GoPro explores sale or merger as strategic review gets underway

GoPro's board has authorized a formal review of strategic alternatives, including a potential sale or merger. The announcement comes alongside a steep Q1 revenue decline and the withdrawal of full-year guidance.

According to reports from Reuters, GoPro's board has authorized a review of strategic alternatives that could include a sale of the company or a merger, after the California-based company received several unsolicited strategic inquiries from as-yet unnamed companies. 

The announcement follows GoPro's engagement of consulting firm Oliver Wyman on April 13 to explore market opportunities for its camera technology in the defense and aerospace sectors. No timetable has been set for the review, and the company says it does not intend to provide ongoing updates. But its cameras were extremely visible on the recent Artemis II mission and, given that was decade-old technology, it obviously has something to bring to the sector.

The news sent GoPro shares sharply higher in after-hours trading, with investors reacting to the possibility of a larger technology or imaging company stepping in.

A difficult start to 2026

The strategic review arrives alongside a difficult Q1 earnings report that was also announced today. GoPro reported first-quarter revenue of $99 million, a 26% decline year-over-year, and an adjusted loss of $0.35 per share, significantly wider than the $0.12 loss posted in the same quarter last year.

The company cited increased memory costs, supply chain issues, and tariff changes as factors hitting gross margins. GoPro has also withdrawn its full-year financial outlook, citing market uncertainty and the ongoing review. 

Despite all the buzz around the Mission 1 series, slated to launch May 28, things are looking dicey for the company still. In a statement, founder and CEO Nicholas Woodman pointed to the company's technology, IP, brand assets, and manufacturing capabilities as core strengths that may hold value across multiple industries.

It is not yet clear whether that statement is a bid to reassure nervous shareholders or a pitch to new suitors.