GPRO Earnings Prediction
The chart below shows how GPRO performed 10 days before and after its earnings report, based on data from the past quarters. Typically, GPRO sees a +2.71% change in stock price 10 days leading up to the earnings, and a +1.59% change 10 days following the report. On the earnings day itself, the stock moves by -1.42%. This data can give you a slight idea of what to expect for the next quarter's release.
GPRO Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
258.90M
-12.03%
39.03%
Gross Margin
35.48%
10.84%
16.21%
Operating Margin
-2.37%
83.72%
-89.71%
Net Margin
-3.17%
153.60%
-87.66%
EPS
-0.05
-150.00%
-83.87%
No Data Available
GPRO Earnings Analysis
GoPro, Inc. Corporation (GPRO.O) Earnings Conference Call
Positive
Revenue Surpasses Expectations: 1. Revenue Exceeds Guidance: GoPro reported Q3 revenue of $259 million, surpassing expectations and demonstrating strong market performance.
Subscription Revenue Increase: 2. Subscription Revenue Growth: Subscription and service revenue increased by 11% year-over-year to $27.5 million, driven by a 9% growth in ARPU and a 2% increase in subscribers.
EBITDA Improvement: 3. Improved EBITDA: The company achieved a positive EBITDA of $5 million in Q3, marking a $39 million improvement sequentially.
Retail Footprint Expansion: 4. Expansion of Retail Presence: GoPro expanded its global retail footprint by adding approximately 1,200 new doors in Q3, bringing the total to over 25,000, enhancing market reach for future product launches.
Operating Expense Reduction Strategy: 5. Significant Operating Expense Reduction: GoPro is targeting a reduction in operating expenses to approximately $250 million in 2025, a decrease of about $110 million from 2024, positioning the company for improved financial performance.
Negative
Revenue Decline Forecast: 1. Declining Revenue Outlook: GoPro anticipates lower unit sales and revenue in 2025 compared to 2024, primarily due to macroeconomic headwinds and competition, indicating a challenging market environment.
Operating Expense Target: 2. Operating Expense Reduction: The company is targeting a significant reduction in operating expenses to approximately $250 million in 2025, down from $360 million in 2024, reflecting ongoing financial strain.
Product Launch Delay Impact: 3. Delayed Product Launch: The delay of the new MAX 2 360-degree camera is expected to negatively impact revenue and market share, particularly in the growing 360-degree camera category.
Cash Liquidity Concerns: 4. Cash Position Concerns: GoPro expects to end the year with approximately $125 million in cash, raising concerns about liquidity and financial flexibility amid ongoing challenges.
Cost-Cutting Measures: 5. Headcount Reduction: A 26% reduction in headcount has been implemented to cut costs, which may impact operational capacity and employee morale moving forward.
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GPRO Earning Call Sentiment
GoPro, Inc. (GPRO) Q3 2024 Earnings Call Transcript
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GPRO.O
-0.98%Positive
The earnings call reflects a mixed outlook: strong product development and retail expansion, but weak revenue guidance for 2024 and 2025. Positive factors include improved EBITDA and gross margins, but these are countered by macroeconomic headwinds, competitive pressures, and product delays. The Q&A section highlighted concerns about these risks, impacting sentiment. Despite some operational improvements, the absence of a share repurchase program and lower future revenue projections suggest limited positive momentum. Thus, the stock price reaction is likely to remain neutral in the short term.