# EDGAR Filing Document

**Accession Number:** 0001500435
**File Stem:** 0001500435-25-000056
**Filing Date:** 2025-8
**Character Count:** 38028
**Document Hash:** 2696857bf409940b403f221384997447
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001500435-25-000056.hdr.sgml**: 20250811

**ACCESSION NUMBER**: 0001500435-25-000056

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 15

**CONFORMED PERIOD OF REPORT**: 20250811

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20250811

**DATE AS OF CHANGE**: 20250811

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** GoPro, Inc.
- **CENTRAL INDEX KEY:** 0001500435
- **STANDARD INDUSTRIAL CLASSIFICATION:** PHOTOGRAPHIC EQUIPMENT & SUPPLIES [3861]
- **ORGANIZATION NAME:** 08 Industrial Applications and Services
- **EIN:** 770629474
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-36514
- **FILM NUMBER:** 251201907

**BUSINESS ADDRESS:**
- **STREET 1:** 3025 CLEARVIEW WAY
- **CITY:** SAN MATEO
- **STATE:** CA
- **ZIP:** 94402
- **BUSINESS PHONE:** 650-332-7600

**MAIL ADDRESS:**
- **STREET 1:** 3025 CLEARVIEW WAY
- **CITY:** SAN MATEO
- **STATE:** CA
- **ZIP:** 94402

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Woodman Labs, Inc.
- **DATE OF NAME CHANGE:** 20100901

?xml version='1.0' encoding='ASCII'? gpro-20250811

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

**FORM 8-K** 

**CURRENT REPORT**

**PURSUANT TO SECTION 13 OR 15(d) OF THE**

**SECURITIES EXCHANGE ACT OF 1934**

**Date of Report (Date of earliest event reported): August 11, 2025**![GoPro_Logo_1C_Black_RGB.jpg](gpro-20250811_g1.jpg)

**GOPRO, INC.** 

**(Exact name of registrant as specified in its charter)**

---

| | | |
|:---|:---|:---|
| **Delaware** | **001-36514** | **77-0629474** |
| **(State or Other Jurisdiction**<br>**of Incorporation)** | **(Commission File No.)** | **(I.R.S. Employer**<br>**Identification No.)** |

---

**3025 Clearview Way, San Mateo, CA 94402** 

**(Address of Principal Executive Offices) (Zip Code)**

**Registrant's telephone number, including area code: (650) 332-7600** 

**N/A**

**(Former Name or Former Address, if Changed Since Last Report)**

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐&nbsp;&nbsp;&nbsp;&nbsp;Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐&nbsp;&nbsp;&nbsp;&nbsp;Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐&nbsp;&nbsp;&nbsp;&nbsp;Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐&nbsp;&nbsp;&nbsp;&nbsp;Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

---

| | | |
|:---|:---|:---|
| **Title of each class** | **Trading Symbol(s)** | **Name of each exchange on which registered** |
| Class A common stock, par value $0.0001 | GPRO | NASDAQ Global Select Market |

---

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

------

**Item 2.02. Results of Operations and Financial Condition.**

On August 11, 2025, GoPro, Inc. (the "Company") issued a press release to report its financial results for its second quarter ended June 30, 2025.

A copy of the press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K.

The information in Item 2.02 of this Current Report on Form 8-K, including Exhibit 99.1, shall not be deemed "filed" for the purposes of Section 18 of the Exchange Act of 1934, as amended ("Exchange Act"), or otherwise subject to the liabilities of that section. The information in Item 2.02 of this Current Report on Form 8-K shall not be incorporated by reference into any filing or other document pursuant to the Securities Act of 1933, as amended ("Securities Act"), except as may be expressly set forth by specific reference in such filing or document.

**Item 9.01. Financial Statements and Exhibits.**

(d) Exhibits

---

| | |
|:---|:---|
| **Exhibit**<br>**<u>Number</u>** | **<u>Description of Document</u>** |
| <u>[99.1](gpro2025-06x30exh991xer.htm)</u> | Press Release of GoPro, Inc. dated August 11, 2025 to report its financial results for its second quarter ended June 30, 2025. |
| <u>[104](#ie5d6ec17a51d43c4884c784ebffdf673_1)</u> | Cover Page Interactive Data File - the cover page XBRL tags are embedded within the Inline XBRL document. |

---

------

**SIGNATURE**

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned, thereunto duly authorized.

