Check out market updates

Gogo boosts YoY sales but lowers guidance

BROOMFIELD — Gogo Inc. (Nasdaq: GOGO), a provider of broadband connectivity services for the business-aviation market, grew its year-over-year revenue in the second quarter of 2023 but its leaders no longer believe they’ll hit previously estimated full-year sales totals.

The company recorded second quarter revenue of $103.2 million this year, up 6% from the same period last year.

Gogo’s net income was $89.8 million, including an income-tax benefit of $63.8 million, up from $22 million in the second quarter of 2022.

“We are in a two-year investment cycle to take advantage of new technologies like 5G, LEO satellite and LTE to deliver order-of-magnitude improvements in network speed and coverage for our customers, grow our addressable market by 50%, and strengthen our competitive position,” Gogo CEO Oakleigh Thorne said. “We expect to see the payback for these investments to start in 2025 and drive substantial returns for shareholders in the latter half of the decade.”

Looking ahead, Gogo is now offering full-year 2023 sales guidance in the range of $410 million to $420 million, down from prior guidance in the range of $440 million to $455 million.

Source: BizWest