Latest news with #GPRO
Yahoo
15 hours ago
- Business
- Yahoo
GPRO Q1 Earnings Call: Revenue Miss and Strategic Focus on Product Roadmap, Supply Chain, and Cost Controls
Action camera company GoPro (NASDAQ:GPRO) missed Wall Street's revenue expectations in Q1 CY2025, with sales falling 13.6% year on year to $134.3 million. Its non-GAAP loss of $0.12 per share was in line with analysts' consensus estimates. Is now the time to buy GPRO? Find out in our full research report (it's free). Revenue: $134.3 million (13.6% year-on-year decline) Adjusted EPS: -$0.12 vs analyst estimates of -$0.12 (in line) Adjusted Operating Income: -$18.66 million vs analyst estimates of -$18.51 million (-13.9% margin, 0.8% miss) Operating Margin: -33.7%, down from -26.6% in the same quarter last year Cameras Sold: 385,000, down 8,000 year on year Market Capitalization: $104.8 million GoPro's first quarter results reflected ongoing challenges in core camera sales and regional demand, with management attributing performance to both competitive pressures and shifting consumer behavior, particularly in Asia. CEO Nicholas Woodman highlighted the launch of new hardware and software, such as the updated 360-degree camera app and a refreshed MAX camera, as steps aimed at revitalizing GoPro's position. CFO Brian McGee noted that sell-through was strongest in the U.S. market, while Asia-Pacific experienced notable declines due to macroeconomic factors and heightened local competition. Management also pointed to a one-time sale of slower-moving inventory, which affected gross margin but helped optimize working capital. The quarter saw continued improvement in subscription retention and operating expense reductions, as GoPro pursues a leaner operating model. Looking forward, GoPro's management is focused on regaining growth through new product launches, continued supply chain diversification, and operating expense discipline. The upcoming introduction of the MAX2 360-camera and expansion into tech-enabled motorcycle helmets, through a partnership with AGV, are central to GoPro's growth strategy. Management expects ongoing cost reductions and modest price increases to offset tariffs, with CFO Brian McGee stating tariff impacts on cameras are now minimal due to diversified production. Subscription revenue is projected to benefit from new features and higher retention, but management remains cautious about macroeconomic uncertainty and competitive threats, particularly in Asia. Woodman emphasized the importance of balancing innovation with financial discipline to restore profitability and drive long-term value. Management attributed quarterly results to operational streamlining, new product introductions, and ongoing supply chain diversification, while also highlighting regional demand headwinds and competitive dynamics, especially in Asian markets. Supply chain diversification progress: GoPro shifted camera manufacturing outside China, reducing exposure to import tariffs in the U.S. This transition, along with modest global price increases, is expected to largely offset remaining tariff-related costs on both cameras and accessories. Subscription business momentum: The GoPro subscription service continued to show high retention, with aggregate rates reaching a record 70%. Management attributed subscription ARPU (average revenue per user) growth to new features and improved user engagement, positioning subscriptions as a recurring revenue stream. New product launches and roadmap: Several new products debuted in the quarter, including a refreshed MAX camera, a limited-edition HERO13 Black, and an Anamorphic Lens Mod for cinematic video capture. Further, the launch of the MAX2 360-camera and tech-enabled motorcycle helmets are planned for later in the year. Operating expense reduction: Non-GAAP operating expenses declined significantly year-over-year, as restructuring efforts, lower headcount, and reduced marketing spend took effect. Management noted that cost control is expected to drive further margin improvement through 2025. Regional demand challenges: The Asia-Pacific region, especially China, Japan, and South Korea, experienced sharp declines in sell-through due to macroeconomic pressures, increased competition, and a growing trend toward local brands. The U.S. market performed comparatively better, though total units sold declined. GoPro's outlook is shaped by upcoming product launches, disciplined expense management, and ongoing efforts to adapt to macroeconomic and competitive pressures. Product pipeline as key growth lever: Management is counting on the introduction of the MAX2 360-camera and expansion into the motorcycle helmet market to expand GoPro's addressable market. The AGV partnership is intended to help GoPro establish a presence in the premium helmet segment. Margin expansion from cost actions: Continued reductions in operating expenses and improvements in supply chain efficiency are expected to support margin recovery. Management believes these actions, alongside modest price adjustments, will help offset tariff and input cost headwinds. Uncertainty in international markets: Macroeconomic weakness and intensified competition in Asia remain risks. Management acknowledged slower demand and highlighted that brand loyalty in China has shifted toward domestic offerings, which could limit near-term growth opportunity in the region. In the next few quarters, the StockStory team will watch (1) the launch and market reception of the MAX2 360-camera and progress on the AGV motorcycle helmet collaboration, (2) whether GoPro can sustain subscription growth and higher retention as new features roll out, and (3) the company's ability to further reduce operating expenses and improve margin resilience. Continued monitoring of Asian demand trends and effectiveness of supply chain adaptations will also be critical. GoPro currently trades at a forward P/E ratio of 10.2×. At this valuation, is it a buy or sell post earnings? The answer lies in our full research report (it's free). Market indices reached historic highs following Donald Trump's presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth. While this has caused many investors to adopt a "fearful" wait-and-see approach, we're leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market by checking out our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.
