Shares of Gogo Inc. (GOGO, Financial) jumped more than 3% after reporting a second-quarter loss per share of 47 cents on $224.46 million in revenue, a 31.6% year-over-year increase. The company beat earnings estimates by 28 cents and revenue expectations by $19.82 million.
Consolidated revenue increased to $227.5 million. Service revenue increased 3% to $159.1 million. Equipment revenue increased to $68.4 million, up from $18.7 million in the prior-year quarter.
Adjusted earnings before interest, taxes, depreciation and amortization increased 90% to $18.9 million. Segment profit decreased to $7 million from $16.2 million due to lower service revenue, higher operating costs and increased satellite costs.
The company reaffirmed its guidance for total revenue between $865 million and $935 million, an increase in 2Ku aircraft on-line to be at the low end of 550 to 650 and adjusted EBITDA of $35 million to $45 million.
Shares of Inogen Inc. (INGN, Financial) rose more than 9% after the company reported second-quarter earnings per share of 65 cents on $97.24 million in revenue, a 51.7% year over year increase. The company beat earnings estimates by 21 cents and revenue expectations by $15.26 million.
“We are continuing to execute on our strategy to hire additional sales representatives and invest in advertising activities to increase consumer awareness as we believe this is still our most effective means to drive high revenue growth and portable oxygen concentrator adoption,” CEO Scott Wilkinson said.
The total gross margin reached 49.8%, up from 49.2% in the same period of 2017, as a result of the shift toward sales revenue versus rental revenue. The sales gross margin of 51.1%, however, fell from 51.8% the year prior. The sales gross margin declined as a result of lower average selling prices in business-to-business and direct-to-consumer channels.
The company now expects full-year 2018 revenue to range between $340 million and $350 million, up from $310 million to $320 million, representing 36.3% to 40.3% growth versus 2017 full-year results.
Disclosure: The author holds no positions in any stocks mentioned.
