
203.9
|
|
Total
revenue
|
737.2
|
|
|
651.6
|
|
|
1,447.2
|
|
|
1,284.8
|
|
Costs and operating
expenses(1):
|
|
|
|
|
|
|
|
Cost of revenue
(excluding depreciation and amortization)
|
254.6
|
|
|
221.3
|
|
|
491.0
|
|
|
436.6
|
|
Technology and
development
|
127.2
|
|
|
105.1
|
|
|
251.2
|
|
|
207.1
|
|
Marketing and
advertising
|
90.3
|
|
|
67.4
|
|
|
180.6
|
|
|
141.9
|
|
Customer
care
|
87.6
|
|
|
76.3
|
|
|
177.9
|
|
|
156.7
|
|
General and
administrative(2)
|
104.8
|
|
|
81.0
|
|
|
197.8
|
|
|
157.4
|
|
Depreciation and
amortization
|
53.8
|
|
|
57.0
|
|
|
111.0
|
|
|
114.8
|
|
Total costs and
operating expenses
|
718.3
|
|
|
608.1
|
|
|
1,409.5
|
|
|
1,214.5
|
|
Operating
income
|
18.9
|
|
|
43.5
|
|
|
37.7
|
|
|
70.3
|
|
Interest
expense
|
(23.1)
|
|
|
(24.7)
|
|
|
(47.5)
|
|
|
(48.5)
|
|
Tax receivable
agreements liability adjustment
|
—
|
|
|
—
|
|
|
8.7
|
|
|
(0.1)
|
|
Loss on debt
extinguishment
|
(14.5)
|
|
|
—
|
|
|
(14.5)
|
|
|
—
|
|
Other income
(expense), net
|
5.2
|
|
|
0.2
|
|
|
11.4
|
|
|
1.2
|
|
Income (loss) before
income taxes
|
(13.5)
|
|
|
19.0
|
|
|
(4.2)
|
|
|
22.9
|
|
Benefit for income
taxes
|
0.8
|
|
|
1.2
|
|
|
4.7
|
|
|
1.5
|
|
Net income
(loss)
|
(12.7)
|
|
|
20.2
|
|
|
0.5
|
|
|
24.4
|
|
Less: net income
(loss) attributable to non-controlling interests
|
(0.1)
|
|
|
2.1
|
|
|
0.2
|
|
|
3.0
|
|
Net income (loss)
attributable to GoDaddy Inc.
|
$
|
(12.6)
|
|
|
$
|
18.1
|
|
|
$
|
0.3
|
|
|
$
|
21.4
|
|
Net income (loss)
attributable to GoDaddy Inc. per share of Class A common
stock:
|
|
|
|
|
|
|
|
Basic
|
$
|
(0.07)
|
|
|
$
|
0.12
|
|
|
$
|
—
|
|
|
$
|
0.15
|
|
Diluted
|
$
|
(0.07)
|
|
|
$
|
0.11
|
|
|
$
|
—
|
|
|
$
|
0.14
|
|
Weighted-average
shares of Class A common stock outstanding:
|
|
|
|
|
|
|
|
Basic
|
176,007
|
|
|
152,577
|
|
|
173,517
|
|
|
145,249
|
|
Diluted
|
176,007
|
|
|
180,881
|
|
|
183,874
|
|
|
179,955
|
|
___________________________
|
|
|
|
|
|
|
|
(1) Costs and
operating expenses include equity-based compensation as
follows:
|
|
|
Cost of
revenue
|
$
|
0.2
|
|
|
$
|
—
|
|
|
$
|
0.2
|
|
|
$
|
—
|
|
Technology and
development
|
20.3
|
|
|
13.6
|
|
|
40.3
|
|
|
27.3
|
|
Marketing and
advertising
|
4.1
|
|
|
2.1
|
|
|
8.4
|
|
|
5.0
|
|
Customer
care
|
2.6
|
|
|
1.3
|
|
|
5.2
|
|
|
2.5
|
|
General and
administrative
|
14.4
|
|
|
11.2
|
|
|
34.4
|
|
|
24.9
|
|
Total equity-based
compensation
|
$
|
41.6
|
|
|
$
|
28.2
|
|
|
$
|
88.5
|
|
|
$
|
59.7
|
|
|
(2)
|
See reconciliation
tables for certain items included in our condensed consolidated
statements of operations.
|
GoDaddy
Inc.
