NASDAQ$GOGO

Gogo Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Gogo's first quarter performance in 2024 showed revenue growth and increased profitability.

Gogo Inc. reported a 6% year-over-year increase in total revenue, reaching $104.3 million, with service revenue up 4% to a record $81.7 million. Net income increased by 49% to $30.5 million. The company updated its 2024 Adjusted EBITDA guidance to the high end of the previously guided range.

  • Total revenue increased by 6% year-over-year to $104.3 million.
  • Record service revenue grew by 4% year-over-year to $81.7 million.
  • Net income increased 49% year-over-year to $30.5 million.
  • Adjusted EBITDA increased 9% year-over-year to $43.3 million.

Headline financials

Total Revenue

$104M

Previous: $98.6M+5.8%
EPS

$0.23

Previous: $0.15+53.3%
AVANCE ATG Aircraft Online

4.1K

No prior period
Gogo Biz Aircraft Online

3.0K

No prior period
Total ATG Aircraft Online

7.1K

No prior period
GEO Aircraft Online

9

No prior period
ATG ARPU

$3.46K

No prior period
ATG Units Sold

258

No prior period
Capital Expenditures

-$1.45M

Previous: -$3.11M+53.4%
Free Cash Flow

$29M

Previous: $17.3M+67.5%
Net Income

$30.5M

Previous: $20.4M+49.1%
Operating Income

$34.7M

Previous: $31.9M+8.6%
Gross Profit

-$132K

Previous: -$93K-41.9%
Cash & Equivalents

$153M

Previous: $163M-6.4%
Total Assets

$809M

Previous: $759M+6.5%
R&D Expense

$9.22M

No prior period
Stock-Based Comp

$4.84M

Previous: $5.04M-4.0%

Revenue & EPS history

Gogo · Revenue · Quarterly

$104M

Q1 2024+5.8%vs Q1 2023
Beat estimate in 13 of 15 quarters(87%)
ActualEstimate

Revenue by segment

Gogo · $72M total across 1 segment · Q3 2021

  • Business Aviation
    $72M

Forward guidance

Gogo updated its 2024 financial guidance, expecting total revenue between $410 million and $425 million and Adjusted EBITDA at the high end of the previously guided range of $110 million to $125 million. Long-term financial targets were reiterated, including revenue growth at a CAGR of approximately 15%-17% from 2023 through 2028 and an annual Adjusted EBITDA Margin reaching 40% in 2028.

Tailwinds

  • Total revenue in the range of $410 million to $425 million.
  • Adjusted EBITDA at the high end of the previously guided range of $110 million to $125 million.
  • Free Cash Flow in the range of $20 million to $40 million, including $45 million in FCC Reimbursement Program reimbursements.
  • Capital expenditures of approximately $45 million including $30 million for strategic initiatives.
  • Revenue growth at a compound annual growth rate of approximately 15%-17% from 2023 through 2028.

Headwinds

  • Guidance includes the impact of the Federal Communications Commission's Secure and Trusted Communications Networks Reimbursement Program.
  • Guidance does not reflect a potential delay in Gogo 5G beyond 2024.
  • Adjusted EBITDA reflects operating expenses of approximately $33 million for strategic and operational initiatives including Gogo 5G and Gogo Galileo.
  • Adjusted EBITDA reflects $5 million in legal expenses tied to the SmartSky litigation.
  • Free Cash Flow includes $45 million in reimbursements tied to the FCC Reimbursement Program.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

+3.0%

Avg return

Earnings day

+5.6%

Avg return

5 days after

+11.5%

Avg return

30 days after

50%

25 / 50 earnings

Positive

+45.4%

Q1 2025

Best reaction

-18.0%

Q1 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+8.4%-2.6%-12.1%
Q4 2025-3.4%+20.5%-0.9%
Q3 2025-12.8%-15.5%-19.4%
Q1 2025+45.4%+61.0%+46.8%
Q4 2024-0.1%+12.1%+3.1%
Q3 2024+22.4%+22.3%+12.7%
Q2 2024-3.7%-8.5%-0.9%
Q1 2024+3.8%+8.4%+10.4%
Q4 2023-6.7%-3.9%+0.3%
Q3 2023-3.2%-5.1%-3.8%
Q2 2023-17.1%-16.4%-20.4%
Q1 2023-4.8%-6.7%+19.5%
Q4 2022+12.0%+14.9%-2.4%
Q3 2022+0.4%+1.4%+7.3%
Q2 2022-13.1%-8.6%-23.3%
Q1 2022-4.3%-3.9%+6.1%
Q4 2021+20.0%+17.1%+39.1%
Q3 2021-6.3%-7.1%-23.4%
Q2 2021+15.5%+26.2%+30.4%
Q1 2021+13.0%+17.5%+45.0%
Q4 2020-10.7%-13.7%-14.9%
Q3 2020+5.8%+19.5%+28.8%
Q2 2020+3.5%+6.6%+191.4%
Q1 2020+25.7%+30.7%+114.3%
Q4 2019-6.7%+8.3%+8.5%
Q3 2019+3.2%+1.3%-10.2%
Q2 2019+19.9%+21.8%+23.8%
Q1 2019+5.6%+6.8%-9.5%
Q4 2018-1.6%+0.7%+9.9%
Q3 2018+19.5%+6.7%-33.0%
Q2 2018+10.4%+13.8%+11.7%
Q1 2018-18.0%-44.5%-48.0%
Q4 2017-15.5%-9.2%-15.9%
Q3 2017-11.9%-8.3%+13.1%
Q2 2017-4.3%-4.3%+9.8%
Q1 2017+7.1%+7.1%-4.2%
Q4 2016+16.2%+17.2%+19.0%
Q3 2016-1.6%+0.0%-4.9%
Q2 2016+22.1%+34.4%+46.0%
Q1 2016-5.9%
Q4 2015+1.0%
Q2 2015-8.8%
Q1 2015-4.4%
Q4 2014+2.8%
Q3 2014+9.3%
Q2 2014-9.1%
Q1 2014+7.6%
Q4 2013-8.5%
Q3 2013+32.9%
Q2 2013-1.9%
Q1 2013
Q4 2012
Q3 2012
Q2 2012
Q1 2012
Q4 2011
Q3 2011
Q2 2011
Q1 2011
Q4 2010

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