Gogo Inc.
For the period ended Jun 30, 2025. Filed Aug 7, 2025.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2025 · Filed Aug 7, 2025
GOGO$3.89+71.5%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-03-31; filed 2025-05-09.
0000950170-25-067982
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-06-30; filed 2025-08-07.
0000950170-25-105003
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 130 previous paragraphs and 129 current paragraphs.
90 unchanged; 31 reworded; 8 added; 6 removed; 3 previous and 0 current paragraphs rearranged.
Tables are not compared: 8 previous and 9 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (8)
Current report
the enactment of and proposals for trade protection measures by the United States as well as other countries (including United States “reciprocal” tariffs that were announced at the end of July 2025), including increases or changes in tariffs and trade barriers, changes in government policies and international trade arrangements, geopolitical volatility, and global macroeconomic conditions, or uncertainty regarding the impact of proposed or future trade protection measures, may affect our results of operations in some markets.
Current report
Three and Six Months Ended June 30, 2025 and 2024
Current report
Total Gogo BA revenue increased to $103.3 million for the three-month period ended June 30, 2025, as compared with $102.1 million for the prior-year period due to an increase in equipment revenue, partially offset by a decrease in service revenue. Total Gogo BA revenue decreased to $204.6 million for the six-month period ended June 30, 2025, as compared with $206.4 million for the prior-year period, due to a decrease in service revenue, partially offset by an increase in equipment revenue.
Current report
Gogo BA’s cost of service revenue decreased 6.1% and 1.8% to $17.7 million and $36.1 million, respectively, for the three- and six-month periods ended June 30, 2025, as compared with $18.9 million and $36.7 million for the prior-year periods due to a decrease in net credit card processing fees.
Current report
Gogo BA’s general and administrative expenses increased 6.7% and 30.4% to $23.3 million and $47.6 million, respectively, for the three- and six-month periods ended June 30, 2025, as compared with $21.8 million and $36.5 million, respectively, for the prior-year periods. The increase for the three-month period is due to acquisition and integration-related costs of $3.1 million and increased personnel costs of $5.2 million, partially offset by lower legal fees of $6.8 million. The increase in for the six-month period is due to acquisition and integration-related costs of $7.5 million and increased personnel costs of $7.9 million, partially offset by lower legal fees of $6.5 million.
Current report
Total other expense decreased to $19.0 million for the three-month period ended June 30, 2025 as compared with $20.7 million for the prior-year period due to an unrealized holding loss on the Investment in Convertible Note during the prior-year period, partially offset by an increase in interest expense in the current-year period due to the HPS Term Loan Facility and the change in fair value of the earnout liability. Total other expense increased to $35.2 million for the six-month period ended June 30, 2025 as compared with $14.0 million for the prior-year period due to increased interest expense on the HPS Term Loan Facility and the change in fair value of the earnout liability.
Current report
We believe it is useful for an understanding of our operating performance to exclude the changes in fair value of the earnout liability related to the acquisition of Satcom Direct from Adjusted EBITDA because this activity is outside of the ordinary course of our operations and does not reflect our operating performance.
Current report
Adjusted EBITDA does not reflect the change in fair value of convertible note investment or earnout liability;
Removed paragraphs (6)
Previous report
Total Gogo BA revenue decreased to $101.3 million for the three-month period ended March 31, 2025, as compared with $104.3 million for the prior-year period, due to a decrease in both service revenue and equipment revenue.
Previous report
Gogo BA’s cost of service revenue increased 2.8% to $18.4 million for the three-month period ended March 31, 2025, as compared with $17.9 million for the prior-year period due to an increase in personnel costs.
Previous report
Gogo BA’s general and administrative expenses increased 65.7% to $24.3 million for the three-month period ended March 31, 2025, as compared with $14.7 million for the prior-year period due to acquisition and integration-related costs of $4.4 million, increased personnel costs of $2.6 million and outside services spend of $1.4 million.
Previous report
Total other expense (income) increased to $16.2 million for the three-month period ended March 31, 2025 as compared with $6.7 million of income for the prior-year period, due to interest expense on the HPS Term Loan Facility, partially offset by a decrease related to an unrealized holding gain on the Investment in Convertible Note in the prior-year period.
Previous report
Changes in accrued interest due to the change in timing of payments; and
Previous report
Changes in the Satcom Direct operating assets and liabilities.