---

| | | |
|:---|:---|:---|
| | | **GoPro, Inc.** |
| | | (Registrant) |
| Dated: | August 11, 2025 | By: /s/ Brian McGee |
|  |  | Brian McGee<br>Chief Financial Officer and Chief Operating Officer <br>(Principal Financial Officer) |

---

## Exhibit 99.1

**EXHIBIT 99.1**

![gopro_logox1cxblackxrgba.jpg](gopro_logox1cxblackxrgba.jpg)

**GoPro Announces Second Quarter Results**

*Revenue was $153 million*

 *Gross Margin Improved to 36.0% from 30.7% Year-over-Year*

**SAN MATEO, Calif., August 11, 2025** - <u>GoPro</u>, Inc. (NASDAQ: GPRO) announced financial results for its second quarter ended June 30, 2025, and posted management commentary, including forward-looking guidance, in the investor relations section of its website at <u>https://investor.gopro.com</u>.

"The initiatives we undertook in 2024 to reduce operating expenses and improve gross margin are beginning to deliver meaningful results. In Q2 2025, year-over-year, we improved gross margin to 36.0%, up from 30.7%, reduced operating expenses 32% and improved adjusted EBITDA 83%," said Brian McGee, GoPro's CFO and COO.

"Our Q2 results reflect consistent operational execution and efficiency, and we're excited to launch a broader, more diversified suite of hardware and software products in the second half of 2025, which we believe will restore revenue growth and profitability to our business starting in Q4 2025," said Nicholas Woodman, GoPro's founder and CEO.

**Q2 2025 Financial Results** 

• Revenue was $153 million, down 18% year-over-year.

• Sell-through was approximately 500,000 camera units, down 23% year-over-year.

• Subscription and service revenue was flat year-over-year at $26 million. GoPro subscriber count ended Q2 at 2.45 million, down 3% year-over-year.

• Revenue from the retail channel was $111 million, or 73% of total revenue and down 19% year-over-year. GoPro.com revenue, including subscription and service revenue, was $41 million, or 27% of total revenue and down 16% year-over-year.

• GAAP gross margin was 35.8% compared to 30.5% in the prior year quarter. Non-GAAP gross margin was 36.0% compared to 30.7% in the prior year quarter.

• GAAP net loss was $16 million, or a $(0.10) loss per share, compared to a net loss of $48 million or $(0.31) loss per share, in the prior year period.

• Non-GAAP net loss was $12 million, or a $(0.08) loss per share, compared to non-GAAP net loss of $36 million, or $(0.24) per share, in the prior year period.

• Adjusted EBITDA was negative $6 million compared to negative $33 million in the prior year period, an 83% improvement year-over-year.

**Recent Business Highlights**

**•** GoPro closed a second lien credit facility of $50 million. As part of the agreement, GoPro issued an aggregate of 11.1 million warrants to purchase shares of our common stock at an exercise price of $1.25.

• A United States Administrative Law Judge with the International Trade Commission issued an initial determination that one of our China-based competitors, Insta360, violated federal law by importing and selling products that infringe on a patent covering GoPro's iconic HERO camera design in the U.S. A final determination will be issued on or before November 10, 2025.

------

• GoPro announced a new opt-in AI Training program that enables U.S. subscribers to voluntarily make their user-generated content available for GoPro to license to leading technology companies seeking diverse, real-world footage to enhance the performance and accuracy of their AI models. The GoPro subscriber community's vast data lake, containing more than 450 petabytes of cloud-based, high-quality video content, which translates into more than 13 million hours of video, represents a valuable opportunity for AI developers to train their models with a rich and varied dataset.

• GoPro launched HERO13 Black Ultra Wide Edition, a special edition of our flagship HERO13 Black camera bundled in-box with our Ultra Wide Lens Mod pre-installed on the camera, making it simple to capture low-distortion, incredibly wide-angle 177-degree perspectives that make you feel like you're fully immersed in the moment.

