Financial Data and Key Metrics Changes - Gogo reported total revenue of $98.6 million for Q1 2023, a 6% increase year-over-year, driven by record service revenue of $78.5 million, which was up 11% year-over-year [27][13] - Adjusted EBITDA for Q1 2023 was $39.7 million, down 7% year-over-year, primarily due to lower equipment revenues and increased operating expenses [34][14] - Net income for Q1 2023 was $20.4 million, translating to $0.16 in basic earnings per share [35] Business Line Data and Key Metrics Changes - Gogo's ATG aircraft online reached a record 7,046 units, representing an 8% growth year-over-year [27] - AVANCE units online grew to 3,447 units, up 28% year-over-year, now comprising 49% of the total fleet [28] - Equipment revenue was $20.1 million, a 9% decrease year-over-year, reflecting standard seasonality and normalization towards pre-pandemic order dynamics [29] Market Data and Key Metrics Changes - The business aviation industry is experiencing demand levels significantly higher than pre-pandemic, with Gogo's installed base showing strong market position [6][11] - Gogo's installed base includes almost 50% of the 15,000 business jets in North America equipped with Gogo IFC systems [11] - Data usage across Gogo's networks increased by 137% from Q1 2019 to Q1 2023, indicating a growing demand for connectivity [15] Company Strategy and Development Direction - Gogo aims to expand its service addressable market by broadening its advanced platform product offerings and adding networks to meet the needs of various segments [17] - The launch of Gogo 5G is on track for Q4 2023, expected to deliver significantly faster speeds than current networks [18] - Gogo is also developing a Global Broadband Product (GBP) to expand its market reach, particularly targeting the 14,000 business aircraft registered outside North America [20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in strong performance in the second half of 2023, driven by pent-up demand for Gogo 5G and expected activations from record shipments in 2022 [14] - The company anticipates that the ongoing strategic investments will support sustained top-line growth and significant free cash flow growth in 2025 and beyond [32][43] - Management highlighted the importance of customer loyalty and service improvements as key drivers for future growth [17] Other Important Information - Gogo was awarded a $334 million grant under the FCC's Secure and Trusted Communications Networks program, which was reduced to $132 million due to more qualified grants than planned [24] - The company made a strategic decision to pay down $100 million of its outstanding term loan debt, which is expected to reduce cash interest by approximately $8.5 million annually [36][38] Q&A Session Summary Question: What drives the underpenetration of in-flight connectivity in the business jet market? - Management noted that many jets are older and that service levels and the capacity increase from 5G and GBP will incentivize installations [46][47] Question: What factors influence the turboprop market's adoption of in-flight connectivity? - Price sensitivity and the expectation of connectivity when chartering are key factors, with ongoing efforts to design smaller form factors for installations [49][50] Question: What is the outlook for the GBP network and OneWeb's progress? - Management indicated that OneWeb has launched the necessary satellites and is working on positioning them for operational service, with the GBP terminal development on track [59][60]

