GoDaddy Inc

Previous wording

The following discussion and analysis of our financial condition and results of operations should be read together with our financial statements and related notes included in this Quarterly Report as well as our audited financial statements and related notes and the discussion in the "Business" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" sections of our 2023 Form 10-K. Some of the information contained in this discussion and analysis, including information with respect to our plans and strategies for our business, includes forward-looking statements involving significant risks and uncertainties. As a result of many factors, such as those set forth in "Risk Factors," actual results may differ materially from the results described in, or implied by, these forward-looking statements.

Current wording

The following discussion and analysis of our financial condition and results of operations should be read together with our financial statements and related notes included in this Quarterly Report as well as our audited financial statements and related notes and the discussions and analysis in the section titled "Business" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" of our 2023 Form 10-K. Some of the information contained in this discussion and analysis, including information with respect to our plans and strategies for our business, includes forward-looking statements involving significant risks and uncertainties. As a result of many factors, such as those set forth in "Risk Factors," actual results may differ materially from the results described in, or implied by, these forward-looking statements.

Previous wording

•Total revenue of $1,124.5 million, an increase of approximately 7.3% on a reported and constant currency basis(1).

Current wording

•Total revenue of $1,147.6 million, an increase of approximately 7.3% on a reported and constant currency basis(1).

Previous wording

•International revenue of $357.1 million, an increase of approximately 4.7% on a reported and constant currency basis(1).

Current wording

•International revenue of $369.4 million, an increase of approximately 6.9% on a reported and constant currency basis(1).

Previous wording

•Total bookings of $1,261.9 million, an increase of 10.6%, or approximately 11.1% on a constant currency basis(1).

Current wording

•Total bookings of $1,241.7 million, an increase of 9.0%, or approximately 9.4% on a constant currency basis(1).

Previous wording

•Net cash provided by operating activities of $294.8 million, an increase of 48.9%.

Current wording

•Net cash provided by operating activities of $355.2 million, an increase of 26.1%.

Previous wording

(2)Our operating results for the three months ended June 30, 2024 and June 30, 2023 included $6.9 million and $17.5 million, respectively, in restructuring and other charges, as further discussed in Note 13 to our financial statements.

Current wording

(2)Our operating results for the three months ended September 30, 2024 and September 30, 2023 included $0.4 million and $9.8 million, respectively, in restructuring and other charges, as further discussed in Note 13 to our financial statements.

Previous wording

In addition to our results determined in accordance with GAAP, we believe that Normalized EBITDA, a non-GAAP measure, and the following other operating metrics are useful as supplements in evaluating our ongoing operational performance and help provide an enhanced understanding of our business:

Current wording

In addition to our results determined in accordance with GAAP, we believe that Normalized EBITDA, a non-GAAP measure, and the following other operating and business metrics are useful as supplements in evaluating our ongoing operational performance and help provide an enhanced understanding of our business:

Previous wording

Normalized EBITDA (NEBITDA). NEBITDA is a supplemental measure of our operating performance used by management and investors to evaluate our business. We calculate NEBITDA as net income excluding depreciation and amortization, interest expense (net), provision or benefit for income taxes, equity-based compensation expense, acquisition-related costs, restructuring-related expenses and certain other items. We believe that the inclusion or exclusion of certain recurring and non-recurring items provides a supplementary measure of our core operating results and permits useful alternative period-over-period comparisons of our operations but should not be viewed as a substitute for comparable GAAP measures.

Current wording

Normalized EBITDA (NEBITDA). NEBITDA is a supplemental measure of our operating performance used by management and investors to evaluate our business. We calculate NEBITDA as net income excluding depreciation and amortization, interest expense (net), provision or benefit for income taxes, equity-based compensation expense, acquisition-related costs, restructuring-related expenses and certain other items. We believe that the inclusion or exclusion of certain recurring and non-recurring items provides a supplementary measure of our core operating results and permits useful alternative period-over-period comparisons of our operations. NEBITDA should not be viewed as a substitute for comparable GAAP measures.

Previous wording

Average revenue per user (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.

Current wording

Average revenue per user (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 our customers.

Previous wording

(1)The six months ended June 30, 2024 and 2023 excludes $0.8 million and $2.3 million, respectively, of equity-based compensation expense associated with our restructuring activities, which is included within restructuring and other.

