EX-99.1 2 gpro2025-06x30exh991xer.htm EX-99.1 Document

EXHIBIT 99.1
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GoPro Announces Second Quarter Results
Revenue was $153 million
Gross Margin Improved to 36.0% from 30.7% Year-over-Year

SAN MATEO, Calif., August 11, 2025 - GoPro, Inc. (NASDAQ: GPRO) announced financial results for its second quarter ended June 30, 2025, and posted management commentary, including forward-looking guidance, in the investor relations section of its website at https://investor.gopro.com.
“The initiatives we undertook in 2024 to reduce operating expenses and improve gross margin are beginning to deliver meaningful results. In Q2 2025, year-over-year, we improved gross margin to 36.0%, up from 30.7%, reduced operating expenses 32% and improved adjusted EBITDA 83%,” said Brian McGee, GoPro's CFO and COO.
“Our Q2 results reflect consistent operational execution and efficiency, and we’re excited to launch a broader, more diversified suite of hardware and software products in the second half of 2025, which we believe will restore revenue growth and profitability to our business starting in Q4 2025,” said Nicholas Woodman, GoPro’s founder and CEO.
Q2 2025 Financial Results
•Revenue was $153 million, down 18% year-over-year.
•Sell-through was approximately 500,000 camera units, down 23% year-over-year.
•Subscription and service revenue was flat year-over-year at $26 million. GoPro subscriber count ended Q2 at 2.45 million, down 3% year-over-year.
•Revenue from the retail channel was $111 million, or 73% of total revenue and down 19% year-over-year. GoPro.com revenue, including subscription and service revenue, was $41 million, or 27% of total revenue and down 16% year-over-year.
•GAAP gross margin was 35.8% compared to 30.5% in the prior year quarter. Non-GAAP gross margin was 36.0% compared to 30.7% in the prior year quarter.
•GAAP net loss was $16 million, or a $(0.10) loss per share, compared to a net loss of $48 million or $(0.31) loss per share, in the prior year period.
•Non-GAAP net loss was $12 million, or a $(0.08) loss per share, compared to non-GAAP net loss of $36 million, or $(0.24) per share, in the prior year period.
•Adjusted EBITDA was negative $6 million compared to negative $33 million in the prior year period, an 83% improvement year-over-year.

Recent Business Highlights
•GoPro closed a second lien credit facility of $50 million. As part of the agreement, GoPro issued an aggregate of 11.1 million warrants to purchase shares of our common stock at an exercise price of $1.25.
•A United States Administrative Law Judge with the International Trade Commission issued an initial determination that one of our China-based competitors, Insta360, violated federal law by importing and selling products that infringe on a patent covering GoPro’s iconic HERO camera design in the U.S. A final determination will be issued on or before November 10, 2025.


•GoPro announced a new opt-in AI Training program that enables U.S. subscribers to voluntarily make their user-generated content available for GoPro to license to leading technology companies seeking diverse, real-world footage to enhance the performance and accuracy of their AI models. The GoPro subscriber community’s vast data lake, containing more than 450 petabytes of cloud-based, high-quality video content, which translates into more than 13 million hours of video, represents a valuable opportunity for AI developers to train their models with a rich and varied dataset.
•GoPro launched HERO13 Black Ultra Wide Edition, a special edition of our flagship HERO13 Black camera bundled in-box with our Ultra Wide Lens Mod pre-installed on the camera, making it simple to capture low-distortion, incredibly wide-angle 177-degree perspectives that make you feel like you’re fully immersed in the moment.
•GoPro added two easy and powerful 360 editing tools to the GoPro App, MotionFrame and POV, offering a simple way to review, capture and share traditional fixed-frame videos and photos from 360 footage.
•GoPro introduced a limited-edition Forest Green colorway of HERO13 Black, offering a bold, nature-inspired aesthetic designed to appeal to outdoor enthusiasts.
•GoPro refreshed its Board of Directors with the addition of three seasoned executives.

