GoPro Q2 Earnings: Wider Loss, Revenues Down 18% YoY, Camera Sales Down 23%

GoPro reported a Q2 2025 non-GAAP loss per share of 8 cents, wider than the Zacks Consensus Estimate of a loss of 7 cents. Revenues were down 18% YoY at $152.6 million, within the company's expectation of $145 million. The firm sold 500,000 camera units, down 23% YoY, and subscription and service revenue amounted to $26 million. Revenues from the Americas were up 11% from the prior-year levels.

GoPro Inc. (NASDAQ: GPRO) reported its second-quarter 2025 financial results on August 11, 2025, with a non-GAAP loss per share of 8 cents, slightly wider than the Zacks Consensus Estimate of a loss of 7 cents. The company reported revenues of $152.6 million, down 18% year-over-year (YoY), within the expected range of $145 million. The firm sold 500,000 camera units, a 23% decrease from the prior year, and subscription and service revenue remained flat at $26 million. Revenues from the Americas were up 11% from the prior year levels.

The company achieved a gross margin of 36.0%, up from 30.7% in the same period last year, marking an improvement of 530 basis points. This increase was driven by reduced operating expenses, which were cut by 32% YoY. Adjusted EBITDA improved by 83% to negative $6 million, from negative $33 million in the prior year.

GoPro's retail channel revenue was $111 million, or 73% of total revenue, down 19% YoY. GoPro.com revenue, including subscription and service revenue, was $41 million, or 27% of total revenue, down 16% YoY. The company's subscriber count ended the quarter at 2.45 million, down 3% YoY.

GoPro's CEO, Nicholas Woodman, noted that the company's initiatives to reduce operating expenses and improve gross margin are beginning to deliver meaningful results. The company expects to launch a broader, more diversified suite of hardware and software products in the second half of 2025, which is expected to restore revenue growth and profitability.

The company also announced the closure of a second lien credit facility of $50 million, as part of which it issued 11.1 million warrants to purchase shares of its common stock at an exercise price of $1.25. Additionally, a United States Administrative Law Judge with the International Trade Commission issued an initial determination that one of GoPro's 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.

GoPro's CFO, Brian McGee, stated that the company expects second-half revenue of approximately $390 million, with adjusted EBITDA of $20 million, a significant improvement from a $9 million loss in the prior year. He anticipates resuming revenue growth in Q4 2025, driven by new product launches and operational efficiencies.

References:
[1] https://finance.yahoo.com/news/gopro-inc-gpro-q2-2025-070657429.html
[2] https://investor.gopro.com/press-releases/press-release-details/2025/GoPro-Announces-Second-Quarter-Results/default.aspx