Yahoo
13-05-2025
- Business
- Yahoo
GoPro's Q1 Loss Narrower Than Expected, Revenues Down, Stock Slips
GoPro, Inc. GPRO reported first-quarter 2025 non-GAAP loss per share of 12 cents, narrower than the Zacks Consensus Estimate of a loss of 13 cents. This came within the company's forecast of non-GAAP adjusted loss of 13 cents per share (+/- 3 cents). The firm reported a loss of $2.11 per share in the year-ago quarter. GPRO generated revenues of $134.3 million, down 13.6% year over year due to lower accessory sales and a rise in price promotions. However, this was partially offset by growth in subscription and service revenues. The figure was within the company's expectation of $125 million (+/- $10 million). The top line beat the consensus mark by 7.5%. GoPro's first-quarter results highlight its strategic focus on operational efficiency and long-term growth. Operating expenses fell year over year, while subscription ARPU increased, reflecting improvements in revenue quality. The company continued to diversify its supply chain to better adapt to changing market conditions. Management stated that the organization is performing more efficiently, and expressed confidence that the product launches in the latter half of 2025 and in 2026 will support a return to growth in both revenues and profitability. Following the announcement, GPRO's shares were down 1% in the pre-market session today. In the past year, shares have lost 65.2% against the Audio-Video Production industry's growth of 45.7%. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.) Image Source: Zacks Investment Research GPRO sold 440,000 camera units in the first quarter, down 18% year over year. Based on channels, revenues from of $40 million (30% of total revenues) plunged 18% year over year. Our estimate was pegged at $37.8 million. Subscription revenues amounted to $27 million, up 4% year over year. This uptick was driven by improving retention rates, which led to a 5% increase in average revenue per user (ARPU). Aggregate retention rates reached 70% in the first quarter, up from 69% reported both in the previous-year quarter and a quarter ago. GoPro, Inc. price-consensus-eps-surprise-chart | GoPro, Inc. Quote GPRO recorded 2.47 million subscribers, down 1% year over year at the end of the quarter under discussion. Retail channel registered revenues of $94 million (70%), which fell 12% year over year. We estimated the metric to be $86.6 million. Region-wise, revenues from the Americas were up 7% from the prior-year levels. Revenues from Europe, the Middle East and Africa were down 23% year over year. Asia Pacific region was down 54%. U.S. revenues reached $63 million in the first quarter of 2025, marking a 12% increase from the same period last year. Non-GAAP gross margin was 32.3% compared with 34.4% in the year-ago quarter. Non-GAAP operating loss totaled $18.7 million compared with an operating loss of $29.9 million in the prior-year quarter. Non-GAAP operating expenses were $62 million compared with $83.3 million in the prior-year quarter. Adjusted EBITDA loss was $15.7 million against adjusted EBITDA of $29.3 million a year ago. Cameras with suggested retail prices at or above $400 contributed 71% to revenues in the reported quarter compared with 70% in the prior-year quarter. Street ASP was $349 compared with $395 in the prior year quarter. In the quarter under review, GoPro used $57.2 million of net cash from operating activities compared with $98.4 million of cash used in the year-earlier of March 31, 2025, the company had $69.6 million of cash and cash equivalents. For the second quarter of 2025, revenues are estimated to be $145 million (+/- $10 million). Non-GAAP adjusted loss is forecasted to be 7 cents per share (+/- 4 cents). Gross margin is anticipated to be 35.5% (+/- 50 basis points). Street ASP is expected to be nearly $370, up 15% from the prior-year period. Operating expenses for the second quarter are forecasted to be $60 million (+/- $1 million), a 36% reduction year over year, due to lower spending on wages, reduced marketing spend and lower non-recurring engineering expenses related to the completion of GP3. Operating expenses for 2025 are expected to be $240 million to $250 million, down $100 million from 2024. This is likely to boost profitability. GoPro anticipates that both unit sales and revenues for 2025 will be lower than in 2024, largely due to macroeconomic uncertainty, increased competition and the delayed launch of its new 360-camera. These headwinds are expected to be partially offset by favorable foreign exchange effects stemming from a weaker U.S. dollar. Later in 2025, the company plans to launch its MAX2 360-camera. To mitigate the impact of tariffs, the company intends to implement modest price increases, further diversify its supply chain beyond China and explore the possibility of shifting production of select products to the United States. GoPro currently has a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Dolby