Struggling GoPro Falls Brief On Earnings; Proclaims New CFO
Gross sales of motion digital camera maker GoPro fell in need of Wall Road expectations on Wednesday, with the corporate reporting a lack of eight cents per share, whereas analysts have been predicting a mean of zero cents.
Fourth quarter income additionally fell brief, coming in at $437 million, however buyers had been forecasting $496 million. The corporate beforehand decreased expectations when it introduced disappointing steerage for the fourth quarter, however GoPro nonetheless managed to considerably miss the bar.
The corporate additionally introduced that it is going to be naming a brand new CFO subsequent month. “Brian McGee, a 30-yr finance veteran who has served as CFO of two publicly-traded corporations and who joined GoPro in 2015 from Qualcomm will succeed CFO Jack Lazar efficient March eleven,” stated the corporate assertion.
It’s been a troublesome journey for GoPro — Even earlier than right now, it’s inventory had fallen eighty three% prior to now six months. Final month, the corporate additionally introduced layoffs.
As TechCrunch’s Josh Constine notes, numerous this is because of present customers selecting to not improve to the most recent GoPro fashions. If you have already got a GoPro, you don’t want one other.
The corporate has been doing what it may to remain related. Making an attempt to capitalize on the newest livestreaming development, GoPro lately introduced that it was integrating with Periscope.
GoPro has been making an attempt to model itself as a media firm, to deemphasize its hardware gross sales issues. The corporate not solely encourages livestreams, however asks individuals to add their nice snowboarding, browsing and different footage to YouTube. It has been making an attempt to promote buyers on this media branding since its IPO in 2014, however plainly the general public doesn’t purchase it – GoPro is essentially seen as a digital camera maker.
GoPro closed Wednesday at $10.seventy four. Shares have been briefly halted.