Gogo reports second-quarter revenue of $222.8m
Gogo sold 50 GEO units in the first half of 2026.
Gogo Inc reported second-quarter 2026 total revenue of $222.8m, down 1% year-over-year and 2% sequentially.
Service revenue was $191.3m, up 2% sequentially, driven by the company’s military and government business, which posted service revenue of $39.9m, up 40% year-over-year and 20% sequentially. Equipment revenue fell to $31.5m, down 18% sequentially after a robust first quarter.
Gogo posted a net loss of $2.0m, compared with net income of $12.8m year earlier, which it attributed to a $7.2m non-cash increase in the fair value of the Satcom Direct earn-out liability.
Adjusted EBITDA was $53.7m, up about 1% sequentially, and included $3.2m of ongoing litigation expense.
“This quarter, we continue to execute on our transformation from a domestic provider of air-to-ground connectivity into a global provider of high-speed broadband to the un-penetrated business and military government aviation markets,” CEO Chris Moore said on the earnings call.
“We are pleased with the strong progress and growing momentum across our next generation portfolio, as well as the record-breaking performance of our military and government business this quarter.”
The company’s GEO business performed better than expected during the quarter with Gogo selling 50 GEO units in H1 2026, attributed to operators investing in incremental capacity rather than switching away.
On capital allocation, Zachary Cotner, CFO said reducing leverage “remains our highest priority,” with net leverage at 3.8x at quarter-end against a target range of 2.5x to 3.5x.
Gogo shipped 108 Galileo terminals in the quarter, up 17% sequentially, bringing cumulative shipments to 518; Galileo aircraft online rose 66% sequentially to 184. Gogo 5G unit shipments rose to 138 from 52 in the first quarter. The company still has 20 supplemental type certificates (STCs) for the larger FDX Galileo product.
Moore blamed delays in supplemental STCs on the FAA backlog and OEM integration timelines but expects “a good ramp in the second half.”
Cash and cash equivalents fell to $63.1m from $103.5m, after the company made a $40.0m Satcom Direct earn-out payment and a $21.1m debt payment during the quarter.
Gogo revised its full-year 2026 guidance, now projecting total revenue of $870m to $895m and adjusted EBITDA of $175m to $185m, which reflects full-year expected litigation expenses increasing from $8m to $22m.
Free cash flow guidance was revised to $65m-$85m. Cotner said the revision was “primarily” driven by lower equipment revenue tied to shipment timing, while service revenue expectations were largely unchanged.