|
Condensed
Consolidated Balance Sheets (unaudited)
|
(In millions,
except per share amounts)
|
|
|
June 30,
|
|
December 31,
|
|
2019
|
|
2018
|
Assets
|
|
|
|
Current
assets:
|
|
|
|
Cash and cash
equivalents
|
$
|
1,198.8
|
|
|
$
|
932.4
|
|
Short-term
investments
|
23.6
|
|
|
18.9
|
|
Accounts and other
receivables
|
24.8
|
|
|
26.4
|
|
Registry
deposits
|
24.2
|
|
|
28.3
|
|
Prepaid domain name
registry fees
|
385.7
|
|
|
363.2
|
|
Prepaid expenses and
other current assets
|
63.3
|
|
|
58.1
|
|
Total current
assets
|
1,720.4
|
|
|
1,427.3
|
|
Property and
equipment, net
|
260.1
|
|
|
299.0
|
|
Operating lease
assets
|
148.3
|
|
|
—
|
|
Prepaid domain name
registry fees, net of current portion
|
185.7
|
|
|
183.6
|
|
Goodwill
|
2,965.8
|
|
|
2,948.0
|
|
Intangible assets,
net
|
1,153.1
|
|
|
1,211.5
|
|
Other
assets
|
15.5
|
|
|
14.0
|
|
Total
assets
|
$
|
6,448.9
|
|
|
$
|
6,083.4
|
|
Liabilities and stockholders'
equity
|
|
|
|
Current
liabilities:
|
|
|
|
Accounts
payable
|
$
|
82.9
|
|
|
$
|
61.6
|
|
Accrued expenses and
other current liabilities
|
396.7
|
|
|
414.3
|
|
Deferred
revenue
|
1,521.3
|
|
|
1,393.7
|
|
Long-term
debt
|
19.2
|
|
|
16.6
|
|
Total current
liabilities
|
2,020.1
|
|
|
1,886.2
|
|
Deferred revenue, net
of current portion
|
652.4
|
|
|
623.8
|
|
Long-term debt, net
of current portion
|
2,387.7
|
|
|
2,394.2
|
|
Operating lease
liabilities, net of current portion
|
134.3
|
|
|
—
|
|
Payable to related
parties pursuant to tax receivable agreements
|
175.3
|
|
|
174.3
|
|
Other long-term
liabilities
|
14.9
|
|
|
63.2
|
|
Deferred tax
liabilities
|
107.5
|
|
|
117.2
|
|
Commitments and
contingencies
|
|
|
|
Stockholders'
equity:
|
|
|
|
Preferred stock,
$0.001 par value
|
—
|
|
|
—
|
|
Class A common stock,
$0.001 par value
|
0.2
|
|
|
0.2
|
|
Class B common stock,
$0.001 par value
|
—
|
|
|
—
|
|
Additional paid-in
capital
|
894.1
|
|
|
699.8
|
|
Retained
earnings
|
168.4
|
|
|
164.8
|
|
Accumulated other
comprehensive loss
|
(117.6)
|
|
|
(72.1)
|
|
Total stockholders'
equity attributable to GoDaddy Inc.
|
945.1
|
|
|
792.7
|
|
Non-controlling
interests
|
11.6
|
|
|
31.8
|
|
Total stockholders'
equity
|
956.7
|
|
|
824.5
|
|
Total liabilities and
stockholders' equity
|
$
|
6,448.9
|
|
|
$
|
6,083.4
|
|
GoDaddy
Inc.
|
Condensed
Consolidated Statements of Cash Flows (unaudited)
|
(In
millions)
|
|
|
Six Months Ended
June 30,
|
|
2019
|
|
2018
|
Operating activities
|
|
|
|
Net income
|
$
|
0.5
|
|
|
$
|
24.4
|
|
Adjustments to
reconcile net income to net cash provided by operating
activities:
|
|
|
|
Depreciation and
amortization
|
111.0
|
|
|
114.8
|
|
Equity-based
compensation
|
88.5
|
|
|
59.7
|
|
Loss on debt
extinguishment
|
14.5
|
|
|
—
|
|
Tax receivable
agreements liability adjustment
|
(8.7)
|
|
|
0.1
|
|
Other
|
11.4
|
|
|
(6.5)
|
|
Changes in operating
assets and liabilities, net of amounts acquired:
|
|
|
|
Registry
deposits
|
4.0
|
|
|
(11.5)
|
|
Prepaid domain name
registry fees
|
(25.7)
|
|
|
(26.6)
|
|
Deferred
revenue
|
157.2
|
|
|
154.2
|
|
Other operating
assets and liabilities
|
8.3
|
|
|
(31.3)
|
|
Net cash provided by
operating activities
|
361.0
|
|
|
277.3
|
|
Investing activities
|
|
|
|
Purchases of
short-term investments
|
(40.6)
|
|
|
(6.9)
|
|
Maturities of
short-term investments
|
36.3
|
|
|
0.4
|
|
Business
acquisitions, net of cash acquired
|
(37.0)
|
|
|
(14.1)
|
|
Purchases of property
and equipment
|
(45.9)
|
|
|
(35.9)
|
|
Other investing
activities
|
(1.3)
|
|
|
(14.3)
|
|
Net cash used in
investing activities
|
(88.5)
|
|
|
(70.8)
|
|
Financing activities
|
|
|
|
Proceeds received
from:
|
|
|
|
Issuance of Senior
Notes
|
600.0
|
|
|
—
|
|
Stock option
exercises
|
37.0
|
|
|
35.7
|
|
Issuance of Class A
common stock under ESPP
|
16.6
|
|
|
11.9
|
|
Payments made
for:
|
|
|
|
Repayment of term
loans
