GoPro Cuts $93M Costs, Reports $202M Q4, Unveils 5nm GP3 AI Processor
GoPro’s fiscal 2025 saw $93M in cost cuts, a 34% gross margin and $104M higher cash flow despite Q4 revenue of $202M falling short. It forecasts 2026 revenue of $750–$800M and $10–$20M adjusted EBITDA while unveiling a 5nm GP3 processor with AI NPU for Q2 cameras.
1. Fiscal 2025 Performance and 2026 Guidance
Fiscal 2025 saw operating expense reductions of $93 million, a 34% gross margin and a $104 million improvement in cash flow despite Q4 revenue of $202 million missing targets; GoPro reported positive adjusted EBITDA of $1 million for the quarter. For 2026 it forecasts $750–$800 million in revenue with $10–$20 million of adjusted EBITDA, warning of approximately 500 basis points of margin pressure from tariffs and higher memory costs.
2. Executive Role Changes
Founder and CEO Nicholas Woodman announced that Brian Tratt will assume the role of chief financial officer and Brian McGee will transition from CFO to president and chief operating officer, both effective March 17, aiming to strengthen operational alignment and execution across the company.
3. GP3 Processor and Product Roadmap
GoPro previewed its 5nm GP3 system-on-chip featuring a dedicated AI neural processing unit that doubles pixel-processing power, extends battery life by up to 90% versus rivals and improves thermal performance; the company plans to launch GP3-based cameras in the second quarter.
4. AI Content Licensing and Strategic Partnerships
The AI content licensing initiative has accumulated over 500,000 hours of subscriber-contributed footage for model training, with revenue recognition expected in Q1 and first payouts later this year; GoPro also is developing a tech-enabled motorcycle helmet with AGV and will pursue additional third-party licensing agreements throughout 2026.