Results Summary:
Three months ended June 30,
($ in thousands, except per share amounts)20252024% Change
Revenue$152,643 $186,224 (18.0)%
Gross margin
GAAP35.8 %30.5 %530 bps
Non-GAAP36.0 %30.7 %530 bps
Operating loss
GAAP$(14,007)$(46,509)(69.9)%
Non-GAAP$(8,480)$(35,413)(76.1)%
Net loss
GAAP$(16,422)$(47,821)(65.7)%
Non-GAAP $(11,957)$(36,179)(67.0)%
Diluted net loss per share
GAAP$(0.10)$(0.31)(67.7)%
Non-GAAP$(0.08)$(0.24)(66.7)%
Adjusted EBITDA $(5,690)$(33,426)(83.0)%



Conference Call
GoPro management will host a conference call and live webcast for analysts and investors today at 2 p.m. Pacific Time (5 p.m. Eastern Time) to discuss the Company’s financial results.
Prior to the start of the call, the Company will post Management Commentary on the “Events & Presentations” section of its investor relations website at https://investor.gopro.com. Management will make brief opening comments before taking questions.
To listen to the live conference call, please call +1 833-470-1428 (US) or +1 404-975-4839 (International) and enter access code 363381, approximately 15 minutes prior to the start of the call. A live webcast of the conference call will be accessible on the “Events & Presentations” section of the Company’s website at https://investor.gopro.com. A recording of the webcast will be available on GoPro’s website, https://investor.gopro.com, from approximately two hours after the call through November 9, 2025.
About GoPro, Inc. (NASDAQ: GPRO)
GoPro helps the world capture and share itself in immersive and exciting ways.
GoPro has been recognized as an employer of choice by both Outside Magazine and U.S. News & World Report for being among the best places to work. Open roles can be found on our careers page. For more information, visit GoPro.com.
Connect with GoPro on Facebook, Instagram, LinkedIn, TikTok, X, YouTube, and GoPro's blog, The Current. GoPro customers can submit their photos and videos to GoPro Awards for an opportunity to be featured on GoPro's social channels and receive gear and cash awards. Members of the press can access official logos and imagery on our press portal.
GoPro, HERO and their respective logos are trademarks or registered trademarks of GoPro, Inc. in the United States and other countries.
GoPro’s Use of Social Media
GoPro announces material financial information using the Company’s investor relations website, SEC filings, press releases, public conference calls and webcasts. GoPro may also use social media channels to communicate about the Company, its brand and other matters; these communications could be deemed material information. Investors and others are encouraged to review posts on Facebook, Instagram, LinkedIn, TikTok, X, YouTube, and GoPro's investor relations website and blog, The Current.
Note Regarding Use of Non-GAAP Financial Measures
GoPro reports gross profit, gross margin percentage, operating expenses, operating income (loss), other income (expense), tax expense (benefit), net income (loss) and diluted net income (loss) per share in accordance with U.S. generally accepted accounting principles (GAAP) and on a non-GAAP basis. Additionally, GoPro reports non-GAAP adjusted EBITDA. Non-GAAP items exclude, where applicable, the effects of stock-based compensation, acquisition-related costs, restructuring and other related costs, gain on insurance proceeds, (gain) loss on extinguishment of debt, gain on the sale and license of intellectual property, goodwill impairment charges, and the tax impact of these items. When planning, forecasting, and analyzing gross profit, gross margin percentage, operating expenses, operating income (loss), other income (expense), tax expense (benefit), net income (loss) and net income (loss) per share for future periods, GoPro does so primarily on a non-GAAP basis without preparing a GAAP analysis as that would require estimates for reconciling items which are inherently difficult to predict with reasonable accuracy. A reconciliation of preliminary GAAP to non-GAAP measures has been provided in this press release, and investors are encouraged to review the reconciliation.