• GoPro added two easy and powerful 360 editing tools to the GoPro App, MotionFrame and POV, offering a simple way to review, capture and share traditional fixed-frame videos and photos from 360 footage.

• GoPro introduced a limited-edition Forest Green colorway of HERO13 Black, offering a bold, nature-inspired aesthetic designed to appeal to outdoor enthusiasts.

• GoPro refreshed its Board of Directors with the addition of three seasoned executives.

**Results Summary:**

---

| | | | |
|:---|:---|:---|:---|
| | **Three months ended June 30,** | **Three months ended June 30,** | **Three months ended June 30,** |
| **($ in thousands, except per share amounts)** | **2025** | **2024** | **% Change** |
| **Revenue** | $152643 | $186224 | (18.0)% |
| **Gross margin** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;GAAP | 35.8% | 30.5% | 530 bps |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-GAAP | 36.0% | 30.7% | 530 bps |
| **Operating loss** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;GAAP | $(14007) | $(46509) | (69.9)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-GAAP | $(8480) | $(35413) | (76.1)% |
| **Net loss** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;GAAP | $(16422) | $(47821) | (65.7)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-GAAP | $(11957) | $(36179) | (67.0)% |
| **Diluted net loss per share** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;GAAP | $(0.10) | $(0.31) | (67.7)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-GAAP | $(0.08) | $(0.24) | (66.7)% |
| **Adjusted EBITDA** | $(5690) | $(33426) | (83.0)% |

---

------

**Conference Call**

GoPro management will host a conference call and live webcast for analysts and investors today at 2 p.m. Pacific Time (5 p.m. Eastern Time) to discuss the Company's financial results.

Prior to the start of the call, the Company will post Management Commentary on the "Events & Presentations" section of its investor relations website at <u>https://investor.gopro.com</u>. Management will make brief opening comments before taking questions.

To listen to the live conference call, please call +1 833-470-1428 (US) or +1 404-975-4839 (International) and enter access code 363381, approximately 15 minutes prior to the start of the call. A live webcast of the conference call will be accessible on the "Events & Presentations" section of the Company's website at <u>https://investor.gopro.com</u>. A recording of the webcast will be available on GoPro's website, <u>https://investor.gopro.com</u>, from approximately two hours after the call through November 9, 2025.

**About GoPro, Inc. (NASDAQ: GPRO)**

GoPro helps the world capture and share itself in immersive and exciting ways.

GoPro has been recognized as an employer of choice by both <u>Outside Magazine</u> and <u>U.S. News & World Report</u> for being among the best places to work. Open roles can be found on our <u>careers page</u>. For more information, visit <u>GoPro.com</u>.

Connect with GoPro on <u>Facebook</u>, <u>Instagram</u>, <u>LinkedIn</u>, <u>TikTok</u>, <u>X</u>, <u>YouTube</u>, and GoPro's blog, <u>The Current</u>. GoPro customers can submit their photos and videos to <u>GoPro Awards</u> for an opportunity to be featured on GoPro's social channels and receive gear and cash awards. Members of the press can access official logos and imagery on our <u>press portal</u>.

GoPro, HERO and their respective logos are trademarks or registered trademarks of GoPro, Inc. in the United States and other countries.

**GoPro's Use of Social Media**

GoPro announces material financial information using the Company's investor relations website, SEC filings, press releases, public conference calls and webcasts. GoPro may also use social media channels to communicate about the Company, its brand and other matters; these communications could be deemed material information. Investors and others are encouraged to review posts on <u>Facebook</u>, <u>Instagram</u>, <u>LinkedIn</u>, <u>TikTok</u>, <u>X</u>, <u>YouTube</u>, and GoPro's <u>investor relations website</u> and blog, <u>The Current</u>.