Revenue Performance - Total revenue for the three-month period ended March 31, 2023, was $98.6 million, a 6.3% increase from $92.8 million in the prior-year period[102]. - Service revenue increased to $78.5 million for the three-month period ended March 31, 2023, up 11.1% from $70.7 million in the prior-year period, driven by an increase in ATG aircraft online[104]. - Equipment revenue decreased to $20.1 million for the three-month period ended March 31, 2023, down 9.0% from $22.1 million in the prior-year period, primarily due to a decrease in the number of ATG units sold[104]. - The number of ATG aircraft online increased to 7,046 as of March 31, 2023, compared to 6,526 in the prior-year period[96]. - Average monthly connectivity service revenue per ATG aircraft online rose to $3,389 for the three-month period ended March 31, 2023, compared to $3,321 in the prior-year period[96]. Future Outlook - Gogo expects service revenue to increase in the future with the launch of Gogo 5G and additional ATG aircraft coming online[106]. - Gogo plans to commercially launch its fourth ATG network, Gogo 5G, in the fourth quarter of 2023[91]. - Gogo announced plans to launch Global Broadband, targeting commercial launch in the second half of 2024, to expand its broadband offerings beyond ATG[91]. Income and Expenses - Operating income for the three-month period ended March 31, 2023, was $31.9 million, compared to $34.9 million in the prior-year period[102]. - Net income for the three-month period ended March 31, 2023, was $20.4 million, down from $22.2 million in the prior-year period[102]. - Cost of service revenue increased to $16.8 million for the three-month period ended March 31, 2023, up 14.8% from $14.6 million in the prior-year period[108]. - Cost of equipment revenue rose to $18.1 million for the three-month period ended March 31, 2023, representing a 26.9% increase from $14.3 million in the prior-year period[108]. - Engineering, design and development expenses increased to $7.9 million for the three-month period ended March 31, 2023, compared to $5.4 million in the prior-year period[108]. - Sales and marketing expenses increased to $6.9 million for the three-month period ended March 31, 2023, up from $6.2 million in the prior-year period[110]. - General and administrative expenses increased to $14.2 million for the three-month period ended March 31, 2023, compared to $13.5 million in the prior-year period[110]. - Total other expense decreased to $7.1 million for the three-month period ended March 31, 2023, down from $10.8 million in the prior-year period[111]. - The effective income tax rate for the three-month period ended March 31, 2023 was 17.7%, compared to 8.0% for the prior-year period[112]. - Adjusted EBITDA for the three-month period ended March 31, 2023 was $39.7 million, down from $42.8 million in the prior-year period[116]. Cash Flow and Capital Expenditures - Free cash flow for the three-month period ended March 31, 2023 was $20.0 million, compared to $8.8 million in the prior-year period[116]. - Cash, cash equivalents, and restricted cash at the end of the period increased to $163.6 million, up from $153.2 million in the prior-year period[119]. - For the three-month period ended March 31, 2023, net cash provided by operating activities was $18.5 million, compared to $17.9 million in the prior-year period, reflecting a $0.4 million improvement in net income and non-cash charges[125]. - Capital expenditures for the three-month periods ended March 31, 2023 and 2022 were $4.6 million and $9.1 million, respectively, indicating a decrease primarily due to the completion of the Gogo 5G program[128]. - The company expects capital expenditures to decrease over time as the Gogo 5G program is completed[128]. Debt and Financing - As of March 31, 2023, the company had interest rate cap agreements with a notional amount of $650.0 million to hedge against interest rate movements[132]. - A hypothetical one percentage point change in the applicable interest rate would impact the company's annual interest expense by approximately $1.5 million for the next twelve-month period, considering the impact of interest rate caps[132]. - The Term Loan Facility has an aggregate principal amount of $725.0 million, with a floating interest rate based on an adjusted term SOFR rate plus a margin of 3.75%[120]. - Cash used in financing activities for the three-month period ended March 31, 2023 was $7.4 million, primarily due to stock-based compensation activities and principal payments on the Term Loan Facility[127]. - The Revolving Facility was undrawn as of March 31, 2023, indicating available liquidity for working capital and general corporate purposes[121]. - The financial covenant for the Revolving Facility is set at a maximum senior secured first lien net leverage ratio of 7.50:1.00[121]. - The company has agreements with various vendors under which it has remaining commitments to purchase hardware components and development services[130].

Gogo Inc. (NASDAQ:GOGO) Q4 2022 Results Conference Call February 28, 2023 8:30 AM ET Company Participants Will Davis - Vice President of Investor Relations Oakleigh Thorne - Chairman and CEO Barry Rowan - Executive Vice President and CFO Jessi Betjemann - Senior Vice President, Finance, Chief Accounting Officer and Treasurer Conference Call Participants Ric Prentiss - Raymond James Scott Searle - ROTH Capital Markets Lance Vitanza - Cowen Louie DiPalma - William Blair Operator Thank you for standing by. And ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One): ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934. For the fiscal year ended December 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934. For the transition period from __________ to __________ Commission File Number: 001-35975 Gogo Inc. (Exact name of registrant as specified in its charter) Delaware 27-1650905 (State or other ...

Gogo Inc. (NASDAQ:GOGO) Q3 2022 Earnings Conference Call November 3, 2022 8:30 AM ET Company Participants Will Davis – Vice President-Investor Relations Oakleigh Thorne – Chairman and Chief Executive Officer Barry Rowan – Executive Vice President and Chief Financial Officer Conference Call Participants Phil Cusick – JPMorgan Landon Park – Morgan Stanley Scott Searle – ROTH Capital Partners Louie DiPalma – William Blair Ric Prentiss – Raymond James Operator Good day, and thank you for standing by. Welcome to ...

Gogo Inc. (NASDAQ:GOGO) Q2 2022 Earnings Conference Call August 5, 2022 9:30 AM ET Company Participants William Davis - Vice President of Investor Relations Oakleigh Thorne - Chairman, and Chief Executive Officer Barry Rowan - Executive Vice President, and Chief Financial Officer Jessica Betjemann - Senior Vice President of Finance, and Chief Accounting Officer Conference Call Participants Scott Searle - ROTH Capital Partners Ric Prentiss - Raymond James Lance Vitanza - Cowen & Company Louie DiPalma - Willi ...

Gogo Inc. (NASDAQ:GOGO) Q1 2022 Earnings Conference Call May 5, 2022 8:30 AM ET Company Participants William Davis - Vice President, Investor Relations Oakleigh Thorne - Chairman & Chief Executive Officer Barry Rowan - Executive Vice President & Chief Financial Officer Conference Call Participants Lance Vitanza - Cowen Landon Park - Morgan Stanley Ric Prentiss - Raymond James Scott Searle - ROTH Capital Louie DiPalma - William Blair Anthony Klarman - Deutsche Bank Operator Good day, and thank you for standi ...