GoPro faces going concern warning, explores sale as 2025 revenue drops 44%
GPRO•GoPro reported operating losses, negative cash flows and $651.5 million in 2025 revenue, down 44% from four years earlier, raising substantial doubt about its ability to continue as a going concern. The company is in talks with lenders and has engaged advisors to explore strategic alternatives, including sale or merger.
1. Operating Losses and Cash Flow Shortfalls
GoPro has recorded consecutive operating losses and negative operating cash flows in recent years, leading to a critical reassessment of its financial viability.
2. Financing Arrangements and Going Concern Doubts
PricewaterhouseCoopers’ inclusion of “going concern” language and recent financial statement refiling indicate creditors could declare an event of default under GoPro’s financing agreements.
3. Strategic Alternatives and Lender Negotiations
GoPro is engaged in active discussions with lenders including Farallon Capital Management and Wells Fargo, and has hired a financial advisory firm to explore sale, merger or other restructuring options.
4. Revenue Decline and Business Diversification Efforts
Revenue fell to $651.5 million in 2025, a 44% drop from 2021, prompting GoPro to partner with consulting firm Oliver Wyman on defense and aerospace applications to broaden its market.
