GoPro Loss Widens

By EarningsFOXBusiness

GoPro (NASDAQ:GPRO), the maker of wearable cameras, announced its second quarter earnings after the bell Thursday, just weeks after making its public debut.

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The company, which markets its cameras for use in action sports, saw revenue rise 38% year-over-year, to $245 million. Net loss also widened to $19.8 million, up from $5 million in the previous year, as operating expenses rose.

San Mateo, Calif.-based GoPro encourages its users to upload videos to YouTube, further spreading brand awareness. The company says the number of clips uploaded to YouTube are up 160% year-over-year and minutes watched are up 270%.

"We are seeing a tremendous volume of quality content generated by our users and a 200% year-over-year increase in video views on YouTube," GoPro CEO Nicholas Woodman said in a statement on Thursday. He explained that this increase in user-generated content uploads is "fueling our virtuous cycle whereby viewership of GoPro content drives sales."

GoPro shares are up 53% since its June IPO, with a market cap of $11 billion. Shares traded down 7% after hours Thursday, around $44.

“Our second quarter performance demonstrates our users' continued passion for GoPro's products, content and brand," Woodman said.

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