Action camera maker GoPro said it would cut 15% of its workforce this year – about 139 people – to cut costs as part of a planned restructuring approved by its board of directors. Layoffs will begin in the third quarter and will be completed by the end of 2024. GoPro had 925 employees at the end of the second quarter.
Image Source: GoPro
Payments associated with the reduction will be approximately $5-7 million. Approximately $1 million will be paid in the third quarter, the remaining amount is payable by the end of 2024.
GoPro posted revenue of $186 million in the second quarter ended June 30, down 22.7% year-over-year, while operating expenses rose 5% to $103 million, according to its earnings report.
According to GoPro’s filing with the U.S. Securities and Exchange Commission (SEC), the company plans to reduce operating expenses by approximately $50 million compared to projected expenses for fiscal 2024.
This is GoPro’s second job cut this year. In March, the company cut its workforce by 4% and also reduced the number of offices around the world.
In 2024, almost every major technology company has cut staff, and it seems that there is no respite in sight, Moneycontrol noted. Economic uncertainty, over-hiring during the pandemic and changing business priorities are cited as the main reasons for workforce cuts.