Note on Forward-looking Statements
This press release 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-looking statements. Forward-looking statements in this press release may include but are not limited to statements regarding our expectations for profitability, improved gross margin, revenue growth, subscription growth, and reduced operating expenses; hardware and software product launch, product diversification and statements related to the Company's new opt-in AI learning program, revenue opportunities for participants and the Company, licensing of user-generated content. These statements involve risks and uncertainties, and actual events or results may differ materially. Among the important factors that could cause actual results to differ materially from those in the forward-looking statements include the inability to achieve our revenue growth or profitability in the future, and if revenue growth or profitability is achieved, the inability to sustain it; the fact that an economic downturn or economic uncertainty in our key U.S. and international markets, inflation, and fluctuations in interest rates or currency exchange rates may adversely affect consumer discretionary spending and demand for our products; changes to trade agreements, trade policies, increased tariffs and import/export regulations which may negatively effect on our business and supply chain expenses; the fact that our goal to grow revenue and be profitable relies upon our ability to manage expenses and grow sales from our direct-to-consumer business, our retail partners, and distributors; our ability to acquire and retain subscribers; our reliance on third-party suppliers, some of which are sole-source suppliers, to provide services and components for our products which may be impacted due to supply shortages, long lead times or other service disruptions that may lead to increased costs due to the effects of global conflicts and geopolitical issues such as the ongoing conflicts in the Middle East, Ukraine or China-Taiwan relations; our ability to maintain the value and reputation of our brand and protect our intellectual property and proprietary rights; the risk that our sales fall below our forecasts, especially during the holiday season; the risk we fail to manage our operating expenses effectively, which may result in our financial performance suffering; the fact that our profitability depends in part on further penetrating our total addressable market, and we may not be successful in doing so; the risk we are able to reduce our operating expenses; the fact that we rely on sales of our cameras, mounts and accessories for substantially all of our revenue, and any decrease in the sales or change in sales mix of these products could harm our business; the risk that we may not successfully manage product introductions, product transitions, product pricing and marketing; our ability to achieve or maintain profitability if there are delays or issues in our product launches; the fact that a small number of retailers and distributors account for a substantial portion of our revenue and our level of business with them could be significantly reduced; our ability to attract, engage and retain qualified personnel; the impact of competition on our market share, revenue and profitability; the fact that we may experience fluctuating revenue, expenses and profitability in the future; risks related to inventory, purchase commitments and long-lived assets; the risk that we will encounter problems with our distribution system; the threat of a security breach or other disruption including cyberattacks; the concern that our intellectual property and proprietary rights may not adequately protect our products and services; the outcome of pending or future litigation and legal proceedings; and other factors detailed in the Risk Factors section of our Annual Report on Form 10-K for the year ended December 31, 2024, which is on file with the Securities and Exchange Commission (SEC). These forward-looking statements speak only as of the date hereof or as of the date otherwise stated herein. GoPro disclaims any obligation to update these forward-looking statements.




GoPro, Inc.
Preliminary Condensed Consolidated Statements of Operations
(unaudited)

Three months ended June 30,Six months ended June 30,
(in thousands, except per share data)2025202420252024
Revenue$152,643 $186,224 $286,951 $341,693 
Cost of revenue97,980 129,514 189,139 231,945 
Gross profit54,663 56,710 97,812 109,748 
Operating expenses:
Research and development30,503 46,932 60,060 91,544 
Sales and marketing25,275 41,353 48,533 76,499 
General and administrative12,892 14,934 29,834 29,627 
Goodwill impairment— — 18,600 — 
Total operating expenses68,670 103,219 157,027 197,670 
Operating loss(14,007)(46,509)(59,215)(87,922)
Other income (expense):
Interest expense(1,436)(790)(2,233)(1,464)
Other income, net330 811 1,278 2,019 
Total other income (expense), net(1,106)21 (955)555 
Loss before income taxes(15,113)(46,488)(60,170)(87,367)
Income tax expense1,309 1,333 2,961 299,542 
Net loss$(16,422)$(47,821)$(63,131)$(386,909)
Basic and diluted net loss per share$(0.10)$(0.31)$(0.40)$(2.55)
Shares used to compute basic and diluted net loss per share
157,843 152,502 157,144 151,796 



