2023-05-03 07:03:38 ET
- Gogo press release ( NASDAQ: GOGO ): Q1 GAAP EPS of $0.15 beats by $0.01 .
- Revenue of $98.6M (+6.3% Y/Y) misses by $2.66M .
- Adjusted EBITDA of $39.7 million, which includes approximately $1.5 million of operating expenses related to Global Broadband, decreased 7% compared to Q1 2022 and 14% compared to Q4 2022.
- Cash provided by operating activities of $18.5 million in Q1 2023 increased from $17.9 million in the prior year period.
- Free Cash Flow was $20.0 million in Q1 2023 compared to $8.8 million in the prior-year period and decreased from $25.0 million in Q4 2022.
- Cash, cash equivalents and short-term investments totaled $188.0 million as of March 31, 2023, compared to $175.3 million as of December 31, 2022.
- The Company reiterates the following guidance for 2023: Total revenue in the range of $440 million to $455 million.
- Adjusted EBITDA of $150 million to $160 million, reflecting operating expenses of approximately $30 million for strategic and operational initiatives including Gogo 5G and Global Broadband.
- Free Cash Flow of $80 million to $90 million. Free Cash Flow includes capital expenditures of approximately $30 million to $40 million, of which $20 million is tied to Gogo 5G.
- The Company reiterates the following long-term financial targets:
- Revenue growth at a compound annual growth rate of approximately 17% from 2022 through 2027, with Global Broadband contributing to revenue beginning in 2025.
- Annual Adjusted EBITDA Margin in the mid-40% range by 2027.
- Free Cash Flow of more than $200 million beginning in 2025 and growing thereafter.
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Gogo reports mixed Q1 earnings; reaffirms FY23 and long-term outlook