GoDaddy Inc.
For the period ended Sep 30, 2026. Filed Oct 30, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2026 · Filed Oct 30, 2026
GDDY$114.38-4.8%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-06-30; filed 2026-07-31.
0001609711-26-000088
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-09-30; filed 2026-10-30.
0001609711-26-000120
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 111 previous paragraphs and 110 current paragraphs.
73 unchanged; 31 reworded; 6 added; 7 removed; 0 previous and 0 current paragraphs rearranged.
Tables are not compared: 19 previous and 19 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (6)
Current report
Consolidated Third Quarter Financial Highlights
Current report
•Total revenue of $1,341.8 million, an increase of 6.0% on a reported and constant currency basis(1).
Current report
•International revenue of $435.5 million, an increase of 3.1%, or approximately 3.0% on a constant currency basis(1).
Current report
•Operating income of $362.5 million, an increase of 22.2%.
Current report
•Net income of $261.8 million, an increase of 24.4%.
Current report
•Normalized EBITDA(2) of $449.3 million, an increase of 10.0%.
Removed paragraphs (7)
Previous report
Consolidated Second Quarter Financial Highlights
Previous report
•Total revenue of $1,298.0 million, an increase of 6.6%, or approximately 6.3% on a constant currency basis(1).
Previous report
•International revenue of $427.1 million, an increase of 7.9%, or approximately 7.1% on a constant currency basis(1).
Previous report
•Operating income of $342.5 million, an increase of 28.6%.
Previous report
•Net income of $240.1 million, an increase of 20.1%.
Previous report
•Normalized EBITDA(2) of $434.1 million, an increase of 13.7%.
Previous report
(1)Not meaningful
Reworded paragraphs (31)
Previous wording
•Total bookings of $1,422.1 million, an increase of 5.7%, or 5.2% on a constant currency basis(1).
Current wording
•Total bookings of $1,431.7 million, an increase of 5.7% on a reported and constant currency basis(1).
Previous wording
•Net cash provided by operating activities of $442.5 million, an increase of 16.5%.
Current wording
•Net cash provided by operating activities of $487.7 million, an increase of 9.8%.
Previous wording
(1)In addition to the restructuring and other in our statements of operations, other charges are primarily composed of lease-related expenses associated with closed facilities, charges related to certain legal matters, expenses incurred in relation to the refinancing of our long-term debt, acquisition-related expenses, and incremental expenses associated with certain professional services.
Current wording
(1)In addition to the restructuring and other in our statements of operations, other charges 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, acquisition-related expenses, and incremental expenses associated with certain professional services.
Previous wording
Total revenue increased 6.6% and 6.3% for the three and six months ended June 30, 2026, respectively, due to the increases in our A&C and Core revenues, as described below:
Current wording
Total revenue increased 6.0% and 6.2% for the three and nine months ended September 30, 2026, respectively, due to the increases in our A&C and Core revenues, as described below:
Previous wording
The $50.9 million, or 11.0%, increase in A&C revenue for the three months ended June 30, 2026, and the $102.7 million, or 11.3%, increase in A&C revenue for the six months ended June 30, 2026 was due to continued customer adoption of our subscription-based products.
Current wording
The $43.3 million, or 9.0%, increase in A&C revenue for the three months ended September 30, 2026, and the $146.0 million, or 10.5%, increase in A&C revenue for the nine months ended September 30, 2026 was due to continued customer adoption of our subscription-based products.
Previous wording
The $29.5 million, or 3.9%, increase in Core revenue for the three months ended June 30, 2026 was driven by $22.6 million growth in domain registration and add-on revenues and $10.4 million growth in aftermarket revenue.
Current wording
The $33.2 million, or 4.2%, increase in Core revenue for the three months ended September 30, 2026 was driven by $26.2 million growth in domain registration and add-on revenues and $14.3 million growth in aftermarket revenue.
Previous wording
The $50.3 million, or 3.3%, increase in Core revenue for the six months ended June 30, 2026 was driven by $45.5 million growth in domain registration and add-on revenues and $11.9 million growth in aftermarket revenue.
Current wording
The $83.5 million, or 3.7%, increase in Core revenue for the nine months ended September 30, 2026 was driven by $71.7 million growth in domain registration and add-on revenues and $26.2 million growth in aftermarket revenue.
Previous wording
The $76.8 million, or 5.7%, increase in total bookings for the three months ended June 30, 2026, and the $115.1 million, or 4.2%, increase in total bookings for the six months ended June 30, 2026 were driven by continued customer adoption of our subscription-based A&C products and strength in domain registration and aftermarket.
Current wording
The $77.2 million, or 5.7%, increase in total bookings for the three months ended September 30, 2026, and the $192.3 million, or 4.7%, increase in total bookings for the nine months ended September 30, 2026 were driven by strength in domain registration and aftermarket. Additionally, the increases were driven by continued customer adoption of our subscription-based A&C products, including growth in productivity solutions driven by targeted pricing actions taken earlier this year, partially offset by lower unit volume as customers renewed email accounts with fewer seats.