GoPro, Inc.
Preliminary Condensed Consolidated Balance Sheets
(unaudited)

(in thousands)June 30,
2025		December 31,
2024
Assets
Current assets:
Cash and cash equivalents$58,571 $102,811 
Accounts receivable, net 83,481 85,944 
Inventory84,482 120,716 
Prepaid expenses and other current assets28,934 29,774 
Total current assets255,468 339,245 
Property and equipment, net7,791 8,696 
Operating lease right-of-use assets13,250 14,403 
Goodwill133,751 152,351 
Other long-term assets28,730 28,983 
Total assets$438,990 $543,678 
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable$61,132 $85,936 
Accrued expenses and other current liabilities85,914 110,769 
Short-term operating lease liabilities11,242 10,936 
Deferred revenue52,305 55,418 
Short-term debt98,518 93,208 
Total current liabilities309,111 356,267 
Long-term taxes payable15,041 11,621 
Long-term operating lease liabilities13,912 18,067 
Other long-term liabilities3,011 6,034 
Total liabilities341,075 391,989 
Stockholders’ equity:
Common stock and additional paid-in capital1,035,884 1,026,527 
Treasury stock, at cost(193,231)(193,231)
Accumulated deficit(744,738)(681,607)
Total stockholders’ equity97,915 151,689 
Total liabilities and stockholders’ equity$438,990 $543,678 




GoPro, Inc.
Preliminary Condensed Consolidated Statements of Cash Flows
(unaudited)
Three months ended June 30,Six months ended June 30,
(in thousands) 2025202420252024
Operating activities:
Net loss$(16,422)$(47,821)$(63,131)$(386,909)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation and amortization1,698 1,559 3,416 2,884 
Non-cash operating lease cost1,368 (2,693)1,153 (1,611)
Stock-based compensation5,116 7,791 10,486 16,561 
Goodwill impairment— — 18,600 — 
Deferred income taxes, net(233)(65)(130)296,710 
Impairment of right-of-use assets— 3,276 — 3,276 
Other178 453 284 1,104 
Net changes in operating assets and liabilities17,047 38,105 (19,112)(29,813)
Net cash provided by (used in) operating activities8,752 605 (48,434)(97,798)
Investing activities:
Purchases of property and equipment, net(478)(716)(1,783)(1,680)
Maturities of marketable securities— — — 24,000 
Acquisition, net of cash acquired— — — (12,308)
Net cash provided by (used in) investing activities(478)(716)(1,783)10,012 
Financing activities:
Proceeds from issuance of common stock— 1 374 1,380 
Taxes paid related to net share settlement of equity awards(121)(203)(624)(2,180)
Proceeds from borrowings— — 25,000 — 
Repayment of debt(20,000)— (20,000)— 
Net cash provided by (used in) financing activities(20,121)(202)4,750 (800)
Effect of exchange rate changes on cash and cash equivalents784 (309)1,227 (1,086)
Net change in cash and cash equivalents (11,063)(622)(44,240)(89,672)
Cash and cash equivalents at beginning of period69,634 133,658 102,811 222,708 
Cash and cash equivalents at end of period$58,571 $133,036 $58,571 $133,036 