**Note Regarding Use of Non-GAAP Financial Measures**

GoPro reports gross profit, gross margin percentage, operating expenses, operating income (loss), other income (expense), tax expense (benefit), net income (loss) and diluted net income (loss) per share in accordance with U.S. generally accepted accounting principles (GAAP) and on a non-GAAP basis. Additionally, GoPro reports non-GAAP adjusted EBITDA. Non-GAAP items exclude, where applicable, the effects of stock-based compensation, acquisition-related costs, restructuring and other related costs, gain on insurance proceeds, (gain) loss on extinguishment of debt, gain on the sale and license of intellectual property, goodwill impairment charges, and the tax impact of these items. When planning, forecasting, and analyzing gross profit, gross margin percentage, operating expenses, operating income (loss), other income (expense), tax expense (benefit), net income (loss) and net income (loss) per share for future periods, GoPro does so primarily on a non-GAAP basis without preparing a GAAP analysis as that would require estimates for reconciling items which are inherently difficult to predict with reasonable accuracy. A reconciliation of preliminary GAAP to non-GAAP measures has been provided in this press release, and investors are encouraged to review the reconciliation.

------

**Note on Forward-looking Statements**

This press release may contain projections or other forward-looking statements within the meaning Section 27A of the Private Securities Litigation Reform Act. Words such as "anticipate," "believe," "estimate," "expect," "intend," "should," "will," "plan" and variations of these terms or the negative of these terms and similar expressions are intended to identify these forward-looking statements. Forward-looking statements in this press release may include but are not limited to statements regarding our expectations for profitability, improved gross margin, revenue growth, subscription growth, and reduced operating expenses; hardware and software product launch, product diversification and statements related to the Company's new opt-in AI learning program, revenue opportunities for participants and the Company, licensing of user-generated content. These statements involve risks and uncertainties, and actual events or results may differ materially. Among the important factors that could cause actual results to differ materially from those in the forward-looking statements include the inability to achieve our revenue growth or profitability in the future, and if revenue growth or profitability is achieved, the inability to sustain it; the fact that an economic downturn or economic uncertainty in our key U.S. and international markets, inflation, and fluctuations in interest rates or currency exchange rates may adversely affect consumer discretionary spending and demand for our products; changes to trade agreements, trade policies, increased tariffs and import/export regulations which may negatively effect on our business and supply chain expenses; the fact that our goal to grow revenue and be profitable relies upon our ability to manage expenses and grow sales from our direct-to-consumer business, our retail partners, and distributors; our ability to acquire and retain subscribers; our reliance on third-party suppliers, some of which are sole-source suppliers, to provide services and components for our products which may be impacted due to supply shortages, long lead times or other service disruptions that may lead to increased costs due to the effects of global conflicts and geopolitical issues such as the ongoing conflicts in the Middle East, Ukraine or China-Taiwan relations; our ability to maintain the value and reputation of our brand and protect our intellectual property and proprietary rights; the risk that our sales fall below our forecasts, especially during the holiday season; the risk we fail to manage our operating expenses effectively, which may result in our financial performance suffering; the fact that our profitability depends in part on further penetrating our total addressable market, and we may not be successful in doing so; the risk we are able to reduce our operating expenses; the fact that we rely on sales of our cameras, mounts and accessories for substantially all of our revenue, and any decrease in the sales or change in sales mix of these products could harm our business; the risk that we may not successfully manage product introductions, product transitions, product pricing and marketing; our ability to achieve or maintain profitability if there are delays or issues in our product launches; the fact that a small number of retailers and distributors account for a substantial portion of our revenue and our level of business with them could be significantly reduced; our ability to attract, engage and retain qualified personnel; the impact of competition on our market share, revenue and profitability; the fact that we may experience fluctuating revenue, expenses and profitability in the future; risks related to inventory, purchase commitments and long-lived assets; the risk that we will encounter problems with our distribution system; the threat of a security breach or other disruption including cyberattacks; the concern that our intellectual property and proprietary rights may not adequately protect our products and services; the outcome of pending or future litigation and legal proceedings; and other factors detailed in the Risk Factors section of our Annual Report on Form 10-K for the year ended December 31, 2024, which is on file with the Securities and Exchange Commission (SEC). These forward-looking statements speak only as of the date hereof or as of the date otherwise stated herein. GoPro disclaims any obligation to update these forward-looking statements.

