GoPro has reported better-than-expected revenue estimates of 1Q.
The company is reported to have lost 5% of its *shares during last trading session in a state of doubt to whether the action-camera company can still meet its previous forecasts even with the delay of its much-anticipated consumer drone.
The digital-camera maker’s revenues totaled $183.5 million, topping the forecast for $169.1 million. But that’s about half of what GoPro earned in the first quarter of last year.
Exclusive report obtained by Bloomberg cites the company having an adjusted$0.63 loss/share — bullish than forecasted $0.59.
As when GoPro looks forward a second-half launch of Hero-5 camera, it seems to have been placing all its chips on an epic second-half surge.
UPDATE: GoPro’s well reputed 3D Robotics is exiting the consumer business to focus on corporate drones.
In accord with some of the analysts, the company could still be able to make its full-annual revenue prediction, where the camera manufacturer did not alter its range worth $1.35 billion – $1.5 billion.
“Most of the revenue has been second half. Quite frankly, that’s the way you need to look at it. We are feeling very good about lessons learned from last year.” – Founder and Chief Executive Nick Woodman
However the proof will be in the second half. In addition to the rivalry from smartphones and other wearable cameras, GoPro might face tough competition in the consumer drone business, dominated by DJI of China.
INSIGHT: In January, GoPro announced to be cutting approximately 7% of its working staff.
Anxiousness on one side is logical for investors – GoPro has to sell off a lot of new devices within very short time duration alongside meeting its forecast to beat last year’s holiday estimates.