GoPro on Wednesday announced a company-wide restructuring program that it hopes will help it return to profitability in 2017. To realize that goal, the company said it will be shedding roughly 15 percent of its global workforce, or just over 200 full-time employees, and canceling some open positions.
The latest cuts are in addition to the seven percent workforce reduction announced back in January.
The action camera maker will also be closing its entertainment division and reducing the number of physical facilities it operates.
GoPro said the moves will slash full-year operating expenses from $735 million down to around $650 million. The restructuring won’t come cheap, however, as the company estimates it’ll spend between $24 million and $33 million to reach its goal which includes between $13 million and $18 million in severance costs.
What's more, GoPro President Tony Bates will be leaving his position at the end of the year. Bates said that in the past three years, they’ve seen enormous progress in camera technology, software and international growth, adding that his time at GoPro has been an incredible experience. His replacement hasn't yet been named.
GoPro will no doubt be glad to put 2016 behind it. The company suffered through multiple rough quarters leading up to the launch of its Karma drone, a product that was recalled just a few weeks later due to power issues.
Share value is up 3.66 percent as of writing on news of the restructuring.