GoDaddy reported a 22.3% rise in quarterly revenue, as the website domain name provider expanded its customer base and earned more from each user, boosted by its acquisition of Host Europe Group (HEG).
Shares of the company, which provides a variety of services such as a marketplace to buy domain names, website building tools, hosting as well as security services were up 1.3% in after-market trading on Tuesday (GDDY).
GoDaddy, which is focusing on the more profitable business of hosting websites for small businesses and consumers, acquired HEG in December to help broaden its customer base in Europe.
Total customers grew 17.8% to 16.9 million at June 30, including more than 1.6 million from HEG which was integrated into GoDaddy’s business in the quarter.
The company marginally raised the lower end of its full-year revenue guidance range to $2.22 billion from $2.20, while maintaining the top end at $2.23 billion.
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Net income attributable to the company was $20.8 million, or 10 cents per share, in the second quarter ended June 30, compared with a loss of $8.9 million, or 11 cents per share, a year earlier.
Total revenue rose to $557.8 million from $456.2 million.
Average revenue per user rose 3.2% to $129 at the end of the quarter.