GoPro Expects No Material Tariff Impact To Consumer Pricing Or Gross Margin: Details

GoPro, Inc. (NASDAQ:GPRO) shares are trading higher on Tuesday.

The company has provided details on its supply chain approach in light of recent U.S. tariff announcements. It stated that its varied supply chain would help reduce the possible effects of these tariffs.

“Over the last few years, we proactively moved our U.S.-bound camera production outside of China, which has significantly reduced the impact of tariffs,” said Brian McGee, CFO and COO of GoPro.

GoPro also emphasized that it doesn’t expect major adjustments to U.S. consumer prices or profit margins due to the new tariffs on imported goods.

“We are continuously evaluating and optimizing our supply chain to improve delivery of our products at lower cost,” McGee added.

The explanation comes as President Donald Trump has imposed hefty tariffs on the United States’ three largest trading partners, including Mexico, Canada, and China.

Meanwhile, President Trump’s brief tariff reprieve fueled positive sentiment in risk-on markets.

The tariffs announced by Trump on Saturday involved a 25% tax on all imports from Mexico and most products from Canada, with the exception of energy-related items like crude oil, which will face a 10% tariff. Furthermore, a 10% duty will be applied to Chinese goods entering the U.S.

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The U.S. Chamber of Commerce has cautioned that these tariffs might disrupt supply chains and result in higher costs for American households.

The company will release its financial results for the fourth quarter and year ended December 31, 2024, after the market closes on Thursday, February 6, 2025. 

Price Action: GPRO shares are trading higher by 8.04% at $0.9594 at the last check Tuesday.

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