Summary by Futu AI
GoPro announced an updated restructuring plan on October 29, 2024, expanding its previously announced workforce reduction. The new plan anticipates a 26% reduction in force from the Q2 2024 headcount of 925 full-time employees, up from the original 15% cut. The restructuring is expected to be substantially completed by the end of 2024.The updated plan is estimated to result in aggregate charges of $15.5 million to $18.5 million. This includes approximately $8-9 million in cash severance expenditures and $6-8 million in project cancellation costs, both expected in Q4 2024. The company notes that actual amounts may differ materially from estimates due to various factors, including local law requirements.GoPro cautions that forward-looking statements in this report involve significant risks and uncertainties. The company's actual results and timing of events could differ materially from those anticipated due to risks related to cost reduction efforts and other factors described in their Annual Report on Form 10-K.
