GoPro first-quarter revenue of $175 better than expected

GoPro Inc. announced financial results for its first quarter ended March 31, 2023. The company’s revenue was $175 million, down 19% year-over-year, but 6% higher than the midpoint of prior Q1 guidance. GAAP net loss was $30 million down from net income of $6 million in the prior year period. Non-GAAP net loss was $29 million.

On the positive side, GoPro subscriber count ended Q1 at approximately 2.36 million, up 36% year-over-year. GoPro.com revenue, including subscription and service revenue, was up 7% year-over-year at $95 million, or 54% of total revenue. Revenue from the retail channel was $80 million, down 38% year-over-year. Subscription and service revenue increased 24% year-over-year to $23 million.

“In Q1 2023, GoPro exceeded expectations thanks to better-than-expected demand for our products and subscription services,” said Nicholas Woodman, GoPro’s founder and CEO. “Capitalizing on our momentum, effective today, we’re implementing an updated go-to-market strategy that restores our product pricing to pre-pandemic levels, which we believe will accelerate growth in units, subscribers, revenue and earnings.”

“Our pandemic strategy allowed us to address supply chain and retail channel constraints while driving ASPs, increasing profitability and rapidly growing our subscriber base to more than two million subscribers,” said Brian McGee, GoPro’s CFO and COO. “In our post-pandemic world, we are now implementing an updated go-to-market strategy that we believe will result in revenue and earnings growth that we will use to drive innovation and significantly increase share buybacks.”