GoPro in search of renewal to reassure Wall Street

by bold-lichterman

GoPro does not reassure the markets. After announcing in January the dismissal of 7% of its workforce, the camera manufacturer has just publish a loss of 34.4 million dollars (GAAP) in the fourth quarter of 2015. A result in sharp decline since, a year earlier, at the same period, the company reported a profit of 122.2 million dollars. Turnover for its part fell 31.1% to $ 436.6 million over the last three months of the year.

Beyond its quarterly results, it is also GoPro’s performance over the year as a whole that does not reassure investors. Thus, if the turnover for fiscal year 2015 shows a growth of 16.2%, to 1.6 billion dollars, the profit is for fell by 71.8%, to 36.1 million dollars ( against more than 128 million in 2014). With such a trend, the GoPro share price has fallen on the stock market for several months, for a valuation of around 1.4 billion dollars today.

New software developments

“In 2015, we achieved 16% year-over-year revenue growth and the fourth quarter was the second highest revenue quarter in company history. However, growth slowed in the second half of the year and we recognize the need to develop software solutions that make it easier for our customers to obtain, access and edit their GoPro content ” , said Nicholas Woodman, the company’s CEO.

The company has also delivered its projections for the coming year. For 2016 as a whole, GoPro expects sales of between $ 1.35 billion and $ 1.5 billion, down from 2015.

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