GoDaddy filed its S-1 today to go public. I’ve skimmed the 250 pages to compile these seven data points that weren’t previously known.
1. GoDaddy has a lot of customers: 11.548M, to be exact.
2. The company had 2013 revenue of $1.13B. It breaks down like this: $672M from domains (and add-ons like privacy), $381M from hosting and $77M from business apps. Oh, and 24% of the revenue comes from its Customer Service reps selling to customers.
3. Its GAAP loss was $199.9M last year, but its adjusted profit was a positive $199.0 million.
4. GoDaddy paid $94.48M in cash for hosting company Media Temple last year.
5. We don’t know how much it paid to buy Afternic last year. The company grouped its four acquisitions last year (other than Media Temple) into one group in the filing, stating that it paid close to $70 million in cash and equities for the lot. The only hint at Afternic’s size is that GoDaddy paid about $2.1 million in third party commissions last quarter to Afternic partners.
6. It paid $17.8 million cash plus $1.9M equity to acquire Outright in 2012.
7. Bob Parsons told me he was the largest single shareholder after the private equity deal, and that’s still the case. By ten basis points. Parsons owns 28.1% of the company. Investors KKR and Silverlake own 28.0%.
8. New(ish) CEO Blake Irving gets paid a $1 million salary with a target bonus that doubles that. Throw in the value of options and his total pay package is over $10 million.
michael berkens says
At $10M, Blake is underpaid
Anticareer says
1% of revenue towards the CEO pay is not underpaid for a company of this size. It also depends on what the organic growth rate he is driving the company at is.
kd says
Andrew – where did you read they spent almost $70 million for Afternic + 3 others? I can’t see that anywhere.
Andrew Allemann says
Page F-36
Lance says
Great facts. Its always a rush to read/see a private monster having to layout publicly only what was speculated now outlined. We should have had a pool going on the numbers.
Joseph Peterson says
Not a company run out of the basement, to be sure.
Bonjour says
To be sure, GD has had a good run, but I think that after the gtld’s fail, the secondary reseller market is going to kick in and they will need to survive solely on renewals and add on services.
Raymond Hackney says
The new gtlds are not failing for them, they may fail for domain investors but they are just another revenue stream that came out of nowhere thanks to ICANN.
Andrew Allemann says
By the way, the filing said they had registered 180k new tlds as of end of Q1.
Doug Mehus says
Can you confirm whether or not Silver Lake Partners and KKR & Co. each own 28% or if that stake is combined?
If it’s the latter, that makes no sense as GoDaddy clearly stated in a press release a few years ago, when they did the private equity deal, that something like 70% of the company was being sold.
The only way I can possibly see it being any less than that is due to a substantial amount of equity issuing activity, either through employee stock option and purchase programs or through additional funding rounds that weren’t announced (is that even possible?) that caused the existing shareholders’ stakes to be massively diluted by 40%.
A clear breakdown of their current shareholder base would be appreciated – and warranted.
Cheers,
Doug M.
Andrew Allemann says
Parsons kept 28.8%, so basically 70% went was sold. Both Silverlake and KKR EACH had 28.0%. They also had Technology Crossover Ventures in there.
Doug Mehus says
Oh okay, thanks Andrew. Thanks for clearing that up.
I re-read your original post on the PE deal from 2011 and it also sounds like the employees, pre-PE deal, owned 22%. There must’ve been some additional equity issued at some point as part of the PE deal to cause the dilution.
I’d love to see their “Statement of Comprehensive Changes to Shareholders’ Equity” going back several years. I wonder if they’ll post that eventually, as part of a sort of 5- or 10-year statistical analysis appendix in their upcoming 10-K? 😉
Cheers,
Doug M.
Andrew Allemann says
Keep in mind that 22% was in options, not granted equity. It may well have been “phantom options” as well.
Doug Mehus says
Ah, very true. Forgot that much of that would’ve been in options. And, presumably, Parsons was one of the major sellers of to the three PE firms (I suspect he owned over 50-60% of the company pre-PE deal).
It’s going to be very exciting, if GoDaddy’s IPO goes through this time (think they’ll rely on the success of the Rightside & Alibaba IPOs with a potential September listing?) and if the Rightside spin-off goes ahead as planned, we’ll essentially have all of the top domain name registrars (and most of the registries, sans Afilias and Donuts) as public companies from whom we can glean additional data from public filings. GoDaddy, Rightside, Tucows, VeriSign, NeuStar, Mind & Machines group, Web.com Group (i.e., Register.com, Network Solutions), Endurance International Group (through its Domain.com, Dotster/MyDomain, BlueHost/FastDomain and DirectI divisions/subsidiaries), not to mention Google (though I suspect they’ll be rather opaque about their registry operations – any idea when .SOY and other domains will move to general availability? and, has Web.com been confirmed as the .WEB registry operator yet?).
I’d be curious to know when you think many of the contested gTLD applications will be resolved. Will he finally see it this year and could see still see a .HOME gTLD? I’d also like to see .MONEY launch this summer – would be the best for a personal finance blog, in my opinion.
Cheers,
Doug