: GoPro earnings top estimates, but executives warn of headwinds #FinanceUSA #StockMarketNEWS Shares of GoPro Inc. were headed slightly higher in after-hours trading Thursday after the maker of action
@stockMarketNEWS 6 Days ago
GoPro earnings top estimates, but executives warn of headwinds #FinanceUSA #StockMarketNEWS
Shares of GoPro Inc. were headed slightly higher in after-hours trading Thursday after the maker of action cameras topped expectations with its second-quarter results but acknowledged that inflation and foreign exchange could weigh on performance in the back half of the year. The company logged net income of million, or 2 cents a share, whereas it posted net income of million, or 10 cents a share, in the year-earlier quarter. The prior-year period witnessed a million tax benefit. On an adjusted basis, GoPro earned 8 cents a share, down from 12 cents a share in the year-earlier quarter, whereas analysts surveyed by FactSet were anticipating 7 cents a share. GoPro's revenue inched up to 1 million from 0 million and came in above the FactSet consensus, which was for 9 million. For the third quarter, GoPro anticipates revenue of 5 million to 5 million, while analysts had been looking for 5 million. The company also expects 15 cents to 19 cents in adjusted earnings per share, while the FactSet consensus called for 28 cents. In prepared remarks published ahead of GoPro's earnings call, Chief Financial Officer Brian McGee acknowledged "key macro dynamics impacting our business," including that big-box retailers "are actively reducing their inventories along with weeks of supply." He also expects impacts from foreign exchange and noted that "Inflation, rising interest rates and other macroeconomic issues may impact demand as well as competition for share of wallet." Additionally, McGee said that GoPro was "actively evaluating options to optimize profitability while staying laser focused on our longer-term strategy and growth initiatives." Shares were up 0.4% in the aftermarket. They've lost 31% over the past 12 months as the S&P 500 has fallen 31%.