Current wording

(1)The nine months ended September 30, 2024 and 2023 excludes $0.8 million and$2.3 million, respectively, of equity-based compensation expense associated with our restructuring activities, which is included within restructuring and other.

Previous wording

(2)In addition to the restructuring and other in our statements of operations, other charges included are primarily composed of lease-related expenses associated with closed facilities, charges related to certain legal matters, adjustments to the fair value of our equity investments, expenses incurred in relation to the refinancing of our long-term debt, and incremental expenses associated with certain professional services.

Current wording

(3)In addition to the restructuring and other in our statements of operations, other charges included are primarily composed of lease-related expenses associated with closed facilities, charges related to certain legal matters, adjustments to the fair value of our equity investments, expenses incurred in relation to the refinancing of our long-term debt, and incremental expenses associated with certain professional services.

Previous wording

The 7.3% and 7.1% increase in total revenue for the three and six months ended June 30, 2024 was due to the changes in our A&C and Core revenues, as described below:

Current wording

The 7.3% and 7.2% increase in total revenue for the three and nine months ended September 30, 2024, respectively, were due to the changes in our A&C and Core revenues, as described below:

Previous wording

For the three months ended June 30, 2024, the 15.3% increase in A&C revenue was driven by: (i) 19.6% growth in revenue related to our productivity applications, most notably from our pricing and bundling initiatives; (ii) 53.5% growth in revenue related to our commerce solutions, as continued customer adoption has resulted in an increase in payment volume; and (iii) 7.8% growth in revenues due to continued customer adoption of our subscription-based products designed to establish and grow an online presence.

Current wording

For the three months ended September 30, 2024, the 16.5% increase in A&C revenue was driven by: (i) 20.5% growth in revenue related to our productivity applications, most notably from our pricing and bundling initiatives; (ii) 8.7% growth in revenues due to continued customer adoption of our subscription-based products designed to establish and grow an online presence; and (iii) 60.0% growth in revenue related to our commerce solutions, as continued customer adoption has resulted in an increase in payment volume.

Previous wording

For the six months ended June 30, 2024, the 14.4% increase in A&C revenue was driven by: (i) 18.5% growth in revenue related to our productivity applications, most notably from our pricing and bundling initiatives; (ii) 8.0% growth in revenues due to continued customer adoption of our subscription-based products designed to establish and grow an online presence; and (iii) 48.1% growth in revenue related to our commerce solutions, as continued customer adoption has resulted in an increase in payment volume.

Current wording

For the nine months ended September 30, 2024, the 15.1% increase in A&C revenue was driven by: (i) 19.2% growth in revenue related to our productivity applications, most notably from our pricing and bundling initiatives; (ii) 8.3% growth in revenues due to continued customer adoption of our subscription-based products designed to establish and grow an online presence; and (iii) 52.1% growth in revenue related to our commerce solutions, as continued customer adoption has resulted in an increase in payment volume.

Previous wording

For the three months ended June 30, 2024, the 3.2% increase in Core revenue was driven by 6.6% growth in domain registration and add-on revenues and 10.4% growth in aftermarket revenues due to increasing sales volume and higher average selling prices. Partially offsetting these increases was a 11.4% decrease in hosting revenues primarily due to end-of-life migrations from certain products and disposition of certain hosting assets.

Current wording

For the three months ended September 30, 2024, the 2.6% increase in Core revenue was driven by 7.1% growth in domain registration and add-on revenues. Partially offsetting this increase was an 8.1% decrease in hosting revenues primarily due to end-of-life migrations from certain products and disposition of certain hosting assets.

Previous wording

For the six months ended June 30, 2024, the 3.6% increase in Core revenue was driven by 6.8% growth in domain registration and add-on revenues and 11.3% growth in aftermarket revenues due to increasing sales volume. Partially offsetting these increases was a 10.5% decrease in hosting revenues primarily due to end-of-life migrations from certain products and disposition of certain hosting assets.

Current wording

For the nine months ended September 30, 2024, the 3.2% increase in Core revenue was driven by 6.9% growth in domain registration and add-on revenues and 7.2% growth in aftermarket revenues due to increased sales volume. Partially offsetting these increases was a 9.8% decrease in hosting revenues primarily due to end-of-life migrations from certain products and disposition of certain hosting assets.

