Home / Features / GoPro, Inc. (NASDAQ:GPRO) CEO Aggressively Reacts on Surpassed Guidance And Solid Demand- Kellogg (NYSE:K), Herbalife (NYSE:HLF)

GoPro, Inc. (NASDAQ:GPRO) CEO Aggressively Reacts on Surpassed Guidance And Solid Demand- Kellogg (NYSE:K), Herbalife (NYSE:HLF)

GoPro, Inc. (NASDAQ:GPRO) [Detail Analytic Report] announced loss of $107.5 million in its first quarter, after reporting a profit in the same quarter a year ago. GoPro reported that it had a loss of 78 cents a share. Nicholas Woodman, Founder and CEO of GoPro commented during first quarter earning call that consumer demand for GoPro remains solid. Unit sell-thru was close to Q1 2015 levels, a quarter which benefited from the release of HERO4. Revenue surpassed their guide and, importantly, unit sell-thru rates were approximately 50% higher than sell-in which drove worldwide inventory levels down. And while they had to make the difficult decision to delay their drone, Karma, the upside is that Karma’s launch should now benefit from the holidays.

The first quarter results trialed Wall Street estimates. GoPro declared its first quarter revenue of $183.5 million, topping Street forecasts. According to Zacks, analysts have expected $170.6 million. GoPro expects full-year revenue in the range of $1.35 to $1.5 billion. Shares of GoPro have plunged 41 percent since the starting of the year. Moreover, the launch of Karma is going to be delayed until the 2016 holiday season. Karma was initially announced to be launched in the first half of this year.

As part of an earnings report, though, GoPro reported that its highly anticipated flying robot won’t make the deadline it originally promised. As late as this week, they believed Karma’s launch was on schedule, Woodman stated. According to Woodman, Karma’s features make it much more than a drone. He added, to give them more time to fine-tune these features, they have made the difficult decision to push Karma’s launch to the holidays.

Kellogg Company (NYSE:K) [Detail Analytic Report] disclosed that Ron Dissinger, Chief Financial Officer of the firm has decided to step down from his position at the end of 2016. Dissinger will step down as CFO effective December 31, but he will remain with the firm into 2017 to help ensure an orderly transition to his successor. An internal and external search for a new firm CFO will now commence.

John Bryant, Chairman and Chief Executive of Kellogg commented that Ron has had an extraordinary, nearly three-decade career with the firm, including the past six years as CFO and a highly valued member of their Global Leadership Team. During the past years, they have relied on Ron’s business acumen, disciplined approach to finance and extensive knowledge of their global organization to provide strategic financial leadership across every aspect of their business.

Ron has also led or played a vital role in a number of other significant initiatives that have helped to position the firm for the future, Bryant added. These include buyouts such as Pringles and Bisco Misr, as well as Kellogg Integrated Margin Management, Project K, Zero-Based Budgeting and the development of their 2020 Growth Plan. They thank Ron for his many contributions to Kellogg during the past several years, as well as for continuing to serve their firm in 2017 before he transitions into retirement, Bryant stated.

Chairman and CEO of Herbalife Ltd. (NYSE:HLF) [Detail Analytic Report], Michael O. Johnson stated during first quarter earning call that they’ve started the year by exceeding EPS guidance on both the top and bottom line and by returning to reported net sales growth, year over year, the first time in five quarters. Their updated guidance reflects the confidence that they have for the remainder of the year as they continue to hold the line on expenses while investing prudently towards the future.

Johnson added their Members, through their growing and sustainable businesses, continues to engage with their customers on a much more personal level and is perfectly situated to be a leading part of the solution for many global health challenges facing the world today. Herbalife announced first quarter results that beat analysts’ expectations. Herbalife declared its Q1 earnings rose to $95.8 million, or $1.12 a share, from $78.2 million, or 92 cents a share, a year ago. On an adjusted basis, the firm would have earned $1.36 per share. Revenue grew 1% to $1.1 billion in the period.

Herbalife projected Q2 adjusted earnings a share of $1.10 to $1.20 and revenue growth of flat to up 3%. Wall Street is looking for EPS of $1.16 on $1.19 billion in revenue. Meanwhile, the firm’s discussions with the Federal Trade Commission are in advanced stages and it may pay $200 million to reach a settlement, according to CNBC. Herbalife has locked in a battle for credibility with hedge fund manager Bill Ackman, who has characterized the firm as a pyramid scheme.

About Blake Escott

Blake Escott holds junior writer position in SWR. Before joining Streetwise Report, he was a freelance content Writer. He has high-level copywriting experience and particularly experienced in proofreading and editing. He covers news about different companies including all US market sectors. Interests: Commodities, Energy stocks, Sector-wise Stocks analysis, Utilities

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