NASDAQ$GOGO

Gogo Inc · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Announced second quarter 2021 financial results, driven by strong demand and record quarterly performance. Increased full year 2021 revenue, Adjusted EBITDA and free cash flow guidance.

Gogo Inc. reported a strong second quarter in 2021, with total revenue of $82.4 million, a 51% increase compared to Q2 2020. The company's record service revenue of $64.8 million increased 47% compared to Q2 2020. Gogo raised its full year 2021 revenue, adjusted EBITDA and free cash flow guidance.

  • Total revenue of $82.4 million, an increase of 51% compared to Q2 2020.
  • Record service revenue of $64.8 million increased 47% compared to Q2 2020.
  • Equipment revenue of $17.6 million increased 66% compared to Q2 2020.
  • Total ATG aircraft online (“AOL”) reached 6,036, an increase of 12% compared to Q2 2020.

Headline financials

Total Revenue

$82.4M

Previous: $96.6M-14.8%
EPS (adj)

$0.12

Previous: -$1.04+111.5%
Adjusted EBITDA

$36.7M

Previous: -$15.9M+331.7%
Capital Expenditures

-$1.28M

Previous: -$13.9M+90.8%
Free Cash Flow

-$70.5M

Previous: -$99.9M+29.4%
Net Income

-$69.2M

Previous: -$86M+19.5%
Operating Income

$29.6M

Previous: -$54.4M+154.4%
Gross Profit

-$15K

Previous: -$11.9M+99.9%
Cash & Equivalents

$109M

Previous: $156M-30.1%
Total Assets

$352M

Previous: $1.06B-66.9%
Stock-Based Comp

$2.89M

No prior period

Revenue & EPS history

Gogo · Revenue · Quarterly

$82.4M

Q2 2021-14.8%vs Q2 2020
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

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

  • Business Aviation
    $72M

Forward guidance

Gogo updated its 2021 financial guidance, expecting total revenue in the range of $325 million to $335 million, Adjusted EBITDA of at least $130 million, capital expenditures in the range of $20 million to $25 million, and free cash flow in the range of $25 million to $35 million.

Tailwinds

  • Total revenue in the range of $325 million to $335 million versus prior guidance of $310 million to $325 million.
  • Adjusted EBITDA of at least $130 million, excluding approximately $3 million of separation and migration costs related to the sale of the CA division, versus prior guidance of $115 million to $125 million.
  • Capital expenditures in the range of $20 million to $25 million, with the majority tied to Gogo 5G, versus prior guidance of $25 million to $30 million.
  • Free cash flow in the range of $25 million to $35 million, including cash interest payments of approximately $71 million, versus prior guidance of $10 million to $20 million.
  • Gogo expects to achieve sustainable positive net income beginning in the third quarter of 2021.

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 Q2 2021

Historical avgQ2 2021

+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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