------

**GoPro, Inc.**

**Preliminary Condensed Consolidated Statements of Operations** 

**(unaudited)**

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three months ended June 30,** | **Three months ended June 30,** | **Six months ended June 30,** | **Six months ended June 30,** |
| **(in thousands, except per share data)** | **2025** | **2024** | **2025** | **2024** |
| Revenue | $152643 | $186224 | $286951 | $341693 |
| Cost of revenue | 97980 | 129514 | 189139 | 231945 |
| &nbsp;&nbsp;&nbsp;&nbsp;Gross profit | 54663 | 56710 | 97812 | 109748 |
| Operating expenses: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Research and development | 30503 | 46932 | 60060 | 91544 |
| &nbsp;&nbsp;&nbsp;&nbsp;Sales and marketing | 25275 | 41353 | 48533 | 76499 |
| &nbsp;&nbsp;&nbsp;&nbsp;General and administrative | 12892 | 14934 | 29834 | 29627 |
| &nbsp;&nbsp;&nbsp;&nbsp;Goodwill impairment |  |  | 18600 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total operating expenses | 68670 | 103219 | 157027 | 197670 |
| Operating loss | (14007) | (46509) | (59215) | (87922) |
| Other income (expense): |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest expense | (1436) | (790) | (2233) | (1464) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other income, net | 330 | 811 | 1278 | 2019 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total other income (expense), net | (1106) | 21 | (955) | 555 |
| Loss before income taxes | (15113) | (46488) | (60170) | (87367) |
| Income tax expense | 1309 | 1333 | 2961 | 299542 |
| Net loss | $(16422) | $(47821) | $(63131) | $(386909) |
| Basic and diluted net loss per share | $(0.10) | $(0.31) | $(0.40) | $(2.55) |
| Shares used to compute basic and diluted net loss per share | 157843 | 152502 | 157144 | 151796 |

---

------

**GoPro, Inc.**

**Preliminary Condensed Consolidated Balance Sheets** 

**(unaudited)**

---

| | | |
|:---|:---|:---|
| **(in thousands)** | **June 30,<br>2025** | **December 31,<br>2024** |
| **Assets** | | |
| Current assets: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents | $58571 | $102811 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable, net | 83481 | 85944 |
| &nbsp;&nbsp;&nbsp;&nbsp;Inventory | 84482 | 120716 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and other current assets | 28934 | 29774 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current assets | 255468 | 339245 |
| Property and equipment, net | 7791 | 8696 |
| Operating lease right-of-use assets | 13250 | 14403 |
| Goodwill | 133751 | 152351 |
| Other long-term assets | 28730 | 28983 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total assets | $438990 | $543678 |
| **Liabilities and Stockholders' Equity** |  |  |
| Current liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable | $61132 | $85936 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued expenses and other current liabilities | 85914 | 110769 |
| &nbsp;&nbsp;&nbsp;&nbsp;Short-term operating lease liabilities | 11242 | 10936 |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred revenue | 52305 | 55418 |
| &nbsp;&nbsp;&nbsp;&nbsp;Short-term debt | 98518 | 93208 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current liabilities | 309111 | 356267 |
| Long-term taxes payable | 15041 | 11621 |
| Long-term operating lease liabilities | 13912 | 18067 |
| Other long-term liabilities | 3011 | 6034 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total liabilities | 341075 | 391989 |
| Stockholders' equity: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Common stock and additional paid-in capital | 1035884 | 1026527 |
| &nbsp;&nbsp;&nbsp;&nbsp;Treasury stock, at cost | (193231) | (193231) |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated deficit | (744738) | (681607) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total stockholders' equity | 97915 | 151689 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total liabilities and stockholders' equity | $438990 | $543678 |

