Core Viewpoint - GoPro, Inc. reported a narrower non-GAAP loss per share of 12 cents for Q1 2025, which was better than the consensus estimate of a 13-cent loss, indicating a focus on operational efficiency and long-term growth despite a decline in revenues [1][4]. Financial Performance - Revenues for Q1 2025 were $134.3 million, down 13.6% year over year, primarily due to lower accessory sales and increased price promotions, although subscription and service revenues partially offset this decline [2][3]. - The company sold 440,000 camera units in Q1 2025, an 18% decrease from the previous year [5]. - Subscription revenues increased by 4% year over year to $27 million, driven by improved retention rates, with aggregate retention rates reaching 70% [6]. - Non-GAAP gross margin was 32.3%, down from 34.4% in the prior year, while non-GAAP operating loss was $18.7 million, an improvement from a loss of $29.9 million a year ago [8][10]. Operational Efficiency - Operating expenses decreased to $62 million from $83.3 million in the prior year, reflecting the company's strategic focus on cost management [8][13]. - Management expressed confidence that upcoming product launches in late 2025 and 2026 will support a return to revenue and profitability growth [4]. Market Dynamics - The retail channel generated $94 million in revenues, a 12% decline year over year, while revenues from GoPro.com fell 18% to $40 million [7]. - Regionally, revenues from the Americas increased by 7%, while Europe, the Middle East, and Africa saw a 23% decline, and Asia Pacific revenues dropped by 54% [7]. Future Guidance - For Q2 2025, GoPro estimates revenues of $145 million and a non-GAAP adjusted loss of 7 cents per share, with a gross margin forecast of 35.5% [12]. - The company anticipates lower unit sales and revenues for 2025 compared to 2024 due to macroeconomic uncertainties and increased competition, but expects some offset from favorable foreign exchange effects [14][15].

Core Viewpoint - GoPro is expected to report a quarterly loss of $0.13 per share, a 38.1% increase in losses year-over-year, with revenues projected at $124.98 million, reflecting a 19.6% decrease compared to the same period last year [1] Group 1: Earnings Estimates - The consensus EPS estimate for the quarter has been revised downward by 3.1% over the past 30 days, indicating a reassessment by analysts [2] - Changes in earnings estimates are crucial for predicting investor reactions, with empirical studies showing a strong correlation between earnings estimate revisions and short-term stock performance [3] Group 2: Revenue and Key Metrics - Analysts estimate 'Revenue- GoPro.com' at $38.92 million, a decrease of 20.8% from the prior-year quarter [5] - 'Revenue- Retail' is projected to be $85.86 million, down 19.2% from the previous year [5] - The estimated 'Units shipped - Camera' is 342.4 thousand, compared to 393 thousand in the same quarter last year [5] - The estimated 'Average Selling Price' is $365.02, down from $395 in the same quarter of the previous year [6] Group 3: Stock Performance - GoPro shares have increased by 21% over the past month, outperforming the Zacks S&P 500 composite, which rose by 11.3% [6] - With a Zacks Rank of 3 (Hold), GoPro is expected to closely follow overall market performance in the near term [6]