GoPro Inc (NASDAQ: GPRO)’s Second Quarter Earnings Are Out

Just a few hours ago, extreme sport camera maker GoPro Inc (NASDAQ: GPRO) released its second quarter earnings report on Thursday, July 31^st. The result was disappointing for investors – the company reported a net loss that amounted to nearly four times that of last year, while its operating expenses increased by almost two times. However, the company’s revenue did increase by 38%.

In the last three months of the second quarter, the company’s net loss totaled to $19.8 million, or $0.24 per share. This is worse than the same quarter last year, when the net loss was $5.1 million, or $0.06 per share.

Not including items like the cost of using shares to pay company executives, GoPro’s adjusted earnings ended up being $0.08 per share, topping the $0.07 per share that was forecasted by analysts for this quarter.

Revenues rose from $177.1 million last year to $244.6 now. This beat the prediction of $237.9 million that analysts were looking for this quarter.

Nicholas Woodman, CEO of the action camera maker and media company, released a statemtn in which he said that he views of YouTube videos of footage shot with GoPro cameras rose by 200% since the same time last year. This increase in social media presence is supports the company’s virtuous cycle where the number of views of GoPro content is the main driver of sales.

Since the release of its second quarterly earnings report, GoPro shares dropped 10.2%, or $4.88 to $43.09 in trading after hours. During day time trading, the company’s stock had rose 3.6%, or $1.65 to $47.97.

GoPro’s shares went public during its IPO in later June at $24 per share. The stock price increased by more than 30% within its first day of trading and doubled its initial public offering price in four days. The price of the stock reached a record high of $49.90 before beginning its steady decline.

The majority of underwriters rated the stock at Hold. However, last week a few analysts were expressing positive prospects about the stock’s future.