---

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**GoPro, Inc.**

**Preliminary Condensed Consolidated Statements of Cash Flows** 

**(unaudited)**

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three months ended June 30,** | **Three months ended June 30,** | **Six months ended June 30,** | **Six months ended June 30,** |
| **(in thousands)** | **2025** | **2024** | **2025** | **2024** |
| **Operating activities:** |  |  |  |  |
| Net loss | $(16422) | $(47821) | $(63131) | $(386909) |
| Adjustments to reconcile net loss to net cash provided by (used in) operating activities: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 1698 | 1559 | 3416 | 2884 |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-cash operating lease cost | 1368 | (2693) | 1153 | (1611) |
| &nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation | 5116 | 7791 | 10486 | 16561 |
| &nbsp;&nbsp;&nbsp;&nbsp;Goodwill impairment |  |  | 18600 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred income taxes, net | (233) | (65) | (130) | 296710 |
| &nbsp;&nbsp;&nbsp;&nbsp;Impairment of right-of-use assets |  | 3276 |  | 3276 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other | 178 | 453 | 284 | 1104 |
| &nbsp;&nbsp;&nbsp;&nbsp;Net changes in operating assets and liabilities | 17047 | 38105 | (19112) | (29813) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash provided by (used in) operating activities | 8752 | 605 | (48434) | (97798) |
| **Investing activities:** |  |  |  |  |
| Purchases of property and equipment, net | (478) | (716) | (1783) | (1680) |
| Maturities of marketable securities |  |  |  | 24000 |
| Acquisition, net of cash acquired |  |  |  | (12308) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash provided by (used in) investing activities | (478) | (716) | (1783) | 10012 |
| **Financing activities:** |  |  |  |  |
| Proceeds from issuance of common stock |  | 1 | 374 | 1380 |
| Taxes paid related to net share settlement of equity awards | (121) | (203) | (624) | (2180) |
| Proceeds from borrowings |  |  | 25000 |  |
| Repayment of debt | (20000) |  | (20000) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash provided by (used in) financing activities | (20121) | (202) | 4750 | (800) |
| Effect of exchange rate changes on cash and cash equivalents | 784 | (309) | 1227 | (1086) |
| &nbsp;&nbsp;&nbsp;&nbsp;Net change in cash and cash equivalents | (11063) | (622) | (44240) | (89672) |
| Cash and cash equivalents at beginning of period | 69634 | 133658 | 102811 | 222708 |
| Cash and cash equivalents at end of period | $58571 | $133036 | $58571 | $133036 |

---

------

**GoPro, Inc.**

**Reconciliation of Preliminary GAAP to Non-GAAP Financial Measures**

To supplement our unaudited selected financial data presented on a basis consistent with GAAP, we disclose certain non-GAAP financial measures, including non-GAAP gross profit, gross margin percentage, operating expenses, operating income (loss), other income (expense), tax expense (benefit), net income (loss), diluted net income (loss) per share and adjusted EBITDA. We also provide forecasts of non-GAAP gross margin, non-GAAP operating expenses, non-GAAP other income (expense), non-GAAP tax expense (benefit), non-GAAP net income (loss) and non-GAAP diluted net income (loss) per share. We use non-GAAP financial measures to help us understand and evaluate our core operating performance and trends, to prepare and approve our annual budget, and to develop short-term and long-term operational plans. Our management uses and believes that investors benefit from referring to these non-GAAP financial measures in assessing our operating results. These non-GAAP financial measures should not be considered in isolation from, or as an alternative to, the measures prepared in accordance with GAAP, and are not based on any comprehensive set of accounting rules or principles. We believe that these non-GAAP measures, when read in conjunction with our GAAP financials, provide useful information to investors by facilitating:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the comparability of our on-going operating results over the periods presented;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the ability to identify trends in our underlying business; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the comparison of our operating results against analyst financial models and operating results of other public companies that supplement their GAAP results with non-GAAP financial measures.

