Earlier this week, GoPro released another teaser video for cameras powered by its new GP3 processor. However, the company is still facing financial challenges and has announced that it is making around 23% of its workforce redundant.
Restructuring plan
On April 7, 2026, GoPro filed a Form 8-K with the U.S. Securities and Exchange Commission (SEC). Public companies have to submit a Form 8-K to the SEC to notify investors about significant events that might affect share prices. In the form, GoPro stated that its Board of Directors had approved a restructuring plan. This action had been taken “to reduce operating costs and drive stronger operating leverage”.
GoPro estimates that the restructuring plan will cost the company between $11 million and $15 million. The costs arise from termination benefits to the affected employees. These include severance payments and healthcare benefits. However, the costs will be spread across 2026. Around $1.5 million is expected in quarter 2, $5.5 million to $8 million in quarter 3, and $4.5 million to $5.5 million in quarter 4.
Global reduction
In the Form 8-K submission, GoPro confirmed that it anticipated a “a global reduction in force of approximately 145 employees”. This equates to around 23% of the company’s 631 employees. GoPro also said that the redundancies would start in the second quarter of 2026 and will be mostly completed by the end of the year. These latest layoffs are in addition to two separate rounds of redundancies at the company back in 2024.
What next?
GoPro had hoped to announce a return to profitability by the end of the financial year for 2025. However, the company reported a 19% year-on-year drop in profits for 2025. There was a little good news, as the final quarter saw a slight increase to $201.6 up from $200.8 million for the final quarter the previous year. Additionally, GoPro is set to launch its new GP3-powered cameras at NAB later this month.
What we think
The GoPro brand was once synonymous with action cameras. However, over the past few years the offerings from companies such as DJI and Insta360 have eaten into GoPro’s market share. It also seems that the action GoPro took in 2024 to shore up its finances weren’t sufficient. As a result, the company has been forced to announce this latest round of redundancies. GoPro and its remaining workforce will be hoping that the new GP3-powered range of cameras deliver the income the company needs to secure its future.
