Our outlook for the full year 2024 is as follows:
We expect total bookings of $1.78 - $1.81 billion, up 12 - 14% y/y, an acceleration from 2023. We expect y/y growth of total bookings to accelerate in the second half of 2024 to 15% at the high end of the guidance range, positioning the business to achieve accelerating y/y revenue growth in 2025.
In particular, the acceleration is expected to be primarily in Creative Subscription bookings, bringing it to double digit y/y growth in the 2H24.
We expect total revenue to be $1.73 - $1.76 billion, up 11 - 13% y/y.
We expect total revenue in Q1 2024 of $415 - $419 million, up 11 - 12% y/y.
We continue to operate the business in an efficient manner as evidenced by the meaningful operating leverage -- on both a GAAP and non-GAAP basis -- generated throughout 2023 compared to 2022. We plan to operate with the same efficiency in 2024 and expect strong gross profit growth due to gross margin improvements on a y/y basis as well as minimal incremental operating expenses this year.
We expect non-GAAP total gross margin of 68 - 69% with non-GAAP business solutions gross margin to exceed 30% for the full year.
We expect non-GAAP operating expenses to be 51 - 52% of revenue for the full year, with non-GAAP sales and marketing to remain similar to 2023 at roughly 23 - 24% of revenue.
We believe we are ahead of our plan to achieve GAAP profitability. We expect GAAP operating profit in 2024 as well as a second consecutive year of GAAP net income.
We expect to generate free cash flow, excluding headquarters costs, of $370 - $400 million, or 21 - 23% of revenue in 2024.
As we continue to responsibly manage dilution, we expect stock-based compensation expenses to decline as a percent of revenue for the third consecutive year to approximately 13% of revenue in 2024, in line with our three-year plan.
We expect capital expenditures, excluding costs associated with our new headquarters build out, of approximately $7 - $10 million in 2024. We will incur the final costs for our new headquarters in the first half of the year and anticipate them to be roughly $8 - $10 million.