GoPro (GPRO) Q4 2025 earnings summary

Executive summary

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

• Expanded hardware and software offerings, including new cameras, gimbal, AI-powered features, and the launch of Premium+ in 2024.

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

• Recognized for innovation with a third Emmy® for 360-degree camera technology and U.S. ITC patent victories blocking infringing competitor products.

• Next-generation GP3 AI-enabled processor to launch in Q2 2026, expected to drive premium product growth and address prior low-light performance gaps.

Financial highlights

• FY25 revenue was $652 million, down 19% year-over-year, with Q4 revenue at $202 million; adjusted EBITDA for FY25 was $(29) million, with Q4 adjusted EBITDA of $1 million.

• Full-year operating expenses reduced by $93 million (26%) to $261 million.

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

• Adjusted EBITDA improved to -$29 million from -$72 million year-over-year.

• Cash flow from operations improved by $104 million year-over-year.

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 declining 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.