Previous wording
Cost of revenue is primarily the direct costs we incur in connection with selling an incremental product to our customers. Substantially all cost primarily relates to domain registration fees, fees for third-party productivity applications, third-party commissions and payment processing fees. 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 subscription-based products. 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 is primarily the direct costs we incur in connection with selling an incremental product to our customers. Substantially all costs primarily relate to domain registration fees, fees for third-party productivity applications, third-party commissions and payment processing fees. 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 subscription-based products. 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% and 5.2% increases in cost of revenue for the three and six months ended June 30, 2026, respectively, were driven by the increases in revenue described above.
Current wording
The 6.5% and 5.7% increases in cost of revenue for the three and nine months ended September 30, 2026, respectively, were driven by the increases in revenue described above.
Previous wording
There was no material change in technology and development expenses for the three and six months ended June 30, 2026.
Current wording
There was no material change in technology and development expenses for the three and nine months ended September 30, 2026.
Previous wording
The $12.2 million, or 6.3%, decrease in marketing and advertising expenses for the six months ended June 30, 2026, was attributable to the timing of discretionary advertising spend.
Current wording
The $12.5 million, or 4.4%, decrease in marketing and advertising expenses for the nine months ended September 30, 2026, was attributable to a decrease in personnel costs.
Previous wording
There was no material change in customer care expenses for the three and six months ended June 30, 2026.
Current wording
There was no material change in customer care expenses for the three and nine months ended September 30, 2026.
Previous 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.
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.
Previous wording
The $12.5 million, or 6.4%, decrease in general and administrative expenses for the six months ended June 30, 2026, was attributable to a $6.4 million decrease in legal and professional costs.
Current wording
The $12.1 million, or 4.2%, decrease in general and administrative expenses for the nine months ended September 30, 2026, was attributable to a $5.5 million decrease in legal and professional costs.
Previous wording
The $17.3 million, or 56.5%, decrease in depreciation and amortization expense for the three months ended June 30, 2026 was attributable to a $15.1 million decrease in amortization of intangible assets driven by certain intangible assets reaching the end of their useful lives.
Current wording
The $15.7 million, or 55.3%, decrease in depreciation and amortization expense for the three months ended September 30, 2026 was attributable to a $13.7 million decrease in amortization of intangible assets driven by certain intangible assets reaching the end of their useful lives.
Previous wording
The $23.9 million, or 38.9%, decrease in depreciation and amortization expense for the six months ended June 30, 2026 was attributable to a $19.5 million decrease in amortization of intangible assets driven by certain intangible assets reaching the end of their useful lives.
Current wording
The $39.6 million, or 44.1%, decrease in depreciation and amortization expense for the nine months ended September 30, 2026 was attributable to a $33.8 million decrease in amortization of intangible assets driven by certain intangible assets reaching the end of their useful lives.
Previous wording
There was no material change in interest expense for the three and six months ended June 30, 2026.
Current wording
There was no material change in interest expense for the three and nine months ended September 30, 2026.
Previous wording
There was no material change in other income (expense), net for the three and six months ended June 30, 2026.
Current wording
There was no material change in other income (expense), net for the three and nine months ended September 30, 2026.
Previous wording
The $37.7 million increase in provision for income taxes for the three months ended June 30, 2026 was driven by higher pre-tax book income and a decrease in excess tax benefits related to stock-based compensation.
Current wording
The $14.3 million increase in provision for income taxes for the three months ended September 30, 2026 was driven by higher pre-tax book income and a decrease in excess tax benefits related to stock-based compensation.
Previous wording
The $104.5 million increase in provision for income taxes for the six months ended June 30, 2026 was driven by higher pre-tax book income and a decrease in excess tax benefits related to stock-based compensation. Additionally, there was a one-time benefit for the recognition of an uncertain tax position of $34.6 million during the three months ended March 31, 2025.
Current wording
The $118.8 million increase in provision for income taxes for the nine months ended September 30, 2026 was driven by higher pre-tax book income and a decrease in excess tax benefits related to stock-based compensation. Additionally, there was a one-time benefit associated with the resolution of an uncertain tax position of $34.6 million during the three months ended March 31, 2025.
Previous wording
The $35.3 million, or 17.2%, increase in A&C Segment EBITDA for the three months ended June 30, 2026 was attributed to a $50.9 million increase in revenue as described above, partially offset by an $11.2 million increase in cost of revenue.
Current wording
The $26.1 million, or 11.9%, increase in A&C Segment EBITDA for the three months ended September 30, 2026 was attributed to a $43.3 million increase in revenue as described above. The increase was partially offset by an $11.0 million increase in cost of revenue consistent with the increase in revenue.
Previous wording
The $63.6 million, or 15.8%, increase in A&C Segment EBITDA for the six months ended June 30, 2026 was attributed to a $102.7 million increase in revenue as described above. This increase was partially offset by a $26.4 million increase in cost of revenue and an $8.9 million increase in technology and development costs (excluding acquisition-related costs and equity-based compensation expense).
