Gogo Inc, a leading provider of broadband connectivity services for the business aviation market, experienced a 10% year-on-year revenue decline in Q4 fiscal 2023, totaling $97.8 million, which exceeded expectations. __The company saw a 5% increase in service revenue to $80.9 million, but a 45% decrease in equipment revenue to $16.9 million. __Adjusted EBITDA also dropped by 24% to $35.1 million, with a 4% increase in total ATG aircraft online, reaching 7,205. __The average monthly service revenue per ATG aircraft online stood at $3,387. __As of December 31, 2023, Gogo held $139 million in cash and equivalents and generated $26.2 million in operating cash flow.
CEO Oakleigh Thorne expressed optimism about the upcoming launches of Gogo Galileo and Gogo 5G, which are expected to significantly enhance network speeds and expand the global market potential. __The company forecasts revenue of $410 million to $425 million for FY24 and has adjusted its long-term revenue growth target to a CAGR of 15% – 17% from 2023 through 2027.
In terms of stock performance, Gogo shares were down by 0.69% premarket on February 28, 2024, trading at $8.70. __On Nasdaq, the stock price was at $8.75 with a trading volume of 1,228,065 shares and a 52-week range of $8.41 – $17.94. __Gogo Inc’s market capitalization is approximately $1.095 billion, with 128.84 million shares outstanding.
Overall, Gogo Inc is focusing on technological advancements such as Gogo Galileo and Gogo 5G to improve network speeds and expand its market presence, while adapting to changes in revenue targets and stock performance.
Gogo Inc. (GOGO) Stock Analysis: Mixed Performance on February 28th
On February 28, 2024, Gogo Inc. (GOGO) experienced a mixed day in terms of stock performance. The stock closed at $8.75, which was a 3.31% increase from the previous trading day. However, in after-hours trading, the stock dropped $0.05.
GOGO is currently trading near the bottom of its 52-week range and below its 200-day simple moving average. This indicates that the stock may be experiencing some downward pressure and could potentially be undervalued compared to its historical performance.
Despite the slight drop in after-hours trading, the overall price momentum for GOGO on February 28th was positive, with a modest increase in the stock price. Investors will be watching closely to see if this upward trend continues in the coming days.
GOGO Inc. Reports Mixed Financial Performance for 2023: Revenue Up, Net Income Down
On February 28, 2024, GOGO Inc. (GOGO) reported its financial performance for the past year and the third quarter. The company’s total revenue for the year was $404.07 million, showing a 20.36% increase compared to the previous year. However, the total revenue for the third quarter was $97.95 million, indicating a 5.11% decrease from the previous quarter.
In terms of net income, GOGO reported a net income of $91.89 million for the year, which was a 39.2% decrease from the previous year. The net income for the third quarter was $20.91 million, showing a significant decrease of 76.72% from the previous quarter.
Earnings per share (EPS) for the year were reported at $0.71, reflecting a 40.51% decrease from the previous year. The EPS for the third quarter was $0.16, showing a similar decrease of 76.73% from the previous quarter.
Overall, GOGO’s financial performance on February 28, 2024, showed a mixed picture. While the total revenue for the year saw a significant increase, the total revenue for the third quarter decreased. Similarly, the net income and EPS for both the year and the third quarter showed significant decreases.
