SAN MATEO, Calif. (BRAIN) — Founder and CEO Nicholas Woodman said GoPro is in the "later stages of the process" to sell or merge the financially struggling company. Woodman spoke Monday during the company's second-quarter earnings call, when GoPro announced revenue declined 31% year-over-year.
Woodman said the action-camera brand has received inquiries from defense, consumer, and financial sectors. "As I've shared, this process has my full support," he said.
Quarterly revenue was $105 million, compared with $153 million at the same time last year. Sell-through decreased 38% year-over-year to about 291,000 camera units. Retail channel revenue was $58 million, — 56% of the total revenue — and down 48% compared with the same time last year. GoPro.com revenue, which includes subscription and service revenue was $47 million — 44% of total revenue — a 13% increase year-over-year.
Adjusted EBITDA was negative $29 million compared with negative $6 million at the same time last year.
Second-quarter GAAP net income loss was $51 million ($0.30 loss per share), compared with a net loss of $16 million ($0.10 loss per share) at the same time last year. GAAP and non-GAAP net loss for the quarter included a $19 million benefit from tariff refunds, partially offset by a $15 million charge the company said was related to "certain component purchase commitments."
GoPro began releasing its new MISSION 1 PRO and MISSION 1 compact cinema cameras in May. Also, its "tech-enabled" motorcycle helmet initiative, which is jointly developed with Italian helmet brand AGV, continues to progress. The helmet recently obtained the ECE 22.06 safety standard compliance.
In July, Woodman said he would provide $20 million in financing through the purchase of common stock after the company announced in May it could be sold or merged to maximize value for stockholders.
A couple weeks later, the Nasdaq Stock Market notified GoPro for the second time that its Class A common stock has been below the minimum bid price of $1 for 30 consecutive days, which is in violation of listing rules. Nasdaq first notified GoPro in April that its stock could be delisted for the same reason.
GoPro's corporate headquarters are in San Mateo. Its stock is traded on NASDAQ under the GPRO symbol. GoPro stock quote at Marketwatch.com.
