Quarterly UpdatesNov 10, 2026, 04:23 PM
GoPro Delays Q3 Filing; Revenue, Margin Plunge Expected
AI Summary
GoPro, Inc. has filed a notification of late filing for its third quarter 2026 report, citing difficulties in completing financial close procedures and accounting for certain financing arrangements. The company anticipates significantly lower revenue and gross margin for Q3 2026 compared to the prior year, with net revenue expected around $96 million and gross margin at 12.7%. GoPro also disclosed ongoing issues with internal controls and potential covenant noncompliance with lenders, which could impact its pending merger. The company expects to file its delayed reports as soon as practicable.
Key Highlights
- GoPro expects Q3 2026 net revenue of approximately $96 million, a significant decrease from $163 million in Q3 2025.
- Q3 2026 gross margin is anticipated to be around 12.7%, down from 35.1% in the prior year's quarter.
- Operating expenses for Q3 2026 are projected at approximately $60 million, compared to $73 million in Q3 2025.
- The company is unable to file its Q3 2026 Form 10-Q and earnings 8-K on time due to complexities in accounting for financing arrangements.
- A material weakness in internal control over financial reporting related to financing arrangements persists.
- GoPro is seeking waivers from lenders and evaluating implications of potential covenant noncompliance.
- There is substantial doubt about the Company’s ability to continue as a going concern for the next twelve months.
Price Impact
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