news GoDaddy to lay off 8% of its global workforce

[Acroplex]

Just in: GoDaddy is laying off 8% of its global workforce.

 

[M999]

This is no surprise. The CEO, Aman, has been killing this company since he took over in 2019.

Years ago, I could call and talk to a rep. who was seasoned and knew the answer, or how to fix the problem I was calling about. Not anymore.

Aman has instilled a toxic culture and has off-shored everything. Chances of getting a USA employee when calling their help line is not good. Aman’s idea of increasing net profit is by reducing costs - By firing USA employees and hiring overseas at a fraction of the cost. Aman has no idea how to increase revenue.

And this is not just my opinion. It is clear to everyone - look at the 5 year stock chart.

 

[MKA]

I'm on my way off Godaddy. I still use the account on occasions due its flexibility with different services, like Escrow, and there's the 2 month period between transfers. So I won't delete the account, but the quality of service has degraded over the years. It's not as bad as Network Solutions, but if I'm paying $20 for renewals than I'm expecting the best service and security options.

 

[forge]

Perhaps their phone antisupport will be replaced with AI.

 

[AEProgram]

This is a wild guess. They recently offered to reduce commissions if you redirect your page to one of their servers, why?

The basic answers is, the more you send the traffic to them, the more calls they get and it can help everyone.

The issue is that one of the nameservers they let you use is dan, and on dan, it's usually just your page, your domain, no gd phone number etc.

I suspect that they are about to get into the advertising business heavily. They could roll out their own platform that lets you pay to be within the parked pages or do more with their current ad partnerships.

Between dan, afternic, godaddy and unireg landers they must get a few hundred million hits a day and and if they do things right, they could end up making more money from a properly structured ad system than from the whole godaddy combined

 

[Acroplex]

Good to hear that @James Iles and others from the domain department are safe. Losing one's job to corporate downsizing is not good. Went through similar crap a long time ago and it wasn't fun.

Regarding GDDY valuation, what is important to note is how much long term debt the company carries. It's almost $4 billion. I believe their next loan restructuring isn't too far.

 

[jmcc]

Not good news but there is a very rough Q1 and Q2 expected in terms of domain names up for renewal. In terms of growth, the .COM effectively stalled in 2022 and there are still Covid Bubble registrations washing out of the zones.

Regards...jmcc

 

[James Iles]

The message says "Most impacted roles are in the U.S., affecting multiple levels in the company and every division". I am wondering how this would affect domainers business in aspects of: 1) premier service reps who are US-based. 2) systems support [afternic bugs for example], development of afternic [many things should be changed]. Also, will @James Iles still be GoDaddy liaison @ NP? With unclear duties, it is not obvious. Returning to "trusted blogging" may not be easy in fact, one of his niches (reviewing NP posts on NP) is already occupied.

I can confirm I haven't been affected by the unfortunate layoffs. Thanks for your concern

Did anyone here attend the town hall? Does anyone have any more specifics regarding these layoffs?

The townhall was for employees only.

 

[Acroplex]

Layoffs are never good for a company, or its employees, particularly when it's not a merger that triggers this but a downsizing. Whether we like GoDaddy or not, these layoffs will hurt a lot of people, especially outside of the US where many of its customer service employees are based.

 

[bmugford]

You just clowned yourself, apparently you don't know what 5 years is.

https://www.google.com/search?client=firefox-b-1-d&q=godaddy+stock

Feb 16 2018 - 55.78
Today - 80.37

https://www.google.com/search?client=firefox-b-1-d&q=godaddy+stock

------
And if you want to go from Aman CEO announcement date, last time I looked...........

$80.32 > $74.23

So again. It's gone up from 5 years ago. It's gone up from when he took over as CEO.

And again, lots of companies are laying off people, I literally posted 3 examples of big companies from today's news section alone.

Yeah, GoDaddy is doing fine financially.

Looking at the last (5) years, their total revenue, gross profit, and operating income have all grown each year.

 

[M999]

This is no surprise. The CEO, Aman, has been killing this company since he took over in 2019.

Years ago, I could call and talk to a rep. who was seasoned and knew the answer, or how to fix the problem I was calling about. Not anymore.

Aman has instilled a toxic culture and has off-shored everything. Chances of getting a USA employee when calling their help line is not good. Aman’s idea of increasing net profit is by reducing costs - By firing USA employees and hiring overseas at a fraction of the cost. Aman has no idea how to increase revenue.

And this is not just my opinion. It is clear to everyone - look at the 5 year stock chart.

@JB Lions

Ouch! Aman continues to destroy Godaddy.

 

[tonyk2000]

https://careers.godaddy.com/search-jobs

only 25 open positions at this time. Wasn't it many more before?

 

[M999]

Did anyone here attend the town hall? Does anyone have any more specifics regarding these layoffs?

 

[JB Lions]

@JB Lions

Only you can save yourself from your inherent ignorance.

GDDY - Aman CEO announcement date - 08/01/2019 - $74.23

GDDY Today (02/10/2023) - $80.32

You just clowned yourself, apparently you don't know what 5 years is.

https://www.google.com/search?client=firefox-b-1-d&q=godaddy+stock

Feb 16 2018 - 55.78
Today - 80.37

https://www.google.com/search?client=firefox-b-1-d&q=godaddy+stock

------
And if you want to go from Aman CEO announcement date, last time I looked...........