Previous wording

The 10.6% and 10.0% increases in total bookings for the three and six months ended June 30, 2024, respectively, were driven by continued customer adoption of our productivity solutions and related add-ons as well as price increases, strength in domains and aftermarket, and continued strong adoption of our website-building presence products and commerce solutions. These increases were partially offset by decreased hosting bookings following the divestiture of certain hosting assets.

Current wording

The 9.0% and 9.7% increases in total bookings for the three and nine months ended September 30, 2024, respectively, were driven by continued customer adoption of our productivity solutions and related add-ons as well aspricing and bundling initiatives, strength in domains, and continued strong adoption of our website-building presence products and commerce solutions.

Previous wording

Costs of revenue are primarily the direct costs incurred in connection with selling an incremental product to our customers. Substantially all cost of revenue relates to domain registration fees, payment processing fees, third-party commissions and licensing fees for third-party productivity applications. Similar to our billing practices, we pay domain costs at the time of purchase for the life of each subscription but recognize the costs of service ratably over the term of our customer contracts. The terms for domain costs are established by agreements between registries and registrars and can vary significantly depending on the top-level domain (TLD). We expect cost of revenue to increase in absolute dollars in future periods due to increased sales of domains and third-party productivity applications. However, cost of revenue may fluctuate as a percentage of total revenue, depending on the mix of products sold in a particular period.

Current wording

Cost of revenue primarily represents the direct costs incurred in connection with selling an incremental product to our customers. Such costs primarily relate to domain registration fees, payment processing fees, third-party commissions and licensing fees for third-party productivity applications. Similar to our billing practices, we pay domain costs at the time of purchase for the life of each subscription but recognize the costs of service ratably over the term of our customer contracts. The terms for domain costs are established by agreements between registries and registrars and can vary significantly depending on the top-level domain (TLD). We expect cost of revenue to increase in absolute dollars in future periods due to increased sales of domains and third-party productivity applications. However, cost of revenue may fluctuate as a percentage of total revenue, depending on the mix of products sold in a particular period.

Previous wording

The 6.2% increase in cost of revenue for the six months ended June 30, 2024 was driven by: (i) 6.8% growth in domain registration and add-on revenues and 11.3% growth in aftermarket revenues; (ii) 18.5% growth in revenue related to our productivity applications, most notably our pricing and bundling initiatives; and (iii) 48.1% growth in revenue related to our commerce solutions.

Current wording

The 2.6% increase in cost of revenue for the three months ended September 30, 2024 was driven by: (i) 7.1% growth in domain registration and add-on revenues; (ii) 20.5% growth in revenue related to our productivity applications, most notably our pricing and bundling initiatives; and (iii) 60.0% growth in revenue related to our commerce solutions.

Previous wording

The 5.1% increase in cost of revenue for the three months ended June 30, 2024 was driven by: (i) 6.6% growth in domain registration and add-on revenues and 10.4% growth in aftermarket revenues; (ii) 19.6% growth in revenue related to our productivity applications, most notably our pricing and bundling initiatives; and (iii) 53.5% growth in revenue related to our commerce solutions.

Current wording

The 5.0% increase in cost of revenue for the nine months ended September 30, 2024 was driven by: (i) 6.9% growth in domain registration and add-on revenues and 7.2% growth in aftermarket revenues; (ii) 19.2% growth in revenue related to our productivity applications, most notably our pricing and bundling initiatives; and (iii) 52.1% growth in revenue related to our commerce solutions.

Previous wording

Technology and development expenses represent the costs associated with the creation, development and distribution of our products and websites. These expenses primarily consist of personnel costs associated with the design, development, deployment, testing, operation and enhancement of our products, as well as costs associated with the data centers and systems infrastructure supporting those products, excluding depreciation expense. We expect technology and development expenses to decrease as a percentage of revenue in future periods following a period of investment in product development and migration toward a unified infrastructure platform.

Current wording

Technology and development expenses represent the costs associated with the creation, development and distribution of our products and websites. These expenses primarily consist of personnel costs associated with the design, development, deployment, testing, operation and enhancement of our products, as well as costs associated with the operation of our data centers and systems infrastructure supporting those products, excluding depreciation expense. We expect technology and development expenses to decrease as a percentage of revenue in future periods following a period of investment in product development and migration toward a unified infrastructure platform.

