Business
Gogo Announces Record Third Quarter 2021 Financial Results
Continued Strong Customer Demand Driving Service and Equipment Revenue Growth Raising 2021 Adjusted EBITDA and Free Cash Flow Guidance with Revenue at High
About this update from Gogo Inc.
[{"type":"text","content":"Continued Strong Customer Demand Driving Service and Equipment Revenue Growth\n Raising 2021 Adjusted EBITDA and Free Cash Flow Guidance with Revenue at High End of Guidance Range\n\n\nCHICAGO, Nov. 4, 2021 /PRNewswire/ -- Gogo Inc. (NASDAQ: GOGO) (\"Gogo\" or the \"Company\"), the world's largest provider of broadband connectivity services for the business aviation market, today announced its financial results for the quarter ended September 30, 2021.\nQ3 2021 Highlights \nRecord total revenue of $87.2 million increased 31% compared to Q3 2020 and 6% compared to Q2 2021, fueled by strong growth in both service and equipment revenue. Record service revenue of $66.2 million increased 24% compared to Q3 2020 and 2% compared to Q2 2021. Equipment revenue of $21.0 million increased 59% compared to Q3 2020 and 19% compared to Q2 2021. Total ATG aircraft online (\"AOL\") reached 6,154, an increase of 10% compared to Q3 2020 and 2% compared to Q2 2021. Total AVANCE units online grew to 2,237, an increase of 46% compared to Q3 2020. AVANCE units comprised more than 36% of total AOL as of September 30, 2021, up from 27% as of September 30, 2020.Average Monthly Revenue per ATG aircraft online (\"ARPU\") of $3,264 increased 9% compared to Q3 2020. Compared to Q2 2021, ARPU decreased 1% but increased 2% after excluding the $1.8 million recognition of deferred revenue related to a customer contract in Q2 2021. For the first time in the Company's history, Gogo achieved positive net income. Net income from continuing operations increased to $19.7 million, compared to a net loss from continuing operations of $8.9 million in Q3 2020. Basic and diluted earnings per share from continuing operations for Q3 2021 was $0.18 and $0.16, respectively. Record Adjusted EBITDA(1) of $40.8 million increased 35% compared to Q3 2020 and 11% compared to Q2 2021. Cash from operating activities for the nine months ended September 30, 2021 was $36.4 million compared to $20.3 million for the prior year period. Free Cash Flow(1) for the nine months ended September 30, 2021 was $32.4 million compared to $14.0 million in the prior year period. Total cash and cash equivalents totaled $133.2 million as of September 30, 2021 compared to $109.2 million as of June 30, 2021.\"Demand for business aviation connectivity is surging and we expect it to continue to surge for the ...