GoPro (GPRO) Q4 2025 earnings summary

Executive summary

• Leadership changes included Brian McGee promoted to President and COO, and Brian Tratt to CFO, effective March 17th.

• Expanded hardware and software offerings, including new cameras, gimbal, and AI-powered features, with the GP3 processor launching in Q2 2026 to drive premium product growth.

• Launched AI content licensing and training monetization programs, generating new high-margin revenue streams and strong subscriber engagement.

• Strategic partnership in motorcycle helmets targets a $3B market opportunity, with the Forcite acquisition completed for $12M.

• Recognized for innovation, winning a third Emmy® for 360-degree camera technology in Q3'25.

Financial highlights

• FY25 revenue was $652 million, down 19% year-over-year; Q4 revenue was $202 million.

• Gross margin for FY25 was 33.8%, nearly flat year-over-year despite $20 million in tariff expenses.

• Adjusted EBITDA for FY25 was -$29 million, improved from -$72 million in 2024; Q4 adjusted EBITDA was $1–5 million.

• Operating expenses reduced by $93 million (26%) year-over-year.

• Cash and cash equivalents at year-end 2025 were $49.7 million, down from $102.8 million at year-end 2024.

Outlook and guidance

• 2026 revenue expected to grow to $750–$800 million, nearly 20% growth at midpoint.

• Subscription and service revenue projected to grow ~10%, with ARPU up 10% but subscribers down 7% to 2.2 million.

• Operating expenses targeted at $220–$230 million in 2026, further reduction to $200–$210 million in 2027.

• Adjusted EBITDA expected to reach $10–$20 million in 2026.

• Memory price increases to impact margin by ~500 basis points in 2026.