Business
GoPro Announces First Quarter 2020 Results
Revenue of $119 Million In-Line with Preliminary Results Shared on April 15 GoPro.com Percentage of Revenue Increases; Direct-to-Consumer Transition is
About this update from Gopro, Inc.
[{"type":"text","content":"Revenue of $119 Million In-Line with Preliminary Results Shared on April 15\n GoPro.com Percentage of Revenue Increases; Direct-to-Consumer Transition is Underway\n\n\nSAN MATEO, Calif., May 7, 2020 /PRNewswire/ -- GoPro, Inc. (NASDAQ: GPRO) today announced financial results for its first quarter ended March 31, 2020.\n\n \n \n \n \n \n \n\n \n\"We've taken decisive action to transition into a more efficient and profitable direct-to-consumer business,\" said GoPro founder and CEO, Nicholas Woodman. \"This benefits GoPro with a substantially reduced operating expense model, improved gross margin and a significantly lower threshold to profitability.\"\nGoPro Q1 2020 Financial Results\nRevenue for Q1 2020 was $119 million, in-line with the preliminary results published on April 15, and down from $243 million for the same prior year period. GAAP gross margin for Q1 2020 was 32.2%, slightly down from 33.1% year-over-year. Non-GAAP gross margin for Q1 2020 was 34.2%, flat from the prior year. Q1 2020 GAAP net loss was $64 million, or $0.43 per share. Non-GAAP net loss was $50 million, or $0.34 per share. Q1 2020 GAAP operating expenses of $95 million decreased 6% year-over-year. Q1 2020 non-GAAP operating expenses were $87 million, down 4% year-over-year. GAAP and non-GAAP operating expenses were at their lowest levels since 2014. Adjusted EBITDA for the first quarter of 2020 was negative $41 million, compared to negative $1 million in the same period a year ago. Cash and investments totaled $125 million at the end of Q1 2020.Recent GoPro Highlights\nGoPro.com represented a record percentage of revenue in Q1 2020 at 17%, up from 11% in Q1 2019. Cameras with retail prices above $300 represented nearly 90% of Q1 2020 revenue, continuing a trend of consumers moving to our high-end cameras. GoPro's Plus subscription service ended Q1 2020 with 355,000 paid subscribers, up 14% sequentially and up 69% year-over-year. Social followers increased by more than 1.3 million across all channels in Q1 2020 to more than 44 million, driven primarily by increases on Instagram, TiKTok and YouTube. Organic viewership of GoPro content grew more than 40% both sequentially and year-over-year to a record quarterly high of 243 million organic, non-paid views in Q1 2020. On April 15, GoPro announced Aimée Lapic, former Pandora and Banana Republic Chief Marketi...