GoPro is flying high and mighty after releasing its 2017 second-quarter earnings. The camera company took in $297 million in revenue equaling a non-GAAP loss of 9 cents per share. This was way above Wall Street’s expectations, as the general consensus was that GoPro would report revenue of $269 million with a loss of 25 cents per share.
That’s growth any way you slice it, and equals a 34 percent year-over-year growth in revenue.
GoPro’s stock is now up nearly 15 percent on the news, trading after hours around $9.30. This is the highest the stock has traded since February, which is when it tanked 10 percent after missing Q4 2016 earning expectations[1].
Of course, there’s still a long way for the company to go if it wants to make investors happy again. GoPro once traded at almost $87 a share back in 2014, but a string of performance and supply chain issues, in addition to generally poor software quality, has dragged the company, and its market cap, down significantly.
But the company seems committed to fixing these issues. Specifically, GoPro said that this quarter saw a 39 percent reduction in inventory from last quarter, and forward weeks of supply in their channel is down 25 percent. The fact that the company is getting a better grip on supply chain management sets them up well to release products in the future without wasting extra cash on old inventory.
In terms of sales, GoPro gave some stats about how its cameras sold during Amazon Prime Day. The company said the HERO5 Black was offered with no discount, but saw a typical week’s worth of sales in just that one day.
It also said that its mobile video...