UPDATE: Gogo Shares Tumble After Q3 Results

Shares of Gogo

dropped more than 6.5% in pre-market trading after the company reported financial results for the third quarter. The Itasca, Illinois-based company reported a quarterly net loss of $24.9 million, or $0.29 per share, versus a year-ago loss of $18.7 million, or $0.22 per share. Its revenue climbed 22% y/y to $104.0 million. However, analysts were expecting a loss of $0.26 per share on revenue of $103.33 million. Gogo's service revenue rose 28% to $81.6 million, while equipment revenue surged 4% to $22.4 million in the quarter. Total revenue for Commercial Aviation - North America segment jumped 25% to $63.3 million, while Business Aviation segment total revenue gained 16% to $40.2 million. Combined segment profit of CA-NA and BA surged 57% to $20.5 million. Adjusted EBITDA dropped to $1.2 million from $2.0 million. As of September 30, 2014, the company had cash and cash equivalents of $243.2 million. "We had another strong quarter as we announced airline partnerships with Virgin Atlantic and Vietnam Airlines, signed agreements with Air Canada and AeroMexico, and in October, announced that we expanded our partnership with United Airlines to include its regional jet fleet. Furthermore, we delivered our first $100 million revenue quarter and took major steps towards monetizing everyone on the plane by launching our wireless entertainment and text messaging solutions," said Gogo's President and CEO, Michael Small. For the full year ending on December 31, 2014, Gogo projects total revenue of $400 million to $422 million and adjusted EBITDA at the low end of the range of $8 million to $18 million. Gogo shares dropped 6.85% to $15.50 in pre-market trading.