Reworded paragraphs (31)
Previous wording
As a result of the Company’s acquisition of Satcom Direct, the Company has two reportable segments: (i) the legacy pre-acquisition operations of the Company (“Gogo BA”) and (ii) the acquired entity, Satcom Direct. The consolidated financial statements and the related notes contained elsewhere in this Quarterly Report on Form 10-Q report the results of the Gogo BA segment and, for the 2025 period and the Consolidated Balance Sheets as of December 31, 2024, the Satcom Direct segment. The Gogo BA segment provides in-flight connectivity for business aviation via ATG and satellite networks. The Satcom Direct segment primarily provides global satellite-based communication solutions for business and military/government aircraft. Satcom Direct is managed as a separate reportable segment, but in the future, we may realign our reportable segments after integrating the Satcom Direct business. This “Management’s Discussion and Analysis of Financial Condition and Results of Operations” discusses the results of both segments for the periods in which they are covered by the consolidated financial statements, except that, for the reasons described below, it does not reflect the impact of the Satcom Direct segment in “Key Operating Metrics” and “Results of Operations—Three Months Ended March 2025 and 2024.”
Current wording
As a result of the Company’s acquisition of Satcom Direct, the Company has two reportable segments: (i) the legacy pre-acquisition operations of the Company (“Gogo BA”) and (ii) the acquired entity, Satcom Direct. The consolidated financial statements and the related notes contained elsewhere in this Quarterly Report on Form 10-Q report the results of the Gogo BA segment and, for the 2025 period and the Consolidated Balance Sheets as of December 31, 2024, the Satcom Direct segment. The Gogo BA segment provides in-flight connectivity for business aviation via ATG and satellite networks. The Satcom Direct segment primarily provides global satellite-based communication solutions for business and military/government aircraft. Satcom Direct is managed as a separate reportable segment, but in the future, we may realign our reportable segments after integrating the Satcom Direct business. This “Management’s Discussion and Analysis of Financial Condition and Results of Operations” discusses the results of both segments for the periods in which they are covered by the consolidated financial statements, except that, for the reasons described below, it does not reflect the impact of the Satcom Direct segment in “Key Operating Metrics” and “Results of Operations—Three and Six Months Ended June 2025 and 2024.”
Previous wording
changes in laws, regulations and interpretations affecting telecommunications services globally, including those affecting our ability to maintain our licenses for ATG spectrum in the United States, obtain sufficient rights to use additional ATG spectrum and/or other sources of broadband connectivity to deliver our services, including Gogo Galileo, expand our service offerings and manage our network; and
Current wording
changes in laws, regulations, policies and interpretations affecting our business, the business of our customers and suppliers globally, including changes that impact the design of our equipment and our ability to obtain required certifications for our equipment and services, and telecommunications services globally, including those affecting our ability to maintain our licenses for ATG spectrum in the United States, obtain sufficient rights to use additional ATG spectrum and/or other sources of broadband connectivity to deliver our services, including Gogo Galileo, expand our service offerings and manage our network; and
Previous wording
Our management regularly reviews financial and operating metrics, including the following key operating metrics, to evaluate the performance of our business and our success in executing our business plan, make decisions regarding resource allocation and corporate strategies, and evaluate forward-looking projections. The metrics below are only for the Gogo BA segment and do not include metrics for the Satcom Direct segment for the period in which it is reflected in the Company’s consolidated financial statements, with the exception of the GEO aircraft online (which includes the Satcom Direct business aviation broadband GEO aircraft online but excludes military/government GEO aircraft online), because this reporting period provided insufficient time for management to review, test and select meaningful metrics that would be useful on a standalone basis to both management and investors. Additionally, the below metrics are different in scope than those previously presented for the Gogo BA segment given the impact of the Satcom Direct acquisition. As previously disclosed, as part of the integration of the Satcom Direct business into the Company’s operations, management plans to develop a set of key financial and operating metrics for use by management and investors to reflect the major aspects of the combined Gogo BA and Satcom Direct business.
