💎 Fed’s first rate cut since 2020 set to trigger market. Find undervalued gems with Fair ValueSee Undervalued Stocks

GoDaddy's first-quarter revenue misses estimates

Published 02/17/2016, 04:54 PM
© Reuters. Man wearing a shirt featuring one of the slogans of web hosting company GoDaddy stands below screens with the company's logo, as it makes its initial public offering at the New York Stock Exchange

(Reuters) - Web-hosting company GoDaddy Inc forecast first-quarter revenue largely below analysts' estimates, citing a strong dollar.

Shares of the company, which gets a quarter of its revenue from outside the United States, fell 5.2 percent to $27.60 in after-hours trading on Wednesday.

The company forecast revenue of $428 million-$432 million, the midpoint of which was below the average analyst estimate of $431.1 million.

The weak outlook overshadowed stronger-than-expected fourth-quarter results that were driven by higher demand for the company's domain registration and Web hosting services.

GoDaddy, which manages about 62 million Internet domains or about 20 percent of the world's total, has been investing heavily to expand into new markets.

The company plans to be in the greater Asia region by the end of 2016, including China, Indonesia and Vietnam.

GoDaddy's international revenue in the fourth quarter jumped 16.9 percent to $110.6 million from a year earlier. The number of customers increased 8.7 percent to 13.8 million.

The company broke even on a per share basis in the quarter ended Dec. 31, compared with a loss of 21 cents a year ago.

Revenue rose to $425.4 million from $371.7 million a year earlier.

© Reuters. Man wearing a shirt featuring one of the slogans of web hosting company GoDaddy stands below screens with the company's logo, as it makes its initial public offering at the New York Stock Exchange

Analysts had expected a loss of 3 cents per share on revenue of $423.5 million, according to Thomson Reuters I/B/E/S.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.