GoPro, Inc.
Reconciliation of Preliminary GAAP to Non-GAAP Financial Measures

To supplement our unaudited selected financial data presented on a basis consistent with GAAP, we disclose certain non-GAAP financial measures, including non-GAAP gross profit, gross margin percentage, operating expenses, operating income (loss), other income (expense), tax expense (benefit), net income (loss), diluted net income (loss) per share and adjusted EBITDA. We also provide forecasts of non-GAAP gross margin, non-GAAP operating expenses, non-GAAP other income (expense), non-GAAP tax expense (benefit), non-GAAP net income (loss) and non-GAAP diluted net income (loss) per share. We use non-GAAP financial measures to help us understand and evaluate our core operating performance and trends, to prepare and approve our annual budget, and to develop short-term and long-term operational plans. Our management uses and believes that investors benefit from referring to these non-GAAP financial measures in assessing our operating results. These non-GAAP financial measures should not be considered in isolation from, or as an alternative to, the measures prepared in accordance with GAAP, and are not based on any comprehensive set of accounting rules or principles. We believe that these non-GAAP measures, when read in conjunction with our GAAP financials, provide useful information to investors by facilitating:
•the comparability of our on-going operating results over the periods presented;
•the ability to identify trends in our underlying business; and
•the comparison of our operating results against analyst financial models and operating results of other public companies that supplement their GAAP results with non-GAAP financial measures.
These non-GAAP financial measures have limitations in that they do not reflect all of the amounts associated with our results of operations as determined in accordance with GAAP. Some of these limitations are:
•adjusted EBITDA does not reflect income tax expense (benefit), which may change cash available to us;
•adjusted EBITDA does not reflect interest income (expense), which may reduce cash available to us;
•adjusted EBITDA excludes depreciation and amortization and, although these are non-cash charges, the property and equipment being depreciated and amortized often will have to be replaced in the future, and adjusted EBITDA does not reflect any cash capital expenditure requirements for such replacements;
•adjusted EBITDA excludes the amortization of point of purchase (POP) display assets because it is a non-cash charge, and is treated similarly to depreciation of property and equipment and amortization of acquired intangible assets;
•adjusted EBITDA and non-GAAP net income (loss) exclude restructuring and other related costs which primarily include severance-related costs, stock-based compensation expenses, manufacturing consolidation charges, facilities consolidation charges recorded in connection with restructuring actions, including right-of-use asset impairment charges (if applicable), and the related ongoing operating lease cost of those facilities recorded under ASC 842, Leases. These expenses do not reflect expected future operating expenses and do not contribute to a meaningful evaluation of current operating performance or comparisons to the operating performance in other periods;
•adjusted EBITDA and non-GAAP net income (loss) exclude stock-based compensation expense related to equity awards granted primarily to our workforce. We exclude stock-based compensation expense because we believe that the non-GAAP financial measures excluding this item provide meaningful supplemental information regarding operational performance. In particular, we note that companies calculate stock-based compensation expense for the variety of award types that they employ using different valuation methodologies and subjective assumptions. These non-cash charges are not factored into our internal evaluation of non-GAAP net income (loss) as we believe their inclusion would hinder our ability to assess core operational performance;
•adjusted EBITDA and non-GAAP net income (loss) excludes a gain on insurance proceeds because it is not reflective of ongoing operating results in the period, and the frequency and amount of such gains vary;
•adjusted EBITDA and non-GAAP net income (loss) excludes any gain or loss on the extinguishment of debt because it is not reflective of ongoing operating results in the period, and the frequency and amount of such gains and losses vary;


•adjusted EBITDA and non-GAAP net income (loss) excludes goodwill impairment charges as they do not reflect ongoing operating results in the period and hinders our ability to assess core operational performance;
•non-GAAP net income (loss) excludes acquisition-related costs including the amortization of acquired intangible assets (primarily consisting of acquired technology), the impairment of acquired intangible assets (if applicable), as well as third-party transaction costs incurred for legal and other professional services. These costs are not factored into our evaluation of potential acquisitions, or of our performance after completion of the acquisitions because these costs are not related to our core operating performance or reflective of ongoing operating results in the period, and the frequency and amount of such costs vary significantly based on the timing and magnitude of our acquisition transactions and the maturities of the businesses being acquired. Although we exclude the amortization of acquired intangible assets from our non-GAAP net income (loss), management believes that it is important for investors to understand that such intangible assets were recorded as part of purchase accounting and can contribute to revenue generation;
•non-GAAP net income (loss) excludes a gain on the sale and/or license of intellectual property. This gain is not related to our core operating performance or reflective of ongoing operating results in the period, and the frequency and amount of such gains are inconsistent;
•non-GAAP net income (loss) includes income tax adjustments which reflect the current and deferred income tax expense (benefit) and the effect of non-GAAP adjustments;
•GAAP and non-GAAP net income (loss) per share includes the dilutive, tax effected cash interest expense associated with our 2025 Notes in periods of net income, as if converted at the beginning of the period; and
•other companies may calculate these non-GAAP financial measures differently than we do, limiting their usefulness as comparative measures.



