Action camera maker GoPro said on Monday it would cut about 15 percent of its workforce this year, as part of a restructuring plan to reduce operating expenses.
The company expects to take charges in the range of $5 million (roughly Rs. 41.8 lakh) to $7 million (roughly Rs. 58.6 lakh) for the restructuring plan, with cash expenses of $1 million (roughly Rs. 8.3 crore) to be recognised in the third quarter and about $4 million (roughly Rs. 33.5 lakh) to $6 million (roughly Rs. 50.2 crore) in the fourth quarter of 2024.
The layoffs – around 139 jobs – are expected to begin in the third quarter and would be completed by the end of 2024.
Shares of the company, which had 925 full-time employees at the end of the second quarter ended June 30, were up 1.5 percent after the layoffs were announced.
Earlier this month, GoPro reported revenue of $186 million (roughly Rs. 1,558 crore) for second quarter, down 22.7 percent compared to last year and operating expenses of $103 million (roughly Rs. 103 million), an increase of five percent from a year ago.
The US International Trade Commission said in May it was launching a probe into GoPro’s claims that patents for its cameras, systems and accessories were being violated by Chinese firm Arashi Vision as the company imported similar products into the United States.
© Thomson Reuters 2024
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