GoPro releases its latest financial performance figures
GoPro is a company from which one would not expect particularly happy 2020 second-quarter (2Q2020) financial reports. Indeed, the OEM has noted it posted a net profit of -US$50.98 million, and also admitted it now has the lowest staff count (741) on record since 2014.
The action-cam household name also returned earnings before necessary outlays such as interest, depreciation and taxes (or EBDITA) of -$22.37 million. Then again, it also posted revenues of US$44 million for 2Q2020. This was considerably better than the $10 million figure from 2Q2019, and, moreover, was 12% more quarter-on-quarter (QoQ). GoPro now also has $80 million in investments and cash on hand.
This increase in revenue may be due in part to an increased probability that fans of this brand will buy from them online. GoPro.com accounted for a "record" 44% of it in 2Q2020, compared to approximately 10% in 2Q2019. In addition, the brand has observed that the average street price of their cameras is now $300; despite this, units priced greater than this figure represented 95% of its 2Q2020 revenue.
Therefore, consumers apparently prefer higher-end GoPros. They also appear to like paying for its services: there were 372,000 paid subscribers to its Plus platform in 2Q2020, or 5% more QoQ and 57% more year-on-year (YoY).
These more positive results may be due to creative or adaptive use-cases for this company's cameras: they may make decent vlogging equipment around the house, not to mention a new dedicated option in the HERO8 Black that turns this flagship unit into a webcam.
On that note, recent leaks suggest this variant may be due an upgrade soon, which may contribute to a good 3Q2020 for the company.