GoPro, Inc.
Reconciliation of Preliminary GAAP to Non-GAAP Financial Measures
(unaudited)

Reconciliations of non-GAAP financial measures are set forth below:
Three months ended June 30,Six months ended June 30,
(in thousands, except per share data)2025202420252024
GAAP net loss$(16,422)$(47,821)$(63,131)$(386,909)
Stock-based compensation:
Cost of revenue240 339 488 754 
Research and development2,681 4,016 5,501 8,281 
Sales and marketing935 1,545 1,817 3,289 
General and administrative1,260 1,891 2,680 4,237 
Total stock-based compensation5,116 7,791 10,486 16,561 
Acquisition-related costs:
Research and development469 469 938 625 
General and administrative— 100 3 781 
Total acquisition-related costs469 569 941 1,406 
Restructuring and other costs:
Cost of revenue(19)137 (32)137 
Research and development(611)1,396 (20)2,262 
Sales and marketing(64)831 321 1,298 
General and administrative636 372 1,779 949 
Total restructuring and other costs(58)2,736 2,048 4,646 
Gain on insurance recovery— — (424)— 
Goodwill impairment— — 18,600 — 
Income tax adjustments(1,062)546 79 8,760 
Non-GAAP net loss$(11,957)$(36,179)$(31,401)$(355,536)
GAAP and non-GAAP shares for diluted net loss per share157,843 152,502 157,144 151,796 
GAAP diluted net loss per share$(0.10)$(0.31)$(0.40)$(2.55)
Non-GAAP diluted net loss per share$(0.08)$(0.24)$(0.20)$(2.34)



Three months ended June 30,Six months ended June 30,
(dollars in thousands)2025202420252024
GAAP gross margin as a % of revenue35.8 %30.5 %34.1 %32.1 %
Stock-based compensation0.2 0.2 0.1 0.2 
Restructuring and other costs— — — 0.1 
Non-GAAP gross margin as a % of revenue36.0 %30.7 %34.2 %32.4 %
GAAP operating expenses$68,670 $103,219 $157,027 $197,670 
Stock-based compensation(4,876)(7,452)(9,998)(15,807)
Acquisition-related costs(469)(569)(941)(1,406)
Restructuring and other costs39 (2,599)(2,080)(4,509)
Goodwill impairment— — (18,600)— 
Non-GAAP operating expenses$63,364 $92,599 $125,408 $175,948 
GAAP operating loss$(14,007)$(46,509)$(59,215)$(87,922)
Stock-based compensation5,116 7,791 10,486 16,561 
Acquisition-related costs469 569 941 1,406 
Restructuring and other costs(58)2,736 2,048 4,646 
Goodwill impairment— — 18,600 — 
Non-GAAP operating loss$(8,480)$(35,413)$(27,140)$(65,309)


Three months ended June 30,Six months ended June 30,
(in thousands)2025202420252024
GAAP net loss$(16,422)$(47,821)$(63,131)$(386,909)
Income tax expense1,309 1,333 2,961 299,542 
Interest expense (income), net916 (226)1,164 (1,515)
Depreciation and amortization1,698 1,559 3,416 2,884 
POP display amortization1,751 1,202 3,483 2,064 
Stock-based compensation5,116 7,791 10,486 16,561 
Gain on insurance recovery— — (424)— 
Goodwill impairment— — 18,600 — 
Restructuring and other costs(58)2,736 2,048 4,646 
Adjusted EBITDA $(5,690)$(33,426)$(21,397)$(62,727)


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