GoDaddy Reports Strong Q3 2026 Results Driven by Airo AI Product Adoption
GoDaddy (GDDY) reported strong third-quarter 2026 financial results, highlighted by the rapid adoption of its flagship AI product, Airo. Annualized bookings for Airo have surpassed $100 million, successfully offsetting the impact of migrating customers from legacy website products to newer automated tools. The company's focus on multi-product adoption is driving higher customer retention, with over 70% of Airo users utilizing at least two paid services. This strategy has contributed to a normalized EBITDA margin expansion to 33%, resulting in $481 million in quarterly free cash flow and a total liquidity position of $2.3 billion. Management intends to leverage this strong cash generation for capital allocation, including share repurchases, while continuing to expand developer tools and AI capabilities to prepare for an 'agentic' digital economy.
Tickers: $GDDY
Topics: AI product adoption Bookings growth Customer retention EBITDA margin Free cash flow