Despite plans to launch in the first half of 2016, GoPro's Karma drone has been delayed until the holidays.
(CCM) — On Thursday, as part of its first quarter 2016 results, GoPro announced that it has delayed the launch of its Karma drone until the 2016 holiday season. Last year, GoPro said that it would launch Karma in the first half of 2016, but 5 months in, the quadcopter drone is nowhere to be found. "While we had to make the difficult decision to delay our drone, Karma, the upside is that Karma's launch should now benefit from the holidays," said Nick Woodman, GoPro's founder and CEO. The company has not released any new information on the Karma drone, and its design remains a secret. Earlier reports indicated that Karma would be priced between $500 and $1000.
Also in its quarterly report, GoPro revealed a first-quarter loss of $107.5 million, or 78 cents a share, down from a profit of $16.8 million a year earlier. The company posted an operating loss of $121.4 million, down from last year's $22.3 million in profit. Revenue declined 49 percent to $183.5 million, though analysts had predicted that the loss would be greater. This year, GoPro has struggled with slow sales and the decision to cut 7 percent of its workforce. The company reaffirmed its guidance for $1.35 billion to $1.5 billion for its full-year sales for 2016. Shares fell 5 percent in pre-market trading on Friday, after rising as much as 6 percent after the earnings were released.
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