GoDaddy Reports Strong Q2 Earnings with Revenue and Free Cash Flow Growth
GoDaddy (NYSE: GDDY) reported second-quarter revenue of $1.3 billion, a 7% increase year-over-year, driven by its AI strategy centered around Airo, an agentic operating system for small businesses. The company's combined AI platform achieved a $50 million annualized bookings run rate, up fivefold from the previous quarter and largely organic before major marketing efforts. GoDaddy narrowed its 2026 revenue outlook to between $5.215 billion and $5.255 billion while reaffirming its free cash flow target of approximately $1.8 billion. The company also repurchased nearly 10 million shares for $852 million through July 29, signaling confidence in shareholder returns. Normalized EBITDA rose 14% to $434 million with a margin of 33.4%, and free cash flow increased by 13% year-over-year to $443 million. Annual recurring revenue grew to $4.4 billion, while customer retention improved above 85%. Over half of GoDaddy's customers now use at least two paid products.
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