GoDaddy recovers from huge loss as revenue jumps
The European arm of GoDaddy, the US internet domain registry and web hosting company, has returned to the black after recovering from a loss of almost $70m (£52.6m).
The Nottingham-headquartered division has reported a pre-tax profit of $4.2m (£3.15m) for 2024 after having slumped to a loss of $68.2m (51.2m) in 2023.
New accounts filed with Companies House also show GoDaddy’s turnover increased from $118m (£88.6m) to $141.7m (£106.5m) over the same period.
GoDaddy’s European arm fell to a huge loss in 2023 as a result of several significant factors including the sale of certain assets which resulted in a net pre-tax loss of $16.8m.
The wider group was founded in 1997, is headquartered in Arizona, US, and is listed on the New York Stock Exchange as a member of the S&P 500.
GoDaddy returns to profit as it cuts costs
A statement signed off by the board said: “The company’s business strategy is dependent on the parent entities’ market focus on selling business application internet-related products and services to customers in the United Kingdom and European region.
“The market focus on this region was evident in the 34 per cent growth in third party revenue year over year.
“This is due to an increase in business applications sales to $106m (2022: $79m).
“The intracompany revenue has decreased by nine per cent compared to 2023.
“The gross profit margin is down by seven per cent year over year due to increased cost for business application and higher charges from related parties.
“The administrative expenses are lower by $3.6m mainly due to lower marketing spend by $3.3m which was offset by increased indirect tax charges to expense by £1.7m and lower salaries and other personnel costs by $1.8m including a decrease in stock compensation expense.”