GoPro posted quarterly results Wednesday that missed analysts' expectations, as sales plunged from the previous year and guidance for the current quarter came in lower than expected.
The wearable camera maker reported an adjusted fourth-quarter loss of 8 cents per share, ex-items, on $437 million in revenue, compared with a profit of 99 cents per share and sales of $634 million a year earlier.
Analysts on average expected GoPro to break even in the fourth quarter on $496 million in revenue, according to a consensus estimate from Thomson Reuters. However, sales were almost exactly in line with the company's previous guidance of $435 million.
"Growth slowed in the second half of the year and we recognize the need to develop software solutions that make it easier for our customers to offload, access and edit their GoPro content," CEO Nick Woodman said in a statement.
GoPro shares plunged as much as 19 percent in after-hours trading, before gaining back some ground, after a roughly 25-minute trading halt.
The company's stock has plunged more than 40 percent this year amid slumping expectations for sales of its devices. Last month, GoPro said it had seen "slower-than-expected sell-through at retailers" during the fourth quarter.
For 2015, GoPro posted revenue of $1.6 billion, up 16 percent from the previous year. Its full-year adjusted earnings fell 42 percent to 76 cents per share.
GoPro said it expects revenue between $160 million and $180 million for the current quarter, compared with expectations of $298 million. It also projects full-year 2016 sales between $1.4 billion and $1.5 billion, which would mark a decline from 2015.
Its non-GAAP gross margin came in at 29.6 percent for the fourth quarter, down from 48 percent in the previous year. GoPro expects a gross margin of about 36 percent in the current quarter.
Last month, GoPro announced it would cut its staff by about 7 percent in an effort to control costs. In a January memo to staff, Woodman said the job reductions were "necessary" after workforce growth in recent years.