GoDaddy Inc at Barclays Global Technology Conference Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Trevor Young - Barclays Services Corp - Analyst : First and best comfort -- that's right. That's right. We'll go ahead and get started. Obviously, being a tech conference we have to hit on AI first and foremost.

Question: Trevor Young - Barclays Services Corp - Analyst : Lots of new AI product initiatives come together recently. Let's start with Airo.ai. It's a new surface that you recently launched. It's in beta right now. highlights some of the new Agentic AI product suite that you've rolled out, I think, over the last month or so in the it's coming -- what can you share on early engagement with some of these new tools? Do any of the features stand out more than any of the others? And are new to GoDaddy customers engaging more or less with the surface?

Question: Trevor Young - Barclays Services Corp - Analyst : Got it. And it sounds like -- so kind of three key takes there. One, new surface with rapid experimentation and expansion of kind of use cases to continued innovation and going from five agents to two dozen and presumably more to come -- more to come and then the third piece being really being outcome-driven. That was something that I think I heard you hammer on, but it's not, hey, let's build new tools and find a use case. It's more let's solve a problem for that customer.

Question: Trevor Young - Barclays Services Corp - Analyst : Got it. And obviously, with this just being in market roughly a month. It's obviously just the start in terms of the breadth of agents that will become available. What are some of the improvements that the team is building in the feature set? What are maybe some of the pain points that you're trying to solve for those SME customers?

Question: Trevor Young - Barclays Services Corp - Analyst : That makes a lot of sense. And you outlined kind of three distinct use cases when folks go to Airo.ai can you help investors understand the differences between these three experiences? And in particular, how does the customer find themselves pushed into one funnel versus another when maybe they don't know what they need.

Question: Trevor Young - Barclays Services Corp - Analyst : Right? So it solves a lot of problems for the laymen?

Question: Trevor Young - Barclays Services Corp - Analyst : And prompting that for them because they don't know. Got it. -- How should we think about monetization of this? I realize it's very early days, probably a lot of experimentation going on. But how should we think about that, the types of paywalls that you could introduce -- and how should we measure success from here from a financial perspective, the P&L impact maybe a year or two from now? LSEG STREETEVENTS | www.lseg.com | Contact Us consent of LSEG. 'LSEG' and the LSEG logo are registered trademarks of LSEG and its affiliated companies. DECEMBER 11, 2025 / 5:15PM, GDDY.N - GoDaddy Inc at Barclays Global Technology Conference

Question: Trevor Young - Barclays Services Corp - Analyst : Got it. You've also launched agent name service, which is a totally different offering from Airo.ai. Just at a high level, can you walk us through how it works and the problems that this is going to solve. And what kinds of new opportunities this could open up and maybe just illustrate an example.

Question: Trevor Young - Barclays Services Corp - Analyst : -- you have a standard.

Question: Trevor Young - Barclays Services Corp - Analyst : It will be interesting to see how that evolves and see how adoption goes. Let's shift gears a little bit hit on customer trends and macro. You've now returned to positive customer growth sequentially this past quarter. What product areas or funnel changes contribute contributed most of that shift? And how much of that growth is tied to the rollout of Airo and your newer AI assisted onboarding flows?

Question: Trevor Young - Barclays Services Corp - Analyst : Okay. And as we head into '26, what are you seeing in terms of the top of funnel trends in SMB demand signals in the US? How would you kind of characterize the state of SMB right now?

Question: Trevor Young - Barclays Services Corp - Analyst : That's right. And I can't emphasize enough. This is a customer group that also cherishes the care organization within GoDaddy because when they need help or they need to fix something, they want somebody who's going to be on their side that's going to try to get that solution. We really pride ourselves in our care organization's ability to need that even using new technology being able to meet the needs of this customer base because they just want to do what they're passionate about. They don't want to worry about the back end. They want to be out there selling their products. They want to sell their products in many places as they can. They want to compete with the bigger players out there. They want to make sure their pipeline secured. Our average customer base, maybe we have some customers that go up to 10 employees. On average, you're talking about maybe two or three and a whole bunch of them as sole entrepreneurs. And that passion is because that is a unique individual that wants to be out there selling and doing something on their own.

Question: Trevor Young - Barclays Services Corp - Analyst : That makes sense. Competitive dynamics, how should we think about the competitive set today, particularly given the emergence of a genetic coding tools, natural language interface, AI website build tools, live coating, how do you think about how competition is evolving here and how you stack up versus them?

Question: Trevor Young - Barclays Services Corp - Analyst : So just focus on that customer need work back from that rather than that's interesting tools and then final.

Question: Trevor Young - Barclays Services Corp - Analyst : That makes a lot of sense. On pricing and bundling, how is your appetite to flex that pricing lever? And as well as the overall pricing and bundling strategy overall. How has that evolved as some of these new AI-enabled competition pops up? Does it matter? Do consumers have changing appetite to absorb price increases? Is it not even on their radar.

Question: Trevor Young - Barclays Services Corp - Analyst : Got it. Before we run out of time, I want to make sure we hit on the kind of the cost side of the house. We did a lot on product as well as top line. As you continue to build out some of the new AI tools that we had talked about, where should we see the cost layering in most -- how do you think you're maybe differentiated on the cost side versus what we're seeing from some competitors that are signaling like higher inference cost is going to pressure margins. How does that impact GoDaddy? LSEG STREETEVENTS | www.lseg.com | Contact Us consent of LSEG. 'LSEG' and the LSEG logo are registered trademarks of LSEG and its affiliated companies. DECEMBER 11, 2025 / 5:15PM, GDDY.N - GoDaddy Inc at Barclays Global Technology Conference

Question: Trevor Young - Barclays Services Corp - Analyst : So it's very much within your control. Yes, yes. Since you mentioned free cash flow, a great way to segue into capital allocation. You've had a healthy amount of share repurchases year-to-date, particularly in the last quarter. with your strong balance sheet, continued strong free cash flow generation, how should we think about other uses of cash from here, M&A versus continued buybacks?

Question: Trevor Young - Barclays Services Corp - Analyst : Great. I see we are out of time. So we'll wrap it there. Thank you very much. I appreciate it.