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Jun 30, 2022

Gogo Q2 2022 Earnings Report

Announced record results and updated 2022 guidance.

Key Takeaways

Gogo Inc. reported record total revenue of $97.8 million, a 19% increase year-over-year, driven by strong growth in both service and equipment revenue. Net income from continuing operations was $22.0 million, and Adjusted EBITDA was $41.2 million, up 12% year-over-year.

Launched plans for a low earth orbit (LEO)-based global broadband service in business aviation.

Record total revenue of $97.8 million, a 19% increase compared to Q2 2021.

Total ATG aircraft online reached 6,654, a 10% increase compared to Q2 2021.

Net income from continuing operations increased to $22.0 million compared to a net loss of $66.4 million in Q2 2021.

Total Revenue
$97.8M
Previous year: $82.4M
+18.8%
EPS
$0.17
Previous year: $0.12
+41.7%
Gross Profit
$65.2M
Previous year: $56.3M
+15.9%
Cash and Equivalents
$164M
Previous year: $109M
+50.2%
Free Cash Flow
$15.5M
Total Assets
$724M
Previous year: $352M
+105.5%

Gogo

Gogo

Forward Guidance

The Company updates its guidance for 2022 with total revenue at the high end of the previously guided range of $390 million to $400 million and Adjusted EBITDA at the high end of the previously guided range of $150 million to $160 million. Free Cash Flow is expected to be $35 million to $45 million.

Positive Outlook

  • Total revenue at the high end of the previously guided range of $390 million to $400 million.
  • Adjusted EBITDA at the high end of the previously guided range of $150 million to $160 million.
  • Includes a combined $9 million of estimated litigation expenses and estimated operating expenses for Global Broadband.
  • Free Cash Flow of $35 million to $45 million.
  • Capital expenditures of approximately $65 million of which approximately $50 million are tied to Gogo 5G.