- NASDAQ:GOGO is reiterating full-year guidance for revenue of $400M-$422M (consensus is at $407M) and adjusted EBITDA at the low end of an initial $8M-$18M range. Cash capex guidance has been lowered by $5M to $100M-$120M.
- A possible area of concern: Gogo ended Q3 with 2,044 North American commercial aircraft online, up by only 33 Y/Y and down 14 Q/Q. Gogo attributes the Q/Q drop to "de-installations of aircraft retired by some of our airline partners."
- Business aviation ATG systems online rose by 222 Q/Q and 790 Y/Y to 2,637. Business satellite systems rose by 81 Q/Q and 195 Y/Y to 5,322. International commercial aircraft rose by 16 Q/Q to 35.
- Q3 service revenue +28% Y/Y to $81.6M; growth was even with Q2's rate. Equipment revenue +4% to $22.4M, a slowdown from Q2's 17% growth.
- North American commercial revenue +25% Y/Y to $63.3M, thanks largely to a 22% increase in average monthly service revenue per aircraft to $10,134. Business revenue +16% to $40.2M.
- Segment op. profits: North American commercial $5.5M; business $15M; international commercial -$19.4M.
- Gogo ended Q3 with $243M in cash, and $314M in debt.
- Q3 results, PR