Current wording
Our management regularly reviews financial and operating metrics, including the following key operating metrics, to evaluate the performance of our business and our success in executing our business plan, make decisions regarding resource allocation and corporate strategies, and evaluate forward-looking projections. The metrics below are only for the Gogo BA segment and do not include metrics for the Satcom Direct segment for the periods in which it is reflected in the Company’s consolidated financial statements, with the exception of the GEO aircraft online (which includes the Satcom Direct business aviation broadband GEO aircraft online but excludes military/government GEO aircraft online), because these reporting periods provided insufficient time for management to review, test and select meaningful metrics that would be useful on a standalone basis to both management and investors. Additionally, the below metrics are different in scope than those previously presented for the Gogo BA segment given the impact of the Satcom Direct acquisition. As previously disclosed, as part of the integration of the Satcom Direct business into the Company’s operations, management plans to develop a set of key financial and operating metrics for use by management and investors to reflect the major aspects of the combined Gogo BA and Satcom Direct business.
Previous wording
The following table sets forth, for the periods presented, certain data from our Unaudited Condensed Consolidated Statements of Operations. The information contained in the table below should be read in conjunction with our Unaudited Condensed Consolidated Financial Statements and related notes.
Current wording
The following tables set forth, for the periods presented, certain data from our Unaudited Condensed Consolidated Statements of Operations. The information contained in the table below should be read in conjunction with our Unaudited Condensed Consolidated Financial Statements and related notes.
Previous wording
Below is a discussion of changes in the results in operations for the three-month periods ended March 31, 2025 and 2024, which as discussed above are for the Gogo BA segment only. The acquisition of Satcom Direct was completed in the fourth quarter of 2024 and as a result, there is no meaningful prior period comparison point. Unless otherwise noted below, we expect consolidated revenue and expenses to increase in 2025 compared to 2024 as a result of a full year of activity for Satcom Direct.
Current wording
Below is a discussion of changes in the results in operations for the three- and six-month periods ended June 30, 2025 and 2024, which as discussed above are for the Gogo BA segment only. The acquisition of Satcom Direct was completed in the fourth quarter of 2024 and as a result, there is no meaningful prior period comparison point. Unless otherwise noted below, we expect consolidated revenue and expenses to increase in 2025 compared to 2024 as a result of a full year of activity for Satcom Direct.
Previous wording
Revenue and percent change for the three-month periods ended March 31, 2025 and 2024 were as follows(in thousands, except for percent change):
Current wording
Revenue and percent change for the three- and six-month periods ended June 30, 2025 and 2024 were as follows(in thousands, except for percent change):
Previous wording
Gogo BA’s service revenue decreased to $79.5 million for the three-month period ended March 31, 2025, as compared with $81.7 million for the prior-year period, due to a decrease in ATG units online.
Current wording
Gogo BA’s service revenue decreased to $77.6 million and $157.1 million, respectively, for the three- and six-month periods ended June 30, 2025, as compared with $81.9 million and $163.6 million, respectively, for the prior-year periods due to a decrease in ATG units online.
Previous wording
Gogo BA’s equipment revenue decreased to $21.8 million for the three-month period ended March 31, 2025, as compared with $22.6 million for the prior-year period, due to a decrease in shipments of AVANCE units.
Current wording
Gogo BA’s equipment revenue increased to $25.7 million and $47.5 million, respectively, for the three- and six-month periods ended June 30, 2025, as compared with $20.1 million and $42.8 million, respectively, for the prior-year periods due to an increase in shipments of AVANCE units.
Previous wording
Cost of revenue and percent change for the three-month periods ended March 31, 2025 and 2024 were as follows(in thousands, except for percent change):
Current wording
Cost of revenue and percent change for the three- and six-month periods ended June 30, 2025 and 2024 were as follows(in thousands, except for percent change):
Previous wording
Gogo BA’s cost of equipment revenue increased 26.8% to $20.0 million for the three-month period ended March 31, 2025, as compared with $15.8 million for the prior-year period, due to higher sales of lower margin products.
Current wording
Gogo BA’s cost of equipment revenue increased 32.0% and 29.4% to $21.7 million and $41.7 million, respectively, for the three-month period ended June 30, 2025, as compared with $16.4 million and $32.2 million, respectively, for the prior-year periods due to higher sales of lower margin products.
Previous wording
Gogo BA’s engineering, design and development expenses decreased 3.5% to $8.9 million for the three-month period ended March 31, 2025, as compared with $9.2 million for the prior-year.
Current wording
Gogo BA’s engineering, design and development expenses decreased 28.1% and 16.5% to $7.4 million and $16.3 million, respectively, for the three- and six-month periods ended June 30, 2025, as compared with $10.3 million and $19.5 million, respectively, for the prior-year periods due to a decrease in Gogo Galileo and Gogo 5G development costs.
