GoPro Spikes After Announcing Jobs Cuts, Expects To Be Profitable

GoPro Inc GPRO spiked after hours following an announcement that the company will be cutting jobs and expects to be profitable on an adjusted basis in 2017.

Shares rallied as much as 11 percent after the market closed.

GoPro plans to cut 270 jobs, equating to 17 percent of its workforce. The move is expected to cut 2017 operating expenses by more than $200 million year over year.

The camera company did announce it expects its 2017 first quarter revenue to be in the upper end of its announced $190-210 million range, and affirms it's on target for full-year non-GAAP profitability.

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"We're determined that GoPro's financial performance match the strength of our products and brand. Importantly, expense reductions preserve our product roadmap and we are tracking to full-year non-GAAP profitability in 2017," said GoPro CEO Nicholas Woodman.

GoPro is also on track for new Hardware, Software and International growth in 2017.

The stock traded recently at $7.94, up 8 percent after hours. The company has suffered a significant decline, down 42 percent over the past year.