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Table of Contents
21
Key Metrics
As described in "Selected Financial Data," we monitor the following key metrics to help us evaluate growth trends,
establish budgets and assess operational performance. These metrics are supplemental to our GAAP results and include
operational and non-GAAP measures. Reconciliations of total bookings to total revenue and adjusted EBITDA to net loss, the
most directly comparable GAAP financial measures, are set forth in "Selected Financial Data-Reconciliation of Non-GAAP
Financial Measures." In addition to our results determined in accordance with GAAP, we believe the following non-GAAP and
operational measures are useful in evaluating our business:
Year Ended December 31,
2015 2014 2013
(unaudited; in millions, except ARPU)
Total bookings $ 1,914.2 $ 1,675.2 $ 1,397.9
Total customers at period end 13.8 12.7 11.6
Average revenue per user (ARPU) $ 121 $ 114 $ 104
Adjusted EBITDA $ 337.4 $ 271.5 $ 196.3
Total bookings. Total bookings increased 14.3% from $1,675.2 million in 2014 to $1,914.2 million in 2015. This increase
was primarily driven by an 8.7% increase in total customers since December 31, 2014, a 4.6% increase in domains under
management over the same period, increased customer spending on non-domains products and a higher growth rate associated
with our continued international expansion, partially offset by the impact of adverse movements in foreign currency exchange
rates. Our hosting and presence and business applications bookings are growing at a faster rate than domains bookings as
customers broaden their adoption of our products.
Total bookings increased 19.8% from $1,397.9 million in 2013 to $1,675.2 million in 2014, primarily driven by a 9.7%
increase in total customers since December 31, 2013, a 3.5% increase in domains under management over the same period and
$45.0 million of incremental bookings from businesses acquired in the fourth quarter of 2013.
Total customers. As of December 31, 2015, 2014, and 2013, we had 13.8 million, 12.7 million and 11.6 million total
customers, respectively. Our customer growth primarily resulted from increased brand awareness, our ongoing marketing and
advertising initiatives, our continued international expansion, our enhanced and expanded product offerings and acquisitions.
Average revenue per user. ARPU increased 6.3% from $114 in 2014 to $121 in 2015 and increased 10.2% from $104 in
2013 to $114 in 2014, primarily due to broadened customer adoption of our products resulting in increased customer spend,
revenue from acquired businesses and the reduced impact of purchase accounting adjustments.
Adjusted EBITDA. Adjusted EBITDA increased 38.3% from $196.3 million in 2013 to $271.5 million in 2014 and increased
24.3% to $337.4 million in 2015, primarily due to our revenue growth, revenue from acquired businesses and improved operating
efficiencies.