Previous wording
Gogo BA’s sales and marketing expenses decreased 16.0% to $7.0 million for the three-month period ended March 31, 2025, as compared with $8.3 million for the prior-year period due to lower personnel costs.
Current wording
Gogo BA’s sales and marketing expenses decreased 31.7% and 24.2% to $6.2 million and $13.1 million, respectively, for the three- and six-month periods ended June 30, 2025, as compared with $9.0 million and $17.3 million, respectively, for the prior-year periods due to lower personnel costs.
Previous wording
Gogo BA’s depreciation and amortization expense decreased 19.6% to $3.1 million for the three-month period ended March 31, 2025, as compared with $3.8 million for the prior-year period.
Current wording
Gogo BA’s depreciation and amortization expense decreased 11.7% and 15.6% to $3.4 million and $6.5 million, respectively, for the three- and six-month periods ended June 30, 2025, as compared with $3.9 million and $7.7 million, respectively, for the prior-year periods due to depreciation expense.
Previous wording
Other expense (income) and percent change for the three-month periods ended March 31, 2025 and 2024 were as follows(in thousands, except for percent change):
Current wording
Other expense (income) and percent change for the three- and six-month periods ended June 30, 2025 and 2024 were as follows(in thousands, except for percent change):
Previous wording
The effective income tax rate for the three-month period ended March 31, 2025 was 36.6%, as compared with 26.4% for the prior-year period. For the three-month period ended March 31, 2025, our income tax provision was $6.9 million, due to consolidated pre-tax income. For the three-month period ended March 31, 2024, our income tax provision was $10.9 million due to consolidated pre-tax income. See Note 14, “Income Tax,” to our Unaudited Condensed Consolidated Financial Statements for additional information.
Current wording
The effective income tax rate for the three- and six-month periods ended June 30, 2025 was 24.6% and 30.9%, respectively, as compared with 13.6% and 26.1%, respectively, for the prior-year periods. For the three- and six-month periods ended June 30, 2025, our income tax provision was $4.2 million and $11.1 million, respectively, due to consolidated pre-tax income. For the three- and six-month periods ended June 30, 2024, our income tax provision was $0.1 million and $11.1 million, respectively, due to consolidated pre-tax income. See Note 14, “Income Tax,” to our Unaudited Condensed Consolidated Financial Statements for additional information.
Previous wording
Adjusted EBITDA represents EBITDA adjusted for (i) stock-based compensation expense, (ii) acquisition and integration-related costs, including amortization of acquisition-related inventory step-up costs, and (iii) change in fair value of convertible note investment. Our management believes that the use of Adjusted EBITDA eliminates items that management believes have less bearing on our operating performance, thereby highlighting trends in our core business which may not otherwise be apparent. It also provides an assessment of controllable expenses, which are indicators management uses to determine whether current spending decisions need to be adjusted in order to meet financial goals and achieve optimal financial performance.
Current wording
Adjusted EBITDA represents EBITDA adjusted for (i) stock-based compensation expense, (ii) acquisition and integration-related costs, including amortization of acquisition-related inventory step-up costs and changes in fair value of the earnout liability, and (iii) change in fair value of convertible note investment. Our management believes that the use of Adjusted EBITDA eliminates items that management believes have less bearing on our operating performance, thereby highlighting trends in our core business which may not otherwise be apparent. It also provides an assessment of controllable expenses, which are indicators management uses to determine whether current spending decisions need to be adjusted in order to meet financial goals and achieve optimal financial performance.
Previous wording
Three Months Ended March 31, 2025 and 2024
Current wording
(1) For the three months ended June 30, 2025, figure consists of integration-related advisory fees of $1.5 million and severance and other compensation-related costs of $2.2 million. For the six months ended June 30, 2025, figure consists of integration-related advisory fees of $5.4 million and severance and other compensation-related costs of $4.7 million.