These non-GAAP financial measures have limitations in that they do not reflect all of the amounts associated with our results of operations as determined in accordance with GAAP. Some of these limitations are:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• adjusted EBITDA does not reflect income tax expense (benefit), which may change cash available to us;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• adjusted EBITDA does not reflect interest income (expense), which may reduce cash available to us;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• adjusted EBITDA excludes depreciation and amortization and, although these are non-cash charges, the property and equipment being depreciated and amortized often will have to be replaced in the future, and adjusted EBITDA does not reflect any cash capital expenditure requirements for such replacements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• adjusted EBITDA excludes the amortization of point of purchase (POP) display assets because it is a non-cash charge, and is treated similarly to depreciation of property and equipment and amortization of acquired intangible assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• adjusted EBITDA and non-GAAP net income (loss) exclude restructuring and other related costs which primarily include severance-related costs, stock-based compensation expenses, manufacturing consolidation charges, facilities consolidation charges recorded in connection with restructuring actions, including right-of-use asset impairment charges (if applicable), and the related ongoing operating lease cost of those facilities recorded under ASC 842, *Leases*. These expenses do not reflect expected future operating expenses and do not contribute to a meaningful evaluation of current operating performance or comparisons to the operating performance in other periods;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• adjusted EBITDA and non-GAAP net income (loss) exclude stock-based compensation expense related to equity awards granted primarily to our workforce. We exclude stock-based compensation expense because we believe that the non-GAAP financial measures excluding this item provide meaningful supplemental information regarding operational performance. In particular, we note that companies calculate stock-based compensation expense for the variety of award types that they employ using different valuation methodologies and subjective assumptions. These non-cash charges are not factored into our internal evaluation of non-GAAP net income (loss) as we believe their inclusion would hinder our ability to assess core operational performance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• adjusted EBITDA and non-GAAP net income (loss) excludes a gain on insurance proceeds because it is not reflective of ongoing operating results in the period, and the frequency and amount of such gains vary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• adjusted EBITDA and non-GAAP net income (loss) excludes any gain or loss on the extinguishment of debt because it is not reflective of ongoing operating results in the period, and the frequency and amount of such gains and losses vary;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• adjusted EBITDA and non-GAAP net income (loss) excludes goodwill impairment charges as they do not reflect ongoing operating results in the period and hinders our ability to assess core operational performance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• non-GAAP net income (loss) excludes acquisition-related costs including the amortization of acquired intangible assets (primarily consisting of acquired technology), the impairment of acquired intangible assets (if applicable), as well as third-party transaction costs incurred for legal and other professional services. These costs are not factored into our evaluation of potential acquisitions, or of our performance after completion of the acquisitions because these costs are not related to our core operating performance or reflective of ongoing operating results in the period, and the frequency and amount of such costs vary significantly based on the timing and magnitude of our acquisition transactions and the maturities of the businesses being acquired. Although we exclude the amortization of acquired intangible assets from our non-GAAP net income (loss), management believes that it is important for investors to understand that such intangible assets were recorded as part of purchase accounting and can contribute to revenue generation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• non-GAAP net income (loss) excludes a gain on the sale and/or license of intellectual property. This gain is not related to our core operating performance or reflective of ongoing operating results in the period, and the frequency and amount of such gains are inconsistent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• non-GAAP net income (loss) includes income tax adjustments which reflect the current and deferred income tax expense (benefit) and the effect of non-GAAP adjustments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• GAAP and non-GAAP net income (loss) per share includes the dilutive, tax effected cash interest expense associated with our 2025 Notes in periods of net income, as if converted at the beginning of the period; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• other companies may calculate these non-GAAP financial measures differently than we do, limiting their usefulness as comparative measures.

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**GoPro, Inc.**

**Reconciliation of Preliminary GAAP to Non-GAAP Financial Measures**

**(unaudited)**

Reconciliations of non-GAAP financial measures are set forth below:

