Hostinger Grew by 57%, Achieving €110.2 Million in Revenues in 2023

Hostinger Grew by 57%, Achieving €110.2 Million in Revenues in 2023

In 2023, Hostinger’s consolidated revenue increased by 57% year-over-year to €110.2 million. The financial results were significantly influenced by the growth of the customer base, the expanding product line aligned with the development of artificial intelligence, the efficient management of marketing investments, and increasing operational efficiency. Hostinger also achieved its first year of EBITDA profitability, reaching € 2.4 million while maintaining positive cash flow.

Hostinger – The World’s Fastest-Growing Hosting Company

The company started its operations in Lithuania and creates products and services to help clients successfully develop their online activities while offering tools for e-commerce, blogs, portfolio websites, etc. 

“Each year, we are growing rapidly towards our ambitious goal of becoming the world’s No. 1 web hosting business. 2023 was no exception when we steadily grew our results. While we may look like a big business in our region, we still have a long way to go in the global market. We will continue to compete for the best talent, learn fast, and apply our knowledge to develop competitive products,” says Daugirdas Jankus, CEO of Hostinger.

Daugirdas Jankus, CEO of Hostinger

Hostinger ended last year with 2.42 million customers (57% more than at the end of 2022). The company serves customers in more than 150 countries. Hostinger has been growing at a similar pace for several years in both developed and emerging markets. Last year, India, Brazil, USA, Indonesia, and France were the largest countries in terms of active users. The United Kingdom, Spain, Pakistan, Mexico, and Colombia are also in the top 10. 

Total billings rose by 61% year-on-year to €139.1 million. As the company provides subscription-based services over several years, for which customers have the option to pay in advance, part of this revenue will be offset against the financial results of the following year.

Hostinger has been ranked among the fastest-growing companies in Europe for five consecutive years in the Financial Times’ annual FT 1000 list. 

Customer Centricity and Automation Powered by AI Investments

Newly introduced innovations have helped grow the customer base in the previous financial year. Hostinger team is actively developing AI-enriched IT products that make it even easier for customers to get started and succeed online. “Hostinger AI website builder allows you to build your website in less than a minute, even for those with minimal IT experience. All you need is a few written or spoken prompts describing your idea. AI can now also offer a website address tailored to your business, write blog posts, articles, and other content, generate unique images, and optimize content for search engines. Customers value these services and choose them with confidence,” Daugirdas Jankus commented. 

Additionally, numerous products have received significant behind-the-scenes upgrades, improving hosting speed, automating tasks, and enhancing client experience. The upgrades include Kernel-based virtual machine (KVM) virtualization for VPS hosting and an in-house content delivery network (CDN). 

To provide even better and faster customer service, Hostinger developed an AI assistant to help clients get answers to their questions and resolutions to their issues in a matter of seconds. It solves part of the simple customers’ questions, automates, and helps increase the efficiency of the work of customer success specialists. 

Hostinger would have had to grow headcount by around 112 CS specialists to serve the additional demand, but significant investments in the company’s AI stack – which has led to the automation of numerous business functions – meant that staffing levels were comparable with the prior financial year. 

Hostinger also invested in opening a new data center location in Paris, France, expanding the business’s geographic reach. 

Having said that, the increase in customer satisfaction was measurable. There was a 6% decrease in the number of customer queries relating to their subscriptions.

Hostinger was founded in Lithuania in 2004. It employs almost 900 people. The quality of services is ensured by 11 data centers spread across Asia, Europe, North and South America. Last year,  the website development tool developed by Zyro was integrated into Hostinger’s product portfolio finalizing the merger of the subsidiary company.

The author

Kotryna D

Part of Hostinger’s Communications Team, Kotryna is responsible for building and maintaining relationships with media outlets and ensuring that the organization's achievements and initiatives receive public recognition. In her free time, Kotryna likes to explore new places and take photos.