Previous wording

The 6.1% decrease in technology and development expenses for the three months ended June 30, 2024 was attributable to a $5.9 million decrease in personnel costs driven by lower average headcount and a $4.1 million decrease in data center and systems infrastructure costs driven by migration towards a unified infrastructure platform.

Current wording

The 1.7% increase in technology and development expenses for the three months ended September 30, 2024 was attributable to a $6.8 million increase in public cloud cost offset by a $2.5 million decrease in data center and systems infrastructure costs as we migrate to a cloud-based infrastructure.

Previous wording

The 5.8% decrease in technology and development expenses for the six months ended June 30, 2024 was attributable to a$9.9 million decrease in personnel costs driven by lower average headcount, a $6.6 million decrease in data center and systems infrastructure costs driven by migration towards a unified infrastructure platform and a $3.3 million decrease in professional fees.

Current wording

The 3.4% decrease in technology and development expenses for the nine months ended September 30, 2024 was attributable to a $9.1 million decrease in personnel costs driven by lower average headcount, and a $7.5 million decrease in legal, professional, and technology license costs. Additionally, data center and systems infrastructure costs decreased by $11.5 million, offset by an $8.8 million increase in public cloud cost as we migrate to a cloud-based infrastructure.

Previous wording

There were no material changes in marketing and advertising expenses for the three and six months ended June 30 2024.

Current wording

There were no material changes in marketing and advertising expenses for the three and nine months ended September 30, 2024.

Previous wording

The 5.7% and 3.1% decreases in customer care for the three and six months ended June 30, 2024 were attributable to decreases of $4.3 million and $6.2 million, respectively, in personnel costs driven by lower average headcount in conjunction with cost optimization initiatives.

Current wording

The 9.0% and 5.0% decreases in customer care for the three and nine months ended September 30, 2024 were attributable to decreases of $7.3 million and $13.7 million, respectively, in personnel costs driven by lower average headcount in conjunction with cost optimization initiatives.

Previous wording

General and administrative expenses primarily consist of personnel costs for our administrative functions, professional service fees, office rent for all locations, all employee travel expenses, acquisition-related expenses and other general costs. We expect general and administrative expenses to fluctuate depending on the level of personnel and other administrative costs required to support our business as well as the significance of any strategic acquisitions we choose to pursue.

Current wording

General and administrative expenses primarily consist of personnel costs for our administrative functions, professional service fees, office rent for all locations, acquisition-related expenses and other general costs. We expect general and administrative expenses to fluctuate depending on the level of personnel and other administrative costs required to support our business as well as the significance of any strategic acquisitions we choose to pursue.

Previous wording

There were no material changes in general and administrative expenses.

Current wording

There were no material changes in general and administrative expenses for the three and nine months ended September 30, 2024.

Previous wording

Restructuring and other was $6.9 million for the three months ended June 30, 2024 which includes$6.0 million of costs incurred pursuant to restructuring activities, as further discussed in Note 13 to our financial statements. For the six months ended June 30, 2024, restructuring and other was $29.3 million which includes $17.5 million of costs incurred pursuant to restructuring activities and $6.0 million of expense related to the abandonment of certain operating leases, as further discussed in Note 13 to the financial statements.

Current wording

Restru cturing and other was $29.7 million for the nine months ended September 30, 2024 which includes $17.4 million in severance, employee benefits and equity-based compensation and $5.7 million of expense related to the abandonment of certain operating leases, as further discussed in Note 13 to the financial statements.

Previous wording

Restructuring and other was $69.8 million for the six months ended June 30, 2023, which included $33.8 million incurred pursuant to restructuring activities and a $16.8 million loss on disposal in connection with the sale of certain assets and liabilities of our hosting business within our Core segment. In addition, during the three and six months ended June 30, 2023, we recorded a charge of$17.0 million related to the termination of a revenue sharing agreement.

Current wording

Restructuring and other was $9.8 million and $79.6 million for the three and nine months ended September 30, 2023, respectively. These costs were primarily incurred pursuant to restructuring activities in the first and third quarters of 2023. For the three and nine months ended September 30, 2023, we recognized $10.0 million and $43.8 million, respectively, in severance, employee benefits and equity-based compensation. Additionally, during the nine months ended September 30, 2023, we recognized a $16.8 million loss on disposal in connection with the sale of certain assets and liabilities of our hosting business within our Core segment as well as a charge of $17.0 million related to the termination of a revenue sharing agreement.