$80.32 > $74.23

So again. It's gone up from 5 years ago. It's gone up from when he took over as CEO.

And again, lots of companies are laying off people, I literally posted 3 examples of big companies from today's news section alone.

 

[Anthonyb5615]

In the last 6 months I’ve heard of so many small & large businesses closing with every company doing layoffs! Bear market, recession, war in Ukraine, Covid 19 aftermath
It’s not looking good!
My eBay business has never been so bad too!

 

[JB Lions]

@JB Lions
@bmugford

Your GDDY is looking pretty sickly after hours…

First month only $1 - https://subscriptions.hookedonphonics.com/enhanced/combo

or this to get you started - https://brilliant.org/landing/learn-math-basics/

 

[bmugford]

@JB Lions
@bmugford

Your GDDY is looking pretty sickly after hours…

"Your" GDDY? I don't currently own any GoDaddy stock.

Their earnings were average by any objective measure. Not great, not terrible.

Godaddy Inc (NYSE: GDDY) reported fourth quarter EPS of $0.60, $0.04 worse than the analyst estimate of $0.64. Revenue for the quarter came in at $1.04B versus the consensus estimate of $1.04B.

Guidance​

Godaddy Inc sees Q1 2023 revenue of $1.03B-$1.05B versus the analyst consensus of $1.06B.

According to Zacks -

The results met Wall Street expectations. The average estimate of eight analysts surveyed by Zacks Investment Research was also for earnings of 62 cents per share.

 

[jmcc]

The idea of only using the share price of a company to gauge its performance in the domain name market is not a good one. The share price has many different factors affecting it. The domain name market effectively runs on a domain name year basis. That means that comparing Godaddy's share price from five years ago with the current share price is a comparison of share prices. The domain name market of 2019 (or 2018) is very different from that of 2023. It was only possible to see how the domain name market of 2019 performed in early 2021 (when the last of the December 2019 registrations would go through their renewal/deletion process).

One of the things that analysts should be watching is the first renewal rate. That's the number of domain names registered in a year that successfully renew the following year. It is not visible with the ICANN registry reports.

Compared to 2019, Godaddy now has a substantial registry operation. It has also expanded considerably into the ccTLD markets over the past ten years or so and owns quite a few large European brands and registrars. This kind of stuff is also not included in the ICANN registry reports. Whenever there is a recession, large companies focus on consolidating their recent acquisitions and that's where a lot of the job losses appear.

Godaddy's main operation is US focused. That means that its performance will track that of the US economy. In terms of first renewals, it is quite good. The first renewal % for .COM over 2022 (2021 registrations renewing in 2022) has been bouncing around the 50% to 56% range and Goaddy is well above this.

Writing Godaddy off as another Netsol is a bit premature as they are very different companies. Goaddy is quite diversified in that it has multiple registrars (gTLD accreditations and ccTLD accreditations), brand protection, monetisation and sales businesses, hosting and a registry operation. It also has approximately 25% of the gTLD registrations market.

Regards...jmcc

 

[Armageddon]

I can confirm I haven't been affected by the unfortunate layoffs. Thanks for your concern


The townhall was for employees only.

Was not more proper to be .US instead .vc ? As American company + buy the rights of .US

 

[JB Lions]

@JB Lions

Keep drinking that GD Kool-Aid. And please ask chatgpt how to interpret my initial statement - as you are clearly incapable of doing so.

Are you a struggle reader? Your own post takes apart your other post. Look what you posted:

GDDY - Aman CEO announcement date - 08/01/2019 - $74.23
GDDY Today (02/10/2023) - $80.32

That's up.
----------

Aman has no idea how to increase revenue."

GoDaddy annual revenue for 2021 was $3.8B, a 15.05% growth from 2020.

Revenue in 2022 (TTM): $4.07 B​

According to GoDaddy's latest financial reports the company's current revenue (TTM) is $4.07 B. In 2021 the company made a revenue of $3.81 B an increase over the years 2020 revenue that were of $3.31 B.

https://companiesmarketcap.com/godaddy/revenue/

 

[forge]

Maybe some of that people will come into domaining ?

God help them.

 

[cabotower]

Perhaps their phone antisupport will be replaced with AI.

they could set it up in Zuck's metaverse
buy some land and get us to visit them at the "GDCHATBAR(D)"

 

[Namingfy]

Layoffs are never good for a company, or its employees, particularly when it's not a merger that triggers this but a downsizing. Whether we like GoDaddy or not, these layoffs will hurt a lot of people, especially outside of the US where many of its customer service employees are based.

I see the other way around.

The cost of retaining non-US employees would be cheaper than that of US Employees. As a rule of thumb, all non-critical employees who're costly will be fired first. And in most cases they'll likely be replaced by 'lower cost' alternatives - not necessarily low quality though.

So, likely more will be hired outside US/Europe, IMHO.

 

[tonyk2000]

The message says "Most impacted roles are in the U.S., affecting multiple levels in the company and every division". I am wondering how this would affect domainers business in aspects of: 1) premier service reps who are US-based. 2) systems support [afternic bugs for example], development of afternic [many things should be changed]. Also, will @James Iles still be GoDaddy liaison @ NP? With unclear duties, it is not obvious. Returning to "trusted blogging" may not be easy in fact, one of his niches (reviewing NP posts on NP) is already occupied.

 

[Business Brands]

From what I understand, gd will not survive lonterm. Its another network solutions.