Laboratories, Inc DLB reported second-quarter fiscal 2025 results, with non-GAAP earnings per share (EPS) of $1.34, surpassing the Zacks Consensus Estimate by 3.9%. It reported $1.27 in the prior-year quarter. Total revenues were $369.6 million, up from $364.5 million in the year-ago quarter but missed the Zacks Consensus Estimate by 2.4%. Shares of DLB gained 6.2% in the past six months. Sonos, Inc. SONO reported second-quarter fiscal 2025 non-GAAP loss per share of 18 cents, meeting the Zacks Consensus Estimate. It incurred a loss of 18 cents in the prior-year quarter as well. On a GAAP basis, the company reported a loss of 58 cents compared with a loss of 56 cents in the year-ago quarter. Quarterly revenues rose 3% year over year to $259.8 million. The figure came towards the high end of the company's guidance of $240 million to $265 million. The Zacks Consensus Estimate for the top line was pegged at $255.9 million. Shares of SONO decreased 18.2% in the past six months. Skechers U.S.A., Inc. SKX reported first-quarter 2025 earnings of $1.34 per share, surpassing the Zacks Consensus Estimate of $1.17. Also, the bottom line increased 0.8% from the year-earlier quarter. The quarterly results benefited from a gain of 17 cents per share due to favorable foreign exchange rates. SKX generated sales of $2.41 billion, which missed the consensus estimate of $2.44 billion. However, the top line grew 7.1% year over year, driven by the rise of 6.9% and 7.2% in domestic and international sales, respectively. Shares of SKX grew 1.5% in the past six months. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Dolby Laboratories (DLB) : Free Stock Analysis Report Skechers U.S.A., Inc. (SKX) : Free Stock Analysis Report GoPro, Inc. (GPRO) : Free Stock Analysis Report Sonos, Inc. (SONO) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
13-05-2025
- Business
- Yahoo
GoPro (GPRO) Reports Q1 Loss, Tops Revenue Estimates
GoPro (GPRO) came out with a quarterly loss of $0.12 per share versus the Zacks Consensus Estimate of a loss of $0.13. This compares to loss of $0.21 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 7.69%. A quarter ago, it was expected that this action video camera maker would post a loss of $0.11 per share when it actually produced a loss of $0.09, delivering a surprise of 18.18%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. GoPro , which belongs to the Zacks Audio Video Production industry, posted revenues of $134.31 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 7.46%. This compares to year-ago revenues of $155.47 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. GoPro shares have lost about 43.6% since the beginning of the year versus the S&P 500's decline of -3.8%. While GoPro has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for GoPro: mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is -$0.04 on $156.01 million in revenues for the coming quarter and -$0.06 on $721.55 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Audio Video Production is currently in the bottom 29% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the broader Zacks Consumer Discretionary sector, Vail Resorts (MTN), has yet to report results for the quarter ended April 2025. This ski resort operator is expected to post quarterly earnings of $10.10 per share in its upcoming report, which represents a year-over-year change of +5.9%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Vail Resorts' revenues are expected to be $1.31 billion, up 2.3% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report GoPro, Inc. (GPRO) : Free Stock Analysis Report Vail Resorts, Inc. (MTN) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Washington Post
12-05-2025
- Business
- Washington Post
GoPro: Q1 Earnings Snapshot
SAN MATEO, Calif. — SAN MATEO, Calif. — GoPro Inc. (GPRO) on Monday reported a loss of $46.7 million in its first quarter. On a per-share basis, the San Mateo, California-based company said it had a loss of 30 cents. Losses, adjusted for one-time gains and costs, were 12 cents per share.
Yahoo
12-05-2025
- Business
- Yahoo
GoPro: Q1 Earnings Snapshot
SAN MATEO, Calif. (AP) — SAN MATEO, Calif. (AP) — GoPro Inc. (GPRO) on Monday reported a loss of $46.7 million in its first quarter. On a per-share basis, the San Mateo, California-based company said it had a loss of 30 cents. Losses, adjusted for one-time gains and costs, were 12 cents per share. The results beat Wall Street expectations. The average estimate of four analysts surveyed by Zacks Investment Research was for a loss of 13 cents per share. The action video camera maker posted revenue of $134.3 million in the period, which also beat Street forecasts. Four analysts surveyed by Zacks expected $125 million. _____ This story was generated by Automated Insights ( using data from Zacks Investment Research. Access a Zacks stock report on GPRO at Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