Previous wording

The 23.9% and 23.6% decreases for the three and six months ended June 30, 2024 were attributable to decreases of $6.9 million and$19.2 million, respectively, in amortization of acquired intangible assets driven by certain intangible assets reaching the end of their useful lives.

Current wording

The 19.2% and 22.2% decreases for the three and nine months ended September 30, 2024 were attributable to decreases of $4.3 million and $23.5 million, respectively, in amortization of acquired intangible assets driven by certain intangible assets reaching the end of their useful lives.

Previous wording

The 13.4% and 11.6% decreases in interest expense for the three and six months ended June 30, 2024, respectively, were attributable to the refinancing of the 2029 Term Loans in July 2023 and January 2024, which reduced our interest margin. See Note 9 to our financial statements for additional discussion.

Current wording

The 10.5% and 11.2% decreases in interest expense for the three and nine months ended September 30, 2024, respectively, were attributable to the refinancings of the 2029 Term Loans in July 2023 and January 2024 and of the 2027 Term Loans in May 2024, which reduced our interest margin. See Note 9 to our financial statements for additional discussion.

Previous wording

The change for other income (expense), net for the three months ended June 30, 2024 was not material.

Current wording

The change in other income (expense), net for the three months ended September 30, 2024 was not material.

Previous wording

The 39.1% decrease in other income (expense), net for the six months ended June 30, 2024 was attributable to a $12.1 million increase in the carrying value of one of our equity investments during the six months ended June 30, 2023. See Note 2 to our financial statements for additional information regarding our equity investments.

Current wording

The 31.4% decrease in other income (expense), net for the nine months ended September 30, 2024 was attributable to a $12.1 million increase in the carrying value of one of our equity investments during the nine months ended September 30, 2023. See Note 2 to our financial statements for additional information regarding our equity investments.

Previous wording

In 2024, we recognized a loss on debt extinguishment for the three and six months ended June 30, 2024 of $2.1 million and $3.1 million, respectively, primarily related to the refinancing of the 2027 and 2029 Term Loans. See Note 9 to our financial statements for additional discussion.

Current wording

During the nine months ended September 30, 2024, we recognized a loss on debt extinguishment of $3.1 million related to the refinancing of the 2027 and 2029 Term Loans. During the three and nine months ended September 30, 2023, we recognized a loss on debt extinguishment of $1.5 million related to the refinancing of the 2029 Term Loans. See Note 9 to our financial statements for additional discussion.

Previous wording

The 23.8% increase in A&C Segment EBITDA for the three months ended June 30, 2024 was attributed to a $53.9 million increase in revenue as described above. This increase was partially offset by an increase in cost of revenue resulting from 19.6% growth in revenue related to our productivity applications, most notably our pricing and bundling initiatives, a 53.5% growth in revenue related to our commerce solutions and a $6.8 million increase in operating expenses (excluding acquisition-related costs, equity-based compensation expense and depreciation and amortization) attributable to higher marketing and technology and development costs.

Current wording

The 26.1% increase in A&C Segment EBITDA for the three months ended September 30, 2024 was attributed to a $59.8 million increase in revenue as described above. This increase was partially offset by an increase in cost of revenue resulting from 20.5% growth in revenue related to our productivity applications, a 60.0% growth in revenue related to our commerce solutions and a $8.3 million increase in operating expenses (excluding acquisition-related costs, equity-based compensation expense and depreciation and amortization) attributable to higher marketing and technology and development costs.

Previous wording

The 23.0% increase in A&C Segment EBITDA for the six months ended June 30, 2024 was attributed to a $99.0 million increase in revenue as described above. This increase was partially offset by an increase in cost of revenue resulting from 18.5% growth in revenue related to our productivity applications, most notably our pricing and bundling initiatives, a 48.1% growth in revenue related to our commerce solutions, and a $6.6 million increase in operating expenses (excluding acquisition-related costs, equity-based compensation expense and depreciation and amortization) attributable to higher customer care and marketing costs.

Current wording

The 24.1% increase in A&C Segment EBITDA for the nine months ended September 30, 2024 was attributed to a $158.8 million increase in revenue as described above. This increase was partially offset by an increase in cost of revenue resulting from 19.2% growth in revenue related to our productivity applications, a 52.1% growth in revenue related to our commerce solutions, and a $13.4 million increase in operating expenses (excluding acquisition-related costs, equity-based compensation expense and depreciation and amortization) attributable to higher technology and development costs and marketing costs.

