GoPro has disclosed “substantial doubt” about its ability to continue as a going concern in amended financial filings released June 1, 2026. The company and its auditor cited ongoing losses, negative cash flow, looming debt covenant breaches, and “unprecedented” spikes in memory costs – up as much as 115% — driven by AI demand.
The warning comes on top of weak Q1 2026 results: revenue fell 26% year-over-year to $99 million, while GAAP gross margin collapsed to 4.3% from 32.1% a year earlier. GoPro expects continued losses and negative cash flow in the near term.
Just three weeks earlier, the company launched its new MISSION series cameras and announced a strategic review that could lead to a sale or merger. Shares dropped sharply on the going-concern news.
New GoPro Mission 1 Pro camera unveiled with 50MP 1″ sensor and a model with MFT mount
Here is the quote from the financial filings:
Substantial Doubt About the Company’s Ability to Continue as a Going Concern
The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern. As discussed in Note 1 to the consolidated financial statements, the Company has incurred operating losses and negative operating cash flows, and has obligations under its financing arrangements which become due within the next twelve months if certain covenants are not met, that raise substantial doubt about its ability to continue as a going concern. Management’s plans in regard to these matters are also described in Note 1. The consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty. (source)