Previous wording
Adjusted EBITDA does not reflect the change in fair value of convertible note investment;
Current wording
Adjusted EBITDA does not reflect the change in the fair value of the earnout liability from the Satcom Direct acquisition;
Previous wording
On September 5, 2023, we announced a share repurchase program that grants the Company authority to repurchase up to $50 million of shares of the Company’s common stock. Repurchases may be made at management's discretion from time to time on the open market, through privately negotiated transactions, or by other means, including through the use of trading plans intended to qualify under Rule 10b5-1 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”) in accordance with applicable securities laws and other restrictions, including Rule 10b-18 under the Exchange Act. The repurchase program has no time limit and may be suspended for periods or discontinued at any time and does not obligate us to purchase any shares of our common stock. The timing and total amount of stock repurchases will depend upon business, economic and market conditions, corporate and regulatory requirements, prevailing stock prices, and other considerations. We do not expect to incur debt to fund the share repurchase program. No shares were repurchased during the three-month period ended March 31, 2025. During the three-month period ended March 31, 2024, we repurchased an aggregate 1.1 million shares of our common stock for $10.1 million. As of March 31, 2025, approximately $12.1 million remains available under the share repurchase program.
Current wording
On September 5, 2023, we announced a share repurchase program that grants the Company authority to repurchase up to $50 million of shares of the Company’s common stock. Repurchases may be made at management's discretion from time to time on the open market, through privately negotiated transactions, or by other means, including through the use of trading plans intended to qualify under Rule 10b5-1 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”) in accordance with applicable securities laws and other restrictions, including Rule 10b-18 under the Exchange Act. The repurchase program has no time limit and may be suspended for periods or discontinued at any time and does not obligate us to purchase any shares of our common stock. The timing and total amount of stock repurchases will depend upon business, economic and market conditions, corporate and regulatory requirements, prevailing stock prices, and other considerations. We do not expect to incur debt to fund the share repurchase program. No shares were repurchased during the six-month period ended June 30, 2025. During the six-month period ended June 30, 2024, we repurchased an aggregate 2.6 million shares of our common stock for $23.2 million. As of June 30, 2025, approximately $12.1 million remains available under the share repurchase program.
Previous wording
In May 2021, we purchased interest rate caps with an aggregate notional amount of $650.0 million for $8.6 million. We receive payments in the amount calculated pursuant to the caps for any period in which the daily compounded SOFR rate plus a credit spread adjustment recommended by the Alternative Reference Rates Committees of 0.26% increases beyond the applicable strike rate. The termination date of the cap agreements is July 31, 2027. The notional amounts of the interest rate caps periodically decrease over the life of the caps with the latest reduction of $175.0 million having occurred on July 31, 2024. The aggregate notional amount of the interest rate caps as of March 31, 2025 is $350.0 million. While the interest rate caps are intended to limit our interest rate exposure under our variable rate indebtedness, which includes the Facilities, if our variable rate indebtedness does not decrease in proportion to the periodic decreases in the notional amount hedged under the interest rate caps, then the portion of such indebtedness that will be effectively hedged against possible increases in interest rates will decrease. In addition, the strike prices periodically increase over the life of the caps. As a result, the extent to which the interest rate caps will limit our interest rate exposure will decrease in the future.
Current wording
In May 2021, we purchased interest rate caps with an aggregate notional amount of $650.0 million for $8.6 million. We receive payments in the amount calculated pursuant to the caps for any period in which the daily compounded SOFR rate plus a credit spread adjustment recommended by the Alternative Reference Rates Committees of 0.26% increases beyond the applicable strike rate. The termination date of the cap agreements is July 31, 2027. The aggregate notional amount of the interest rate caps as of June 30, 2025 is $350.0 million. The notional amounts of the interest rate caps periodically decrease over the life of the caps with the latest reduction of $100.0 million having occurred on July 31, 2025. While the interest rate caps are intended to limit our interest rate exposure under our variable rate indebtedness, which includes the Facilities, if our variable rate indebtedness does not decrease in proportion to the periodic decreases in the notional amount hedged under the interest rate caps, then the portion of such indebtedness that will be effectively hedged against possible increases in interest rates will decrease. In addition, the strike prices periodically increase over the life of the caps. As a result, the extent to which the interest rate caps will limit our interest rate exposure will decrease in the future.
Previous wording
For the three-month period ended March 31, 2025, net cash provided by operating activities was $32.5 million as compared with $29.7 million in the prior-year period. The principal contributors to the year-over-year change in operating cash flows were:
Current wording
For the six-month period ended June 30, 2025, net cash provided by operating activities was $69.2 million as compared with $54.6 million in the prior-year period. The principal contributors to the year-over-year change in operating cash flows were:
Previous wording
A $3.0 million improvement in net income and non-cash charges and credits, as noted above under “Results of Operations.”
