GoPro Misses the Mark in Q1 Report
A smaller than expected net loss for its first quarter did little to spark a fire under GoPro shares. The company did raise its revenue guidance.
When GoPro Inc. (NASDAQ: GPRO) released its first-quarter financial results after the markets closed on Thursday, the company said that it had a net loss of $0.07 per share on $242.7 million in revenue. That compared with consensus estimates that called for a net loss of $0.09 per share and $234.5 million in revenue.
In the United States, GoPro captured 89% unit share and 97% dollar share of the action camera category in the first quarter, up from 86% and 95%, respectively, year over year, according to the NPD Group.
Organic viewership of GoPro content achieved an all-time quarterly high in the quarter, with 173 million organic, nonpaid views. Social followers increased by 1.3 million to roughly 40 million.
In the post-release conference call, GoPro said that it expects to deliver positive earnings before interest, tax, depreciation and amortization (EBITDA) of $90 million to $100 million and to grow revenues 7% to 10% for the 2019 full year. Consensus estimates calling for $0.29 in EPS and $1.22 billion in revenue for the same period.
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Nicholas Woodman, founder and CEO, commented:
GoPro grew first quarter revenue 20% year-over-year thanks to strong global demand for our products. We are innovating in all areas of our business and driving disciplined expense and inventory management. We believe this, combined with the release of exciting new products, will drive continued growth and as a result we are raising revenue and full-year non-GAAP profitability guidance for 2019.
Shares of GoPro were last seen down less than 1% at $6.62, in a 52-week range of $4.00 to $7.60. The consensus price target is $6.25.
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Chris Lange is a financial and geopolitical writer with more than a decade of experience covering a myriad of topics. He has published thousands of articles for 24/7 Wall St., with past coverage focused heavily on stocks, IPOs, healthcare, defense, global affairs, and technology.
His work has been quoted, or referenced by a number of outlets including Business Insider, USA Today, Yahoo Finance, MSN, The Motley Fool, and many other publications. A graduate of Southwestern University, he studied business with a focus on investments and has previous experience in banking and startups.
When not reading or writing the news, he is following his passion for Lacrosse, playing chess, or building solar projects with his dad.