Current wording
The $89.7 million, or 14.4%, increase in A&C Segment EBITDA for the nine months ended September 30, 2026 was attributed to a $146.0 million increase in revenue as described above. This increase was partially offset by a $37.4 million increase in cost of revenue consistent with the increase in revenue and a $12.9 million increase in technology and development costs (excluding acquisition-related costs and equity-based compensation expense).
Previous wording
The $15.8 million, or 6.4%, increase in Core Segment EBITDA for the three months ended June 30, 2026 was attributed to a $29.5 million increase in revenue as described above, partially offset by a $16.1 million increase in cost of revenue.
Current wording
The $10.4 million, or 4.0%, increase in Core Segment EBITDA for the three months ended September 30, 2026 was attributed to a $33.2 million increase in revenue as described above. The increase was partially offset by a $19.6 million increase in cost of revenue consistent with the increase in revenue.
Previous wording
The $34.0 million, or 7.1%, increase in Core Segment EBITDA for the six months ended June 30, 2026 was attributed to a $50.3 million increase in revenue as described above, partially offset by a $19.6 million increase in cost of revenue.
Current wording
The $44.4 million, or 6.0%, increase in Core Segment EBITDA for the nine months ended September 30, 2026 was attributed to a $83.5 million increase in revenue as described above. The increase was partially offset by a $39.2 million increase in cost of revenue consistent with the increase in revenue.
Previous wording
We believe our existing cash and cash equivalents and cash generated by operating activities will be sufficient to meet our anticipated operating cash needs for at least the next 12 months. However, our future capital requirements will depend on many factors, including our growth rate, macroeconomic activity, the timing and extent of spending to support domestic and international development efforts, continued brand development and advertising spend, the level of customer care and general and administrative activities, the introduction of new and enhanced product offerings, the costs to support new and replacement capital equipment, the impact of legal proceedings on our liquidity, the completion of strategic acquisitions or share repurchases. Should we pursue additional strategic acquisitions or share repurchases, we may need to raise additional capital, which may be in the form of long-term debt or equity financings.
Current wording
We believe our existing cash and cash equivalents and cash generated by operating activities will be sufficient to meet our anticipated operating cash needs for at least the next 12 months. However, our future capital requirements will depend on many factors, including our growth rate, macroeconomic activity, the timing and extent of spending to support domestic and international development efforts, continued brand development and advertising spend, the level of customer care and general and administrative activities, the introduction of new and enhanced product offerings, the costs to support new and replacement capital equipment, the impact of legal proceedings on our liquidity, and the completion of strategic acquisitions or share repurchases. Should we pursue additional strategic acquisitions or share repurchases, we may need to raise additional capital, which may be in the form of long-term debt or equity financings.
Previous wording
Net cash provided by operating activities increased $129.4 million driven by an increase in bookings as well as working capital movements.
Current wording
Net cash provided by operating activities increased $172.9 million driven by an increase in bookings.
Previous wording
There was no material change in net cash used in investing activities.
Current wording
Net cash used in investing activities increased $19.9 million driven by registry rights application fees paid in connection with our participation in ICANN's 2026 New gTLD Program.
Previous wording
Net cash used in financing activities increased $46.8 million driven by higher share repurchases.
Current wording
Net cash used in financing activities decreased $57.4 million driven by lower share repurchases.
Previous wording
Our long-term debt agreements contain covenants restricting, among other things, our ability, or the ability of our subsidiaries, to incur indebtedness, issue certain types of equity, incur liens, enter into fundamental changes including mergers and consolidations, sell assets, make restricted payments including dividends, distributions and investments, prepay junior indebtedness and engage in operations other than in connection with acting as a holding company, subject to customary exceptions. As of June 30, 2026, we were in compliance with all such covenants and had $998.0 million available for borrowing under the Revolver.
Current wording
Our long-term debt agreements contain covenants restricting, among other things, our ability, or the ability of our subsidiaries, to incur indebtedness, issue certain types of equity, incur liens, enter into fundamental changes including mergers and consolidations, sell assets, make restricted payments including dividends, distributions and investments, prepay junior indebtedness and engage in operations other than in connection with acting as a holding company, subject to customary exceptions. As of September 30, 2026, we were in compliance with all such covenants and had $1.2 billion available for borrowing under the Revolver.
Previous wording
In April 2025, the board approved the repurchase of up to $3.0 billion of our Class A common stock through the end of 2027 as further discussed in Note 4 to the financial statements. During the six months ended June 30, 2026, we repurchased a total of approximately 9.6 million shares of our Class A common stock, which were retired upon repurchase, for an aggregate purchase price of $833.6 million.
Current wording
In April 2025, the board of directors approved the repurchase of up to $3.0 billion of our Class A common stock through the end of 2027 as further discussed in Note 4 to the financial statements. During the nine months ended September 30, 2026, we repurchased a total of approximately 14.6 million shares of our Class A common stock, which were retired upon repurchase, for an aggregate purchase price of $1,311.0 million.