GoPro 2025 Q3 Earnings Net Loss Widens 158.8% Despite New Product Launches

GoPro (GPRO) reported fiscal 2025 Q3 earnings on November 7, 2025, with results falling short of expectations. The company posted a 37.1% revenue decline to $162.92 million and an adjusted EPS of -$0.09, missing the $0.04 forecast. Guidance for Q4 2025 and 2026 remains optimistic, with management targeting a return to growth and profitability.

Revenue

GoPro’s total revenue plummeted by 37.1% to $162.92 million in Q3 2025, compared to $258.90 million in the prior year. The decline reflects ongoing market challenges and strategic product launch timing.

Earnings/Net Income

The company’s net loss widened to $21.25 million, or $0.13 per share, representing a 158.8% increase from the $8.21 million loss in 2024 Q3. This marks a 160.0% deterioration in per-share losses, underscoring significant financial strain.

Price Action

GPRO shares fell 4.08% in a single trading day, 22.34% over the week, and 30.45% month-to-date, reflecting investor concerns.

Post-Earnings Price Action Review

A historical strategy of buying GPRO shares on earnings dates and holding for 30 days yielded a 23.8% cumulative return over three years, outperforming the NASDAQ Composite’s 14.9% gain. This suggests short-term momentum tied to earnings announcements, though risks like trading fees and market volatility remain unaccounted for in the simulation.

CEO Commentary

CEO Nicholas Woodman described Q3 as a “meaningful step forward,” highlighting new hardware (MAX2 360, LIT HERO, Fluid Pro AI gimbal) and software innovations. He anticipates revenue growth and profitability resuming in Q4 2025 and 2026, emphasizing operational efficiency and market expansion.

Guidance

GoPro expects Q4 gross margin to dip to 32% due to tariffs but aims to reduce operating expenses by over 25% year-over-year. The company forecasts sustained positive cash flow and a 30% reduction in channel inventory, supporting its path to profitability.

Additional News

1. CEO Investment: Nicholas Woodman invested $2 million in GoPro shares, signaling confidence in the turnaround.

2. Product Strategy: The company plans 2026 launches leveraging the GP3 processor to expand its total addressable market.

3. Tariff Mitigation: Management outlined plans to offset margin pressures via price increases and supply chain diversification.

Conclusion

GoPro’s Q3 results highlight a challenging period, but strategic product diversification and cost discipline position the company for potential recovery in 2026. Investors remain cautious, with a “hold” consensus and a median price target 55% below current levels.