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GoPro shares surge after beating Q2 forecasts

Published August 4, 2017

 SAN MATEO, Calif. (BRAIN) — Shares of GoPro Inc. surged 20 percent in trading Friday after the company this week reported second-quarter earnings that topped analyst expectations due in part to restructuring and job cuts that have reduced the action camera and drone maker’s costs. 

Revenue totaled $297 million, up 34 percent from $221 million in last year’s second quarter, and the company’s net loss narrowed 66.7 percent to $31 million from $92 million in the year-ago period.

“GoPro is building momentum,” founder and CEO Nicholas Woodman said in a statement. “Strong demand combined with our cost management and margin initiatives contributed to GoPro’s EBITDA positive performance in the second quarter.  Hero6 and Fusion, our 5.2K spherical camera, are on course to launch later this year and we continue to track toward our goal of full-year, non-GAAP profitability in 2017.”

During an earnings call Thursday, Woodman said the company’s Hero5 Black premium action camera was the best-selling camera in the U.S. during the quarter, and that its Karma drone is the No 2-selling drone.

“To summarize, we're seeing strength across our business, thanks to strong demand and improved focus and execution. We continue to track toward our goal of low double-digit revenue growth and full year non-GAAP profitability in 2017,” Woodman said.

Topics associated with this article: Earnings/Financial Reports

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