|
(612.5)
|
|
|
(12.5)
|
|
Contingent
consideration for business acquisitions
|
(33.5)
|
|
|
(9.2)
|
|
Financing-related
costs
|
(10.9)
|
|
|
—
|
|
Leases and other
financing obligations
|
(2.1)
|
|
|
(4.0)
|
|
Net cash provided by
(used in) financing activities
|
(5.4)
|
|
|
21.9
|
|
Effect of exchange
rate changes on cash and cash equivalents
|
(0.7)
|
|
|
(1.4)
|
|
Net increase in cash
and cash equivalents
|
266.4
|
|
|
227.0
|
|
Cash and cash
equivalents, beginning of period
|
932.4
|
|
|
582.7
|
|
Cash and cash
equivalents, end of period
|
$
|
1,198.8
|
|
|
$
|
809.7
|
|
Reconciliation of Non-GAAP Financial Measures and
Other Operating Metric
The following tables reconcile each non-GAAP financial
measure and other operating metric to its most directly comparable
GAAP financial measure:
|
Three Months Ended
June 30,
|
|
Six Months Ended
June 30,
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
|
|
|
|
|
|
|
|
|
(in millions)
|
Total
Bookings:
|
|
|
|
|
|
|
|
Total
revenue
|
$
|
737.2
|
|
|
$
|
651.6
|
|
|
$
|
1,447.2
|
|
|
$
|
1,284.8
|
|
Change in deferred
revenue
|
52.0
|
|
|
52.2
|
|
|
157.3
|
|
|
154.5
|
|
Net
refunds
|
56.9
|
|
|
50.0
|
|
|
112.1
|
|
|
99.9
|
|
Other
|
—
|
|
|
0.4
|
|
|
—
|
|
|
(1.9)
|
|
Total
bookings
|
$
|
846.1
|
|
|
$
|
754.2
|
|
|
$
|
1,716.6
|
|
|
$
|
1,537.3
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
Six Months Ended
June 30,
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
|
|
|
|
|
|
|
|
|
(in millions)
|
Unlevered Free Cash
Flow:
|
|
|
|
|
|
|
|
Net cash provided by
operating activities
|
$
|
161.3
|
|
|
$
|
128.9
|
|
|
$
|
361.0
|
|
|
$
|
277.3
|
|
Impact of
discontinued operations(1)
|
—
|
|
|
21.4
|
|
|
—
|
|
|
21.4
|
|
Cash paid for
interest on long-term debt
|
18.4
|
|
|
20.0
|
|
|
39.8
|
|
|
40.5
|
|
Cash paid for
acquisition-related costs
|
4.6
|
|
|
4.2
|
|
|
11.7
|
|
|
13.8
|
|
Capital
expenditures
|
(16.5)
|
|
|
(19.8)
|
|
|
(45.9)
|
|
|
(35.9)
|
|
Unlevered free cash
flow
|
$
|
167.8
|
|
|
$
|
154.7
|
|
|
$
|
366.6
|
|
|
$
|
317.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Impact of
discontinued operations in 2018 relates to cash tax payments made
in connection with the gain on the August 2017 sale of
PlusServer.
|
The following table details certain items included in our
condensed consolidated statements of operations:
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
|
|
|
|
|
|
|
|
|
(in millions)
|
Operating income includes the
following:
|
|
|
|
|
|
|
|
Accrual for legal
settlement expenses recorded in general and administrative
expenses
|
$
|
18.1
|
|
|
$
|
—
|
|
|
$
|
18.1
|
|
|
$
|
—
|
|
Acquisition-related
expenses recorded in general and administrative expenses
|
$
|
2.6
|
|
|
$
|
10.2
|
|
|
$
|
5.2
|
|
|
$
|
16.5
|
|
The following table provides a reconciliation of net
debt:
|
June 30, 2019
|
|
|
|
(in millions)
|
Net Debt:
|
|
Current portion of
long-term debt
|
$
|
19.2
|
|
Long-term
debt
|
2,387.7
|
|
Unamortized original
issue discount on long-term debt
|
12.4
|
|
Unamortized debt
issuance costs
|
25.5
|
|
Total debt
|
2,444.8
|
|
Less: Cash and cash
equivalents
|
(1,198.8)
|
|
Less: Short-term
investments
|
(23.6)
|
|
Net debt
|
$
|
1,222.4
|
|
Shares Outstanding
Shares of Class B common stock do not share in our
earnings and are not participating securities. Total shares of
common stock outstanding are as follows:
|
June 30,
|
|
2019
|
|
2018
|
|
|
|
|
|
(in thousands)
|
Shares Outstanding:
|
|
|
|
Class A common
stock
|
176,727
|
|
|
158,098
|
|
Class B common
stock
|
1,566
|
|
|
13,906
|
|
Total common stock
outstanding
|
178,293
|
|
|
172,004
|
|
Effect of dilutive
securities
|
6,758
|
|
|
9,642
|
|
|
185,051
|
|
|
181,646
|
|
© 2019 GoDaddy Inc. All Rights Reserved.
Source: GoDaddy Inc.
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SOURCE GoDaddy Inc.