![GoPro reports their performance from the second quarter of 2017 is slowly getting back on track. [Image Credit: VaughnFryWillDie/Youtube]](https://staticr1.blastingcdn.com/media/photogallery/2017/8/6/660x290/b_502x220x82/gopro-reports-their-performance-from-the-second-quarter-of-2017-is-slowly-getting-back-on-track-image-credit-vaughnfrywilldieyoutube_1491465.jpg "GoPro reports their performance from the second quarter of 2017 is slowly getting back on track. [Image Credit: VaughnFryWillDie/Youtube]")
Gopro is experiencing a roller coaster of events these past years. The camera company started off well with their products flying off the shelves. They have often been credited with revolutionizing the world of action cameras. Their line of little cube gadgets and photography equipment impressed millions of consumers.
Like all other businesses, sales and profitability will not always be favorable to the company. The past years showed a quick downturn for the group. The company experienced their worst sales in 2016. They preferred to set their sights forward and opted to do strategic moves to regain their profitability.
A comparison of numbers
GoPro released their quarterly accomplishments, and the numbers did not look as grim as predicted. The company performed so much better compared to Wall Street expectations. They reported a nine cents loss per share compared to Thomson Reuters’ prediction of 25 cents. To cover the bigger picture, they further reported earning 297 million dollars in sales versus Reuters’ expected 269.6 million.
Their earnings from the second quarter of 2017 posted a 34 percent increase versus data from 2016. Compared to their best years of 2014 and 2015, these number rates immensely low. On a positive note, they succeeded in narrowing down their losses to 30 million dollars. This is one-third less than the losses from 2016.
Second quarter performances
Analysts utilize data from the past years to further assess the company’s growth and performance. For example, their records for 2017 were compared to the same quarter numbers from the previous year. In 2016, the action camera manufacturer declared earnings of 52 cents per share based on revenue of 220.8 million dollars.
Based on this count, its revenue hiked by 34 percent. Sales from outside the United States contributed to half of the company’s revenue. Overall, their stocks fell by four percent throughout the year. This is minimal compared to the more important fact that stocks rose with a seven percent increase.
Strategic moves to get back on track
Nicholas Woodman, GoPro’s Chief Executive Officer, attributed their unexpected performance to an unusual but successful mix of consumer demand and Cost Cutting measures. He predicts the company would fully regain its profitability before the year ends.
News on GoPro’s cost cutting measures hit the headlines more than a year ago. They laid off a large chunk of their workforce in the past 16 months. Their last batch of terminated employees occurred in March of this year. In total, nearly 300 personnel reportedly lost their jobs in the company’s effort to reboot its Business and get back on track.
Focus on what works
Aside from this decision, they also decided to cancel their entertainment division completely.
A lot of plans were under way for this area, but they decided to strategize elsewhere. They redirected their energies back to their products.
GoPro had to make difficult decisions to help minimize their losses. Critics say these were bold moves and most applauded their ability to bounce back. Though this may be done slowly and in several months, at least they are going in the right direction.
