IONOS Group (IOS) Corporate Presentation summary

Key performance highlights

• Achieved €1.42bn total revenue in FY 2023, representing 10% year-over-year growth, with ~80% recurring revenues and a 27.4% adjusted EBITDA margin, and a ~90% cash conversion rate.

• Customer base reached ~6.19 million, with strong cross- and up-selling, ARPU of €14.70 (+5% yoy), and a 14x+ CLTV/CAC ratio.

• H1 2024 revenue was €751.6mn (+6.1% yoy), with adjusted EBITDA of €218mn (+8.5% yoy) and a 29% margin, despite higher marketing and license costs.

• Web Presence & Productivity revenue (excl. Aftermarket) grew 11.5% yoy in H1 2024, while Cloud Solutions revenue rose 12.8% yoy.

• Aftermarket business saw a temporary revenue decline (-12% yoy in H1 2024), but is expected to stabilize by year-end.

Market position and strategy

• Holds #1 webhosting market share in Europe, with a footprint in 18 markets and strong positions in Germany, Spain, Austria, UK, Poland, and France.

• Addresses a large, underpenetrated SMB market (>90mn SMBs in North America and Europe), with only ~50% of micro SMBs having a website.

• Competitive advantages include a focused product portfolio, award-winning support, high data privacy/security, and efficient marketing.

• Cloud offering recognized as a leader in Germany for hyperscale infrastructure and platform services, with GDPR-compliant, secure, and cost-effective solutions.

Product and innovation

• Offers a comprehensive one-stop-shop portfolio for SMB digitalization, including domains, web hosting, e-commerce, productivity, and cloud solutions.

• AI-powered features drive customer adoption: 64% of website builder users choose AI onboarding, reducing time to publish by 25% and increasing activation by 30%.

• AI Digital Assistant resolves over 60% of customer queries, enhancing support and up/cross-selling.

• Launched AI Model Hub for SMBs, enabling secure use of open-source LLMs and RAG solutions in compliance with EU data protection.