Lower domain revenue in Q2 — Tucows posts
Impact from sizable client loss is mostly over.
Tucows (NASDAQ: TCX) noted earnings yesterday.
The firm’s domain name business saw revenue decline 4% year over year to $65.0 million. It was up slightly quarter-over-quarter, still.
Tucows stated the decline was due in part to the continuing impact of a major client insourcing their domain names to their own accreditation.
That’s reflected in the firm’s domains under management, which fell from 24.0 million to 21.3 million over the same period.
Most of that client’s renewals have worked their way through the system as of the end of Q2.
Both wholesale (e.g., Enom, OpenSRS) and retail (Hover) revenue declined year over year.
Tucows stated revenue from expired domain sales continued to increase.
The prior week, Tucows disclosed a debt refinancing that will give it more time to sell its Ting Fiber business. Shares shot up 50% the day of the news.