Current wording
A $20.2 million improvement in net income and non-cash charges and credits, as noted above under “Results of Operations — Three and Six Months Ended June 30, 2025 and 2024.”
Previous wording
A $0.2 million decrease in cash flows related to operating assets and liabilities resulting from:
Current wording
A $5.6 million decrease in cash flows related to operating assets and liabilities resulting from:
Previous wording
Changes in accounts receivable due to timing of collections;
Current wording
Changes in accounts payable due to timing of payments; and
Previous wording
Changes in inventories due to a decrease in purchases; and
Current wording
Partially offset by an increase in cash flows due to changes in inventories due to an increase in equipment revenue and a decrease in purchases due to the factors described under “Results of Operations — Three and Six Months Ended June 30, 2025 and 2024.”
Previous wording
Cash used in investing activities was $2.4 million for the three-month period ended March 31, 2025, due to $6.2 million of capital expenditures noted below, partially offset by $3.2 million of proceeds from interest rate caps and $0.6 million of proceeds received from the FCC Reimbursement Program associated with the reimbursement of capital expenditures.
Current wording
Cash used in investing activities was $7.2 million for the six-month period ended June 30, 2025, due to $12.1 million of capital expenditures noted below and a $1.6 million payment for net working capital adjustments relating to the purchase of Satcom Direct, partially offset by $6.1 million of proceeds from interest rate caps and $0.4 million of proceeds received from the FCC Reimbursement Program associated with the reimbursement of capital expenditures.
Previous wording
Cash used in investing activities was $2.6 million for the three-month period ended March 31, 2024, due to $4.2 million of capital expenditures noted below and a $5.0 million convertible note investment, partially offset by $6.5 million of proceeds from interest rate caps and an immaterial amount of proceeds received from the FCC Reimbursement Program associated with the reimbursement of capital expenditures.
Current wording
Cash used in investing activities was $2.7 million for the six-month period ended June 30, 2024, due to $10.7 million of capital expenditures noted below and a $5.0 million convertible note investment, partially offset by $12.9 million of proceeds from interest rate caps and $0.1 million of proceeds received from the FCC Reimbursement Program associated with the reimbursement of capital expenditures.
Previous wording
Cash used in financing activities for the three-month period ended March 31, 2025 was $1.6 million due to stock-based compensation activities and principal payments on the HPS Term Loan Facility.
Current wording
Cash used in financing activities for the six-month period ended June 30, 2025 was $2.3 million due to principal payments on the HPS Term Loan Facility and stock-based compensation activities.
Previous wording
Cash used in financing activities for the three-month period ended March 31, 2024 was $13.3 million, due to share repurchases, principal payments on the 2021 Term Loan Facility and stock-based compensation activities.
Current wording
Cash used in financing activities for the six-month period ended June 30, 2024 was $29.5 million, due to share repurchases, principal payments on the 2021 Term Loan Facility and stock-based compensation activities.
Previous wording
Capital expenditures for the three-month periods ended March 31, 2025 and 2024 were $6.2 million and $4.2 million, respectively, due to the build out of the Gogo 5G network.
Current wording
Capital expenditures for the six-month periods ended June 30, 2025 and 2024 were $12.1 million and $10.7 million, respectively, due to the build out of the Gogo 5G and LTE networks and Gogo Galileo.
Previous wording
We expect that our capital expenditures will increase in the near term due to the build out of the LTE network related to the FCC Reimbursement Program and capital expenditures related to Gogo 5G. This increase related to the LTE network may be partially offset by reimbursements from the FCC. We expect that our capital expenditures will decrease starting in 2026 as these programs are completed.
Current wording
We expect that our capital expenditures will increase in the near term due to the build out of the LTE network related to the FCC Reimbursement Program. This increase related to the LTE network may be partially offset by reimbursements from the FCC. We expect that our capital expenditures will decrease starting in 2026 as this program is expected to be completed.
Rearranged previous paragraphs (3)
Previous report — wording carried elsewhere
changes in laws, regulations and policies affecting our business or the business of our customers and suppliers globally, including changes that impact the design of our equipment and our ability to obtain required certifications for our equipment.
Previous report — wording carried elsewhere
(1) Consists of due diligence and advisory fees of $3.9 million and severance and other compensation-related costs of $2.6 million.
Previous report — wording carried elsewhere
Partially offset by an increase in cash flows due to the following: