Company Overview - GoPro, Inc. is the official camera partner for the 2025 Freeride World Tour, marking the 12th consecutive year of collaboration [3] - The company is recognized for its innovative camera technology, particularly the HERO13 Black, which features enhanced capabilities for capturing immersive content [4][2] Industry Insights - The Freeride World Tour is a premier competition in the skiing and snowboarding industry, showcasing top athletes and generating significant viewer engagement, with over 60 million video views already recorded for the 2025 season [1] - The tour runs from January 17 to March 30, 2025, featuring six events across North America and Europe, with live broadcasts on social media and other platforms [3] Product Features - The HERO13 Black camera, when paired with GoPro's HB-Series Ultra Wide Lens Mod, offers a field of view (FOV) of 177°, which is 36% wider and 48% taller than the standard lens [2][4] - The camera also provides advanced video stabilization and stunning 4K60 video resolution, enhancing the viewing experience for fans [4]

Group 1 - GoPro MAX is positioned as the leading 360 camera for creative athletes, adventurers, and content creators, emphasizing ease of use for capturing high-quality shots [1] - The Quik App introduces new AI-powered features for 360 editing, including Object Tracking and simplified editing tools, enhancing user experience [1] - GoPro plans to continuously launch new app features throughout the year to improve the 360 experience [1] Group 2 - The GoPro Reframe plugin for Adobe Premiere Pro and After Effects allows desktop editors to manipulate 360 and 2D media with various adjustments [2] - The GoPro MAX camera is priced at $349.99 and is available for purchase on GoPro's website and local retailers [2] Group 3 - GoPro is recognized as a top employer by Outside Magazine and U.S. News & World Report, highlighting its positive workplace environment [3] Group 4 - The Quik App features include AI-Powered Object Tracking, keyframing, dynamic camera effects, automatic transitions, single clip edits, and a new frame grab tool for enhanced editing capabilities [6]

Core Insights - GoPro has entered a distribution partnership with Kimpex Powersports in Canada, allowing Kimpex to sell GoPro products through a network of over 2,300 dealers [1][3] - The partnership aims to enhance customer access to GoPro's full range of cameras and accessories, including the latest innovations [1][3] - Kimpex will provide select dealers with new product displays and training to support customer engagement with GoPro products [3][4] Company Overview - GoPro is recognized for its award-winning HyperSmooth video stabilization and durable, waterproof design, making it a leading choice for powersports enthusiasts [2] - The partnership with Kimpex is expected to expand GoPro's brand presence and product availability across Canada [4] Industry Context - The powersports market is integral to GoPro's identity, and the collaboration with Kimpex is seen as a strategic move to strengthen its position in this sector [4]

Core Viewpoint - GoPro's international operations are critical for understanding its financial resilience and growth potential, especially in the context of a globally interconnected economy [2][3]. Group 1: Financial Performance - For the quarter ending December 2024, GoPro's total revenue was $200.88 million, reflecting a year-over-year decline of 32% [4]. - Revenue from Europe, the Middle East, and Africa (EMEA) accounted for 28.92% of total revenue, amounting to $58.1 million, which was a surprise decline of 12% compared to expectations of $66.02 million [5]. - The Asia and Pacific region generated $38.5 million, representing 19.17% of total revenue, also falling short by 9.05% against the projected $42.33 million [6]. Group 2: Revenue Projections - Analysts project GoPro's revenues for the ongoing fiscal quarter to be $124.65 million, a decline of 19.8% from the previous year, with EMEA and Asia-Pacific expected to contribute $46.61 million (37.4%) and $28.36 million (22.8%) respectively [7]. - For the entire year, total revenue is forecasted at $749.86 million, a reduction of 6.4% from the previous year, with EMEA contributing 34.9% ($261.37 million) and Asia-Pacific contributing 22.2% ($166.74 million) [8]. Group 3: Market Dynamics - GoPro's reliance on international markets presents both opportunities and risks, making it essential to monitor international revenue trends for forecasting the company's prospects [9]. - The increasing international interdependencies and geopolitical conflicts are significant factors that analysts consider when adjusting earnings forecasts for companies with a global presence [10].

Core Insights - GoPro, Inc (GPRO) reported a narrower non-GAAP loss per share of 9 cents for Q4 2024, compared to a loss of 11 cents expected by analysts, and a profit of 3 cents in the same quarter last year [1][3] - The company's revenue for Q4 2024 was $201 million, a 32% decline year-over-year, attributed to lower camera unit sales, but it was within the guidance range [2][3] - For the full year 2024, GPRO's revenue was $801 million, down 20% from 2023, primarily due to the delayed launch of the new MAX2 360-camera [3][4] Financial Performance - GPRO sold 581,000 camera units in Q4 2024, down from 895,000 units in the prior year [2] - Non-GAAP gross margin improved to 35.1% from 34.4% year-over-year, while non-GAAP operating loss was $16 million compared to an operating income of $2 million in the previous year [11] - Subscription and service revenues increased by 10% year-over-year to $107 million in 2024, with a total of 2.52 million subscribers at the end of Q4 2024 [3][7] Market Outlook - Management anticipates a decline in units and revenue growth for 2025 due to macroeconomic challenges, competition, and the delayed launch of the new 360-degree camera [4] - For Q1 2025, GPRO expects revenues of approximately $125 million and a non-GAAP adjusted loss of 13 cents per share [14] - Operating expenses are projected to decrease significantly in 2025, with a forecast of $250 million to $260 million, down $100 million from 2024 [15] Stock Performance - Following the earnings announcement, GPRO's shares fell by 15.7% in pre-market trading, with a 58.2% decline over the past year compared to a 17.2% increase in the Audio-Video Production industry [5]

Core Viewpoint - GoPro reported a quarterly loss of $0.09 per share, which was better than the Zacks Consensus Estimate of a loss of $0.11, indicating an earnings surprise of 18.18% [1] Financial Performance - GoPro's revenues for the quarter ended December 2024 were $200.88 million, surpassing the Zacks Consensus Estimate by 0.87%, but down from $295.42 million year-over-year [2] - The company has exceeded consensus EPS estimates for the last four quarters [2] Stock Performance and Outlook - GoPro shares have not appreciated since the beginning of the year, contrasting with the S&P 500's gain of 3.1% [3] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it is expected to perform in line with the market in the near future [6] Earnings Estimates - The current consensus EPS estimate for the upcoming quarter is -$0.08 on revenues of $137.57 million, and for the current fiscal year, it is $0.07 on revenues of $760.68 million [7] Industry Context - The Audio Video Production industry, to which GoPro belongs, is currently in the top 21% of over 250 Zacks industries, indicating a favorable industry outlook [8]

Financial Data and Key Metrics Changes - In Q4 2024, revenue was $201 million, in line with guidance, while GAAP net loss per share was $0.24 and non-GAAP net loss per share was $0.09, exceeding guidance [19][20] - Subscription and service revenue grew 9% year over year, primarily due to an 8% increase in ARPU, with aggregate subscription retention reaching a record 69% [20][22] - Operating loss was $80 million compared to a loss of $34 million in 2023, with retail revenue accounting for 75% of total revenue at $601 million, down 15% year over year [23][24] Business Line Data and Key Metrics Changes - Subscription attached rate from cameras sold was 34%, up from 29% in Q4 2023, indicating a 16% improvement [22] - Sell-through in Q4 was approximately 770,000 camera units, resulting in a decrease of over 170,000 units in channel inventory [20] - ASP was $346 compared to $330 in Q4 2023, reflecting a positive trend in pricing [22] Market Data and Key Metrics Changes - Retail revenue decreased by 15% year over year, while product revenue dropped 54% year over year [23] - Sell-through for the year was 2.5 million units, down 32% year over year [24] Company Strategy and Development Direction - The company is focused on reducing operating expenses by nearly 30% from 2024 and enhancing product design efficiency [25][31] - Plans to launch new products, including the Max 2 360 camera, are aimed at restoring growth and profitability by 2026 [17][31] - The company aims to expand its total addressable market (TAM) and establish itself as a market leader through innovation [17][64] Management's Comments on Operating Environment and Future Outlook - Management acknowledged macroeconomic headwinds, competition, and currency fluctuations as challenges impacting revenue and unit sales in 2025 [16][24] - The company expects a decline in unit sales and revenue in 2025 but anticipates a return to growth in 2026 with new product launches [17][31] Other Important Information - The company has completed validation of its next-generation SOC GP3, which is expected to set new performance standards in the digital imaging industry [16] - Cash position is projected to be approximately $80 million at the end of Q1 2025, with plans to manage inventory below $100 million [27][30] Q&A Session Summary Question: Subscriber guidance for 2025 - Management expects subscriber count to decline to approximately 2.4 million, down about 120,000, due to lower unit sales but improved ARPU will help offset this [36] Question: Guidance for 2025 revenue - Management refrained from providing precise revenue guidance for 2025, citing headwinds from competition and foreign exchange [39][42] Question: Reintroduction of Max 1 - The decision to reintroduce Max 1 was based on market demand and software enhancements, and it is expected to be margin accretive [48][52] Question: GP3-enabled camera release - Management could not provide specific details on the release of GP3-enabled cameras due to competitive reasons [55] Question: Long-term subscription growth - Management indicated that while hardware sales have historically driven subscription revenue, new software experiences are being developed to enhance engagement and conversion rates [59][60]

Q4 2024 Preliminary Earnings Results Summary February 6, 2025 Copyright © 2025. GoPro, Inc. All rights reserved. SAFE HARBOR STATEMENT This presentation may contain projections or other forward-looking statements within the meaning Section 27A of the Private Securities Litigation Reform Act. Words such as "anticipate," "believe," "estimate," "expect," "intend," "should," "will," "plan" and variations of these terms or the negative of these terms and similar expressions are intended to identify these forward ...

Revenue Performance - Fourth quarter revenue was $201 million, down 32% year-over-year, with full year revenue at $801 million, down 20% year-over-year[7] - Subscription and service revenue increased 10% year-over-year to $107 million, with a subscriber count of 2.52 million, up 1% year-over-year[7] - Retail channel revenue was $150 million, accounting for 74% of total revenue, down 34% year-over-year[7] - Revenue for Q4 2024 was $200,882 thousand, a decrease of 32.0% compared to $295,420 thousand in Q4 2023[18] Profitability and Loss - GAAP net loss for Q4 was $37 million, or $(0.24) loss per share, compared to a net loss of $2 million or $(0.02) loss per share in the prior year[7] - Non-GAAP net loss for the full year was $370 million, or $(2.42) loss per share, compared to a non-GAAP net loss of $20 million or $(0.13) loss per share in the prior year[9] - Adjusted EBITDA for 2024 was negative $72 million, compared to negative $27 million in the prior year[9] - Operating loss for the year ended December 31, 2024, was $135,033 thousand, compared to a loss of $75,463 thousand in 2023, representing an increase of 78.9%[18] - Net loss for Q4 2024 was $37,191 thousand, significantly higher than the net loss of $2,418 thousand in Q4 2023[18] Cash Flow and Assets - Cash and cash equivalents decreased to $102,811 thousand as of December 31, 2024, from $222,708 thousand at the end of 2023, a decline of 53.8%[20] - Total assets decreased to $543,678 thousand in 2024 from $967,951 thousand in 2023, a reduction of 43.8%[20] - Total liabilities decreased slightly to $391,989 thousand in 2024 from $412,105 thousand in 2023, a decrease of 4.9%[20] Expenses - Research and development expenses increased to $50,025 thousand in Q4 2024, up 14.5% from $43,892 thousand in Q4 2023[18] - Total stock-based compensation for the year ended December 31, 2024, was $29,132 thousand, down from $41,479 thousand in 2023[25] - Total acquisition-related costs for the year ended December 31, 2024, were $2,352 thousand, up from $822 thousand in 2023[25] Future Plans and Strategies - The company plans to reduce operating expenses by nearly 30% in 2025 to return to growth and profitability by 2026[3] - The company plans to focus on new product development and market expansion strategies to improve future performance[22] - The company is diversifying its supply chain outside of China to improve operational efficiencies and gross margin[4] Gross Margin - GAAP gross margin for 2024 was 33.8%, an increase of 160 basis points compared to the prior year[9] - GAAP gross margin as a percentage of revenue for Q1 2024 was 34.7%, slightly up from 34.2% in Q1 2023[26] - Non-GAAP gross margin for Q1 2024 was 35.1%, compared to 34.4% in Q1 2023[26]

SAN MATEO, Calif., Feb. 3, 2025 /PRNewswire/ -- GoPro, Inc. (NASDAQ: GPRO) today announced that its diversified supply chain mitigates the potential impact of U.S. tariffs. The company does not expect U.S. consumer pricing or gross margin to be materially affected by recent U.S. tariff announcements on in-bound goods to be sold in the U.S."Over the last few years, we proactively moved our U.S.-bound camera production outside of China, which has significantly reduced the impact of tariffs," said Brian McGee, ...