Domain names represent slow growth at GoDaddy.
GoDaddy (NYSE:GDDY) reported its first quarter results today, and it’s no wonder the company has diversified out of the core domain name market.
The company had first quarter revenue of $433.7 million, up 15.3% year over year and 2% quarter over quarter.
Its domain name revenue hit $218.9 million, up 9.9% year over year. But that’s up just $0.8 million from its domain revenue in Q4.
Q1 is seasonally a good quarter for domain names, but keep in mind that the company has to recognize its revenue from domain registrations over the life of the registration.
GoDaddy’s Hosting and Presence and Business Applications lines saw stronger growth.
The company raised its forecast for 2016, forecasting $1,830 – $1,845 million revenue and an adjusted EBITDA range of $404 – $414 million.