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    GoPro cutting about 100 jobs after weak 4Q sales

    By SHOOTUpdated:No Comments1035 Views
    NEW YORK (AP) --

    Wearable camera maker GoPro says it will eliminate about 100 jobs after its fourth-quarter sales fell far short of its expectations.

    GoPro says fourth-quarter revenue was $435 million instead of the $500 million to $550 million it forecast in October. The company lowered the price of its new Hero4 Session camera after saying it made the product too expensive, which reduced its fourth-quarter revenue by $21 million.

    FactSet says analysts expected GoPro to report $521.2 million in revenue.

    The San Mateo, California, company had around 1,500 employees at the end of 2015 after hiring more than 500 people that year. It is cutting 7 percent of its jobs, or around 100 positions.

    GoPro's products are popular with extreme sports enthusiasts, but it faces competition from smartphones and other wearable gear.

    It was already predicting a drop in sales compared to last year because it didn't launch a new product in the fourth quarter. The new forecast means revenue dropped about 31 percent from the fourth quarter of 2014.

    GoPro shares closed at $14.61 on Wednesday, down 71 percent over the past 12 months. The stock skidded 22 percent to $11.40 in aftermarket trading.

    GoPro Inc.'s June 2014 initial public offering priced at $24 per share.

    Tags:GoPro



    “Sonic the Hedgehog 3” Tops Weekend Box Office

    Sunday, December 22, 2024

    In the holiday season battle of big-budget family movies, Paramount Pictures' "Sonic the Hedgehog 3" sped past the Walt Disney Co.'s "Mufasa: The Lion King" to take the top spot at the box office ahead of the lucrative Christmas corridor in theaters.

    "Sonic the Hedgehog 3" debuted with $62 million in ticket sales over the weekend, according to studio estimates. With strong reviews (86% fresh on Rotten Tomatoes) and a high score from audiences (an "A" on CinemaScore), "Sonic 3" is well positioned to be the top choice in cinemas during the busiest moviegoing period of the year.

    It was telling of some wider trends that "Sonic 3" — made for $122 million — bested one of Disney's top properties. Videogame adaptations, once among the most derided movie genres, have emerged as one of the most dependable box office forces in recent years. The two previous "Sonic" movies together grossed more $700 million worldwide and the third installment appears likely to do better than both of them. A fourth "Sonic" movie is already in development.

    "Mufasa," however, was humbled in its opening weekend, with its $35 million in domestic ticket sales coming in notably shy of expectations . The photorealistic "Lion King" prequel even opened wider than "Sonic 3," launching on 4,100 theaters and gobbling up most IMAX screens, compared with 3,761 locations for "Sonic 3."

    Though "Mufasa's" reviews were poor (56% fresh on Rotten Tomatoes), audiences gave it an "A-" CinemaScore.

    "Sonic 3" nearly doubled the haul for "Mufasa," which cost more than $200 million to make. Disney could look to $87.2 million in international sales to help make up the difference. The third "Sonic" will rollout in most overseas markets in the coming weeks.

    In director Jeff... Read More

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