Previous wording

The 14.9% increase in Core Segment EBITDA for the three months ended June 30, 2024 was attributed to a $22.5 million increase in revenue as described above and a $12.9 million decrease in operating expenses (excluding acquisition-related costs, equity-based compensation expense and depreciation and amortization) attributable to lower customer care and technology and development costs. Partially offsetting these increases was an increase in cost of revenue due to 6.6% growth in domain registration and add-on revenues and 10.4% growth in aftermarket revenues.

Current wording

The 14.6% increase in Core Segment EBITDA for the three months ended September 30, 2024 was attributed to a $18.1 million increase in revenue as described above and a $9.5 million decrease in operating expenses (excluding acquisition-related costs, equity-based compensation expense and depreciation and amortization) attributable to lower customer care and marketing costs. Partially offsetting these increases was an increase in cost of revenue due to 7.1% growth in domain registration and add-on revenues.

Previous wording

The 14.8% increase in Core Segment EBITDA for the six months ended June 30, 2024 was attributed to a $49.9 million increase in revenue as described above and a $26.1 million decrease in operating expenses (excluding acquisition-related costs and equity-based compensation expense and depreciation and amortization) attributable to lower marketing, customer care and technology and development costs. Partially offsetting these increases was an increase in cost of revenue due to 6.8% growth in domain registration and add-on revenues and 11.3% growth in aftermarket revenues.

Current wording

The 14.7% increase in Core Segment EBITDA for the nine months ended September 30, 2024 was attributed to a $68.0 million increase in revenue as described above and a $35.9 million decrease in operating expenses (excluding acquisition-related costs and equity-based compensation expense and depreciation and amortization) attributable to lower marketing, customer care and technology and development costs. Partially offsetting these increases was an increase in cost of revenue due to 6.9% growth in domain registration and add-on revenues and 7.2% growth in aftermarket revenues.

Previous wording

Our principal sources of liquidity have been cash flow generated from operations and long-term debt borrowings. Our principal uses of cash have been to fund operations, acquisitions and capital expenditures, as well as to make mandatory principal and interest payments on our long-term debt and to repurchase shares of our Class A common stock. Our liquidity position also benefits from U.S. and state deferred tax assets (DTAs) such that we have not historically paid a significant amount of U.S. federal or state income taxes. We acquired the right to benefit from the majority of our DTAs when we settled the Tax Receivable Agreements (collectively TRA Settlement Agreements) in 2020. In connection with executing the TRA Settlement Agreements, we paid $850.0 million for approximately $1,400.0 million of cash tax benefits, with substantially all of them expected to be realized within the next ten years.

Current wording

Our principal sources of liquidity have been cash flow generated from operations and long-term debt borrowings. Our principal uses of cash have been to fund operations, acquisitions and capital expenditures, as well as to make mandatory principal and interest payments on our long-term debt and to repurchase shares of our Class A common stock. Our liquidity position also benefits from U.S. and state deferred tax assets (DTAs) such that we have not historically paid a significant amount of U.S. federal or state income taxes. We acquired the right to benefit from the majority of our DTAs when we settled certain tax receivable agreements (collectively TRA Settlement Agreements) in 2020.

Previous wording

We have incurred significant long-term debt and as a result, we are limited as to how we conduct our business and may be unable to raise additional debt or equity financing to compete effectively or to take advantage of new business opportunities, strategic acquisitions or share repurchases. However, the restrictions under our long-term debt agreements are subject to a number of qualifications and may be amended with the consent of the lenders and the holders of the our Senior Notes due in 2027 (the 2027 Senior Notes) and Senior Notes due in 2029 (the 2029 Senior Notes, and with the 2027 Senior Notes, the Senior Notes), as applicable.

Current wording

We have incurred significant long-term debt and as a result, we are limited as to how we conduct our business and may be unable to raise additional debt or equity financing to compete effectively or to take advantage of new business opportunities, strategic acquisitions or share repurchases. However, the restrictions under our long-term debt agreements are subject to a number of qualifications and may be amended from time to time with the consent of the lenders and the holders of our Senior Notes, as applicable.