GoDaddy posts narrower loss, higher revenue

Web-hosting company GoDaddy Inc., with operations in Hiawatha, posted a narrower fourth quarter and annual loss in 2015 compared with the final quarter and all of 2014.

The Scottsdale, Ariz., company reported a net loss of $500,000 for the fourth quarter of 2015, compared with a net loss of $26.8 million, or 21 cents per share, for the same quarter of 2014. Revenue for the fourth quarter of 2015 was $425.4 million, up from $371.7 million in the same quarter of 2014.

For all of 2015, GoDaddy recorded a net loss of $120.4 million, or 81 cents per share, compared with a net loss of $143.3 million, or $1.11 per share, for all of 2014.

GoDaddy, which manages about 62 million Internet domains or about 20 percent of the world's total, has been investing heavily to expand into new markets. The company plans to be in the greater Asia region by the end of 2016, including China, Indonesia and Vietnam.

GoDaddy's international revenue in the fourth quarter jumped 16.9 percent to $110.6 million from a year earlier. The number of customers increased 8.7 percent to 13.8 million.

In an earnings call with analysts, GoDaddy CEO Blake Irving said the company expects to attract more customers from international markets in 2016 than in the United States.

'With our recent launch across Asia, we operate in 53 markets and 26 languages,” Irving said. 'With a huge addressable market of small businesses, a proven strategy and consistent execution, we are well positioned for continued growth at scale in 2016 and beyond.”

Looking ahead, GoDaddy forecast first-quarter revenue largely below analysts' estimates, citing a strong dollar. The company forecasts revenue of $428 million to $432 million, the midpoint of which was below the average analyst estimate of $431.1 million.

'Currency has been a major headwind for the business this year and will be into next year,” Chief Financial Officer Scott Wagner told Reuters.