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Three months ended June 30,** | **Three months ended June 30,** | **Six months ended June 30,** | **Six months ended June 30,** |
| **(in thousands, except per share data)** | **2025** | **2024** | **2025** | **2024** |
| **GAAP net loss** | $(16422) | $(47821) | $(63131) | $(386909) |
| Stock-based compensation: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of revenue | 240 | 339 | 488 | 754 |
| &nbsp;&nbsp;&nbsp;&nbsp;Research and development | 2681 | 4016 | 5501 | 8281 |
| &nbsp;&nbsp;&nbsp;&nbsp;Sales and marketing | 935 | 1545 | 1817 | 3289 |
| &nbsp;&nbsp;&nbsp;&nbsp;General and administrative | 1260 | 1891 | 2680 | 4237 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total stock-based compensation | 5116 | 7791 | 10486 | 16561 |
| Acquisition-related costs: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Research and development | 469 | 469 | 938 | 625 |
| &nbsp;&nbsp;&nbsp;&nbsp;General and administrative |  | 100 | 3 | 781 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total acquisition-related costs | 469 | 569 | 941 | 1406 |
| Restructuring and other costs: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of revenue | (19) | 137 | (32) | 137 |
| &nbsp;&nbsp;&nbsp;&nbsp;Research and development | (611) | 1396 | (20) | 2262 |
| &nbsp;&nbsp;&nbsp;&nbsp;Sales and marketing | (64) | 831 | 321 | 1298 |
| &nbsp;&nbsp;&nbsp;&nbsp;General and administrative | 636 | 372 | 1779 | 949 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total restructuring and other costs | (58) | 2736 | 2048 | 4646 |
| Gain on insurance recovery |  |  | (424) |  |
| Goodwill impairment |  |  | 18600 |  |
| Income tax adjustments | (1062) | 546 | 79 | 8760 |
| **Non-GAAP net loss** | $(11957) | $(36179) | $(31401) | $(355536) |
| **GAAP and non-GAAP shares for diluted net loss per share** | 157843 | 152502 | 157144 | 151796 |
| **GAAP diluted net loss per share** | $(0.10) | $(0.31) | $(0.40) | $(2.55) |
| **Non-GAAP diluted net loss per share** | $(0.08) | $(0.24) | $(0.20) | $(2.34) |

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Three months ended June 30,** | **Three months ended June 30,** | **Six months ended June 30,** | **Six months ended June 30,** |
| **(dollars in thousands)** | **2025** | **2024** | **2025** | **2024** |
| **GAAP gross margin as a % of revenue** | 35.8% | 30.5% | 34.1% | 32.1% |
| &nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation | 0.2 | 0.2 | 0.1 | 0.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;Restructuring and other costs |  |  |  | 0.1 |
| **Non-GAAP gross margin as a % of revenue** | 36.0% | 30.7% | 34.2% | 32.4% |
| **GAAP operating expenses** | $68670 | $103219 | $157027 | $197670 |
| &nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation | (4876) | (7452) | (9998) | (15807) |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquisition-related costs | (469) | (569) | (941) | (1406) |
| &nbsp;&nbsp;&nbsp;&nbsp;Restructuring and other costs | 39 | (2599) | (2080) | (4509) |
| &nbsp;&nbsp;&nbsp;&nbsp;Goodwill impairment |  |  | (18600) |  |
| **Non-GAAP operating expenses** | $63364 | $92599 | $125408 | $175948 |
| **GAAP operating loss** | $(14007) | $(46509) | $(59215) | $(87922) |
| &nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation | 5116 | 7791 | 10486 | 16561 |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquisition-related costs | 469 | 569 | 941 | 1406 |
| &nbsp;&nbsp;&nbsp;&nbsp;Restructuring and other costs | (58) | 2736 | 2048 | 4646 |
| &nbsp;&nbsp;&nbsp;&nbsp;Goodwill impairment |  |  | 18600 |  |
| **Non-GAAP operating loss** | $(8480) | $(35413) | $(27140) | $(65309) |

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Three months ended June 30,** | **Three months ended June 30,** | **Six months ended June 30,** | **Six months ended June 30,** |
| **(in thousands)** | **2025** | **2024** | **2025** | **2024** |
| **GAAP net loss** | $(16422) | $(47821) | $(63131) | $(386909) |
| &nbsp;&nbsp;&nbsp;&nbsp;Income tax expense | 1309 | 1333 | 2961 | 299542 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest expense (income), net | 916 | (226) | 1164 | (1515) |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 1698 | 1559 | 3416 | 2884 |
| &nbsp;&nbsp;&nbsp;&nbsp;POP display amortization | 1751 | 1202 | 3483 | 2064 |
| &nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation | 5116 | 7791 | 10486 | 16561 |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on insurance recovery |  |  | (424) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Goodwill impairment |  |  | 18600 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Restructuring and other costs | (58) | 2736 | 2048 | 4646 |
| **Adjusted EBITDA** | $(5690) | $(33426) | $(21397) | $(62727) |

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**Investor Contact**

<u>investor@gopro.com</u>

**Media Contact** 

<u>pr@gopro.com</u> 

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