GOGO - Gogo Inc. (GOGO) Q1 2024 Earnings Call Transcript
2024-05-07 14:58:08 ET
Gogo Inc. (GOGO)
Q1 2024 Earnings Conference Call
May 07, 2024 08:30 AM ET
Company Participants
William Davis - Vice President-Investor Relations
Oakleigh Thorne - Chairman & Chief Executive Officer
Jessi Betjemann - Executive Vice President & Chief Financial Officer
Conference Call Participants
Scott Searle - ROTH MKM
Simon Flannery - Morgan Stanley
Ric Prentiss - Raymond James
Lance Vitanza - TD Cowen
Louie DiPalma - William Blair
Presentation
Operator
Thank you for standing by, and welcome to Gogo Inc's First Quarter 2024 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speakers' presentation, there will be a question-and-answer session. [Operator Instructions]
I would now like to hand the call over to William Davis, Vice President, Investor Relations. Please go ahead.
William Davis
Thank you, Atif, and good morning, everyone. Welcome to Gogo's first quarter of 2024 earnings conference call. Joining me today to talk about our results are Oakleigh Thorne, Chairman and CEO, Jessi Betjemann, Executive Vice President and CFO.
Before we get started, I would like to take this opportunity to remind you that during the course of this call, we may make forward-looking statements regarding future events and the future performance of the Company. We caution you to consider the risk factors that could cause actual results to differ materially from those in the forward-looking statements on this conference call. Those risk factors are described in our earnings release filed this morning and are more fully detailed under Risk Factors in our annual report on 10-K and 10-Q and other documents that we have filed with the SEC.
In addition, please note that the date of this conference call is May 7, 2024. Any forward-looking statements that we make today are based on assumptions as of this date, and we undertake no obligation to update these statements as a result of more information or future events. During this call, we'll present both GAAP and non-GAAP financial measures. We have included a reconciliation and explanation of adjustments and other considerations of our non-GAAP measures to the most comparable GAAP measures in our first quarter earnings release. The call is being broadcast on the Internet and available on the Investor Relations website at ir.gogoair.com. The earnings press release is also available on the website. After management comments, we'll host a Q&A session with the financial community only.
It's now my great pleasure to turn the call over to Oakleigh.
Oakleigh Thorne
Thanks, Will, and good morning, everyone. And thanks for joining us on this call. So Gogo achieved strong results in the first quarter, setting a record for free cash flow in open market share repurchases, even as we continue to invest in bringing our next-generation products to market, Gogo Galileo, our lower orbit satellite product, and Gogo 5G, our next-generation North American air to ground products.
We believe these products will accelerate our revenue growth beginning next year, as they deliver first order of magnitude improvements in the speed of Gogo service. Second, deliver a 60% increase in our total addressable market and third, extend customer lifetimes by providing easy and compelling upgrade path for our advanced install base.
Our first quarter performance was fueled by advanced equipment revenue, which experienced a rebound from Q4 2023 and record service revenue, driven by a modest price increase and record advanced upgrades. We consider every advanced installation, a strategic win, because it provides that customer with easy upgrade paths to new technologies like 5G and LEO with Gogo rather than going to the expense of installing equipment from competitors. The jump in orders we had in Q1 is great proof of that point....
Gogo Inc. (GOGO) Q1 2024 Earnings Call Transcript