Cites Karma Drone Issues As Among The Reasons For Underperformance

GoPro reported a revenues below its projected $574.5 million analysts expected in the 4th quarter of 2016, and is unlikely to start 2017 much better.

SGBOnline reports that the company's revenue during the holiday quarter was up nearly 24 percent but still short of projections. First quarter revenue is expected to be between $190 and $210 million, but still fall short of the $267.6 million forecast by Wall Street.

The company reported an annual loss of $419 million.

Among the factors contributing to the loss cited by analysts for the report were a lack of inventory for the Hero5 Black camera, which caused several retailers to put their marketing dollars into products they were sure they would have to sell. The recall of the Karma drone was also an issue.

GoPro founder and CEO Nicholas Woodman acknowledged said in a conference call with analysts that there were “missteps that led to a shortfall of our revenue guidance. We believe we missed an important opportunity to capture perishable demand during the holiday."

Still, Woodman is optimistic about 2017, saying the company is well positioned with innovative products that will "deliver the best storytelling solutions for the GoPro community."

